Malaysia

Price hikes, vague deals, Covid-19 among highlights of upcoming Sabah budget

State assembly set to debate motion on Dec 6-9

Updated 4 years ago · Published on 02 Dec 2021 9:00AM

Price hikes, vague deals, Covid-19 among highlights of upcoming Sabah budget
While the Gabungan Rakyat Sabah-led state government is expected to only table the budget tomorrow, opposition leaders are set to debate the motion for the budget from December 6 to December 9. – Wikipedia pic, December 2, 2021

by Jason Santos

KOTA KINABALU – The sudden increase in prices of goods, vague deals, Covid-19, unemployment, the water crisis, and state rights are expected to be among the top highlights for Sabah’s upcoming budget announcement tomorrow.

While the Gabungan Rakyat Sabah (GRS)-led state government is expected to only table it on that day, opposition leaders are set to debate the motion for the budget from December 6 to December 9.

Luyang assemblyman and Sabah DAP secretary Phoong Jin Zhe is keen to question the recently signed memorandum of understanding (MoU) involving the skytrain project in the city.

The Sabah government, via its subsidiary firm WHSB Ventures Sdn Bhd, had recently signed the MoU with three other firms, namely Vizione Construction Sdn Bhd, Sycal Skycity Sdn Bhd, and Guangcai China (M) Sdn Bhd for the potential development of the skytrain project and the RM5 billion Jesselton New City project, which includes a theme park.

Phoong has noted that the exorbitant cost of constructing the skytrain’s viaducts, estimated around RM100 million per kilometre, is priced at RM1 billion for the first phase, involving a 10.5km track linking Kota Kinabalu International Airport to Jesselton Central Terminal.

“I will be raising multiple concerns and urge Sabah Works Minister Datuk Seri Bung Moktar Radin to disclose further details on the project during the assembly,” he said.

The state has also entered several ventures over the last few months.

Luyang rep Phoong Jin Zhe notes that the exorbitant cost of constructing the skytrain’s viaducts, estimated around RM100 million per kilometre, is priced at RM1 billion for the first phase, involving a 10.5km track linking Kota Kinabalu International Airport to Jesselton Central Terminal. – Facebook pic, December 2, 2021
Luyang rep Phoong Jin Zhe notes that the exorbitant cost of constructing the skytrain’s viaducts, estimated around RM100 million per kilometre, is priced at RM1 billion for the first phase, involving a 10.5km track linking Kota Kinabalu International Airport to Jesselton Central Terminal. – Facebook pic, December 2, 2021

They include the controversial Nature Conservation Agreement that was inked under the radar by the state, the creation of Bandar Digital Tun Said in Kota Belud, the water crisis in the Sepanggar parliamentary constituency, and the selling of 45% shares of Sabah’s Common Tower Technologies Sdn Bhd to a company called Stealth Solutions Sdn Bhd.

On Sepanggar’s water crisis, MP Datuk Mohd Azis Jamman noted that his fellow Warisan assemblymen are expected to raise the issue during the assembly.

Apartment residents raised a fuss after they had gone without water for six months this year, which followed the Sabah Water Department imposing rationing due to the failures of local water treatment plants Telibong 1 and Telibong 2 to operate.

A source close to Senallang assemblyman Datuk Seri Mohd Shafie Apdal noted the Warisan president has taken note of price increases since the GRS government took power last year.

He said the recent hikes in prices of vegetables, fruits, poultry, as well as construction materials like cement and steel bars are now giving many Sabah families a hard time.

Farmers and vegetable sellers at the Kota Kinabalu public market have noted a 30% increase in prices as the recent spate of bad weather destroyed many crops.

“The matter is also further compounded by the hike in fertiliser and chicken feed prices, which saw the prices of chicken sold in local markets increase,” he said.

The Vibes has reliably learnt that a more inclusive oil and gas deal awaits Sabah following the meeting between the federal government, Sabah government, and Petronas. – Petronas pic, December 2, 2021
The Vibes has reliably learnt that a more inclusive oil and gas deal awaits Sabah following the meeting between the federal government, Sabah government, and Petronas. – Petronas pic, December 2, 2021

The Warisan source noted that the party’s assemblymen will also raise the issue of unresolved salaries involving the state-owned Sabah Forest Industries, wherein it remains uncertain on whether the state has decided to bail the bankrupt outfit.

The state government will need to clarify its rejection of a higher special grant entitlement in view of the ongoing Joint Consultative Committee on Special Grants Under Article 112D of the Federal Constitution.

The Vibes had reported that Sabah and Sarawak had been offered up to a threefold increase in special grants by Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz, who also chairs the committee.

Sabah is represented by Sabah Finance Minister II and Local Government and Housing Minister Datuk Seri Masidi Manjun in the committee.

On a positive note, the state assembly is expected to hear some good news involving the state and national oil firm Petroliam Nasional Bhd (Petronas).

A meeting held between the federal government, Sabah government, and Petronas under the Joint Committee Between the Federal Government, the Sabah Government, and Petronas on dealing with the gas issues has appeared to have yielded positive results.

The Vibes has reliably learnt that a more inclusive oil and gas deal awaits Sabah following the meeting.

A source from Masidi’s office told The Vibes that the minister had refused to reveal details so far, but they will be eventually made public following the state budget presentation. 

On another note, the call for the state to demand autonomy in healthcare and education is expected to be discussed, as the state aims to be able to legislate its own laws in dealing with Covid-19, and also issues such as dilapidated schools and funding.

Moreover, unemployment will be discussed after Sabah recorded the highest unemployment rate in the country of between 8.8% and 9.3% for its graduates. – The Vibes, December 2, 2021

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