SARAWAK has filed a petition in the Federal Court seeking a determination on the constitutional validity and continued applicability of several federal petroleum laws to the state.
Deputy Minister in the Premier’s Department (Law, MA63 and State-Federal Relations) Datuk Sharifah Hasidah Sayeed Aman Ghazali said the petition was filed today.
The petition is to determine the constitutional validity and continued applicability of the Petroleum Development Act 1974, the Continental Shelf Act 1966 and the Petroleum Mining Act 1966 to Sarawak, reported Borneo Post.
She said federal Acts adversely affect and deprive Sarawak of its rights to natural resources, including oil and gas, found in the seabed of the continental shelf within the boundaries as extended and defined by the Sarawak (Alteration of Boundaries) Order in Council 1954 and the Sarawak (Definition of Boundaries) Order in Council 1958.
“Under the Malaysia Agreement 1963 (MA63) and the constitutional instruments annexed thereto, the sovereign rights to the petroleum resources in the seabed within Sarawak’s boundaries were vested on Malaysia on Malaysia Day by the British Government in Sarawak and not in the Federation or federal government.
“Item 2(c) of the Ninth Schedule of the Federal Constitution vests legislative authority in the Dewan Undangan Negeri to regulate the exercise of such petroleum rights through the issuance of mining leases, certificates and prospecting licences,” she said in a statement.
Sharifah Hasidah explained that the Continental Shelf Act 1966 and the Petroleum Mining Act 1966 were originally applicable to the States of Malaya but were extended to Sarawak through legislation enacted following the Proclamation of Emergency in 1969.
“That Emergency was annulled by both Houses of Parliament in December 2011.
“Therefore, by June 2012, these two laws should no longer apply to Sarawak by reason of Article 150(7) of the Federal Constitution,” she said.
She pointed out that Petroliam Nasional Berhad (Petronas) had, on Jan 10, filed an application seeking leave to apply to the Federal Court to challenge the validity of several state laws regulating its petroleum operations, business and other activities in Sarawak.
“This Application is scheduled for hearing by the Federal Court on March 16, 2026. The Sarawak government will be objecting to this Application, which does not fall within the Federal Court’s exclusive original jurisdiction under Article 128(1)(a) of the Federal Constitution.
“Therefore, the Sarawak government is constrained to also seek the determination of the Federal Court under Article 4(3) and 128 (1) of the Federal Constitution as to the validity of the said federal Acts as to their application to Sarawak,” she said.
According to Borneo Post, she also said that the federal Acts affect Sarawak’s boundaries established before Malaysia Day and its rights to petroleum resources found in offshore land within its boundaries.
“Sarawak is justified, in safeguarding the legitimate interests and rights of Sarawak and its people, which are enshrined in the Federal Constitution as well as in the Malaysia Agreement and the constitutional instruments annexed thereto, by seeking a ruling from the Federal Court on the continuing application and effect of these Federal Acts in Sarawak.
“It must be noted that Sarawak’s right to seek such a ruling from our apex court is embedded in Articles 4(3) and (4) of the Federal Constitution,” she said.
The determination of the constitutional issues would also provide clarity on the regulatory framework for the oil and gas industry in Sarawak, particularly for investors in upstream and downstream businesses, she added.
Notwithstanding the filing of the petition, Sharifah Hasidah said the Sarawak government remains committed to continuing constructive discussions with the federal government to reach an amicable resolution that would strengthen national unity, promote the sustainable use of oil and gas resources, and enable Sarawak to contribute significantly to Malaysia’s prosperity and economic growth. – February 23, 2026
