KUALA LUMPUR – The Borneo states will get RM12.4 billion under the National Budget 2024, with Sarawak getting RM5.8 billion and Sabah RM6.6 billion.
The amount is a further increase of RM0.7 billion from the RM11.7 billion they received for the budget this year.
Prime Minister Datuk Seri Anwar Ibrahim, who is also finance minister, unveiled this during the tabling of the Supply Bill 2024 today. He pointed to the unity government’s efforts to realise the points in the Malaysia Agreement 1963.
He said that the government will also increase the rate of the Special Interim Grant to both states to RM300 million, from RM16 million to Sarawak and RM125.6 million to Sabah as done previously.
“The last review of Special Grants to Sarawak and Sabah was conducted in 1969 and 2022 respectively,” he said.
Anwar said the federal government has also delegated the authority to implement development projects under RM50 million to technical agencies of Sabah and Sarawak in an effort to enhance the efficiency of the implementations.
He also noted that the Dewan Rakyat had passed the Inland Revenue Act of Malaysia (Amendment) 2023 to allow the representation of Sabah and Sarawak members in the Inland Revenue Board.
He said the appointment of the members would be based on the recommendation of the Sabah chief minister and Sarawak premier, adding that the move is in line with recommendations in the Inter-Government Committee (IGC) report 1963.
The appointment of the Borneo representatives as board members would allow Sabah and Sarawak to know how much revenue the federal government has collected from the two states.
Among others, Anwar added, the government has also agreed to hand over the regulatory power for electricity supply to Sabah.
He said the move will come into effect on January 3 next year.
He also assured that the federal government will continue to subsidise electricity supply until the Sabah Electricity Sdn Bhd (SESB) Transformation Plan is successfully implemented within a period of seven years, until 2030.
In relation to this, the federal government provides an annual subsidy allocation to SESB of around RM700 million a year.
“To ensure stability and reduce disruptions in electricity supply in Sabah, especially in the eastern regions of Sabah, the federal government will support the implementation of solar hybrid power generation and the construction of electricity transmission networks in southern Sabah,” he said.
The federal government is also in negotiation to realise the transfer of Bintulu Port and the operation of Rural Air Services (RAS) to the Sarawak state government.
Under the Pan Borneo Highway project, he said, the 320-km Phase 2 of the Sarawak-Sabah Link Road Project with a cost of RM74 billion will be implemented by the end of this year.
Anwar said the tender process for the remaining 19 work packages for the Sabah portion of the Pan Borneo Highway at a cost of RM15.7 billion will be completed in November.
On flood mitigation, Sungai Likas in Sabah and Kuching Phase 2 in Sarawak have been included as among 33 projects nationwide that will cost RM11.8 billion.
Folks in Sabah and Sarawak will continue to enjoy the community drumming programme (for subsidised fuel and basic food items for rural areas) for which RM225 million has been allocated.
Anwar also said that the programme will now include the new areas of Zon Abai in Sandakan, Sabah and Engkerebai in Mukah, Sarawak.
“The Orang Asli and the indigenous people of Sabah and Sarawak will also enjoy part of the RM330 million financing facilities available from Tekun,” he added, referring to the National Entrepreneurial Group Economic Fund.
Anwar also said that the federal government has prepared RM1.9 billion to upgrade and maintain schools nationwide. RM930 million of the fund will go towards upgrading 450 dilapidated schools, 185 of which are in Sarawak and 155 in Sabah.
He said new secondary schools named SMK Laya-Laya in Tuaran, Sabah and SMK Baie in Bintulu, Sarawak will also be built from the RM25 billion to build 26 new school projects in next year’s budget.
Anwar also announced the construction of a health clinic on Mantanani Island in Kota Belud and that the mobile dental clinics will be further expanded into Penampang and Keningau. – The Vibes, October 13, 2023
