KOTA KINABALU – Datuk Darell Leiking (Moyog-Warisan) has urged the Sabah government to revoke the existing special grant rate entered with the previous federal administration.
He said this is the opportunity for the state to seek the 40% revenue entitlement from the new federal government which will soon be installed.
“The state agreed with the previous government that we will be getting the payment of the special grant in stages.
“I think this is the opportunity for the state government to revoke the previous agreement and seek the implementation of the 40% revenue sharing formula as originally agreed in 1963,” he said during the state budget debate here today.
Sabah has agreed to a 470% increase in the special grant this year from RM26.7 million to RM125.6 million following a consensus between the state and the federal government in April.
The agreement came in view of Article 112D of the federal constitution.
The special allocation will see another increase for years 2023 to 2026 while both state and the federal government also agreed on continued talks over the 40% claim on Sabah revenue.
Leiking said the tax collection from Sabah should also be made known so the state would be able to estimate the 40% revenue it is entitled to.
On the same note, Datuk Ewon Benedick (Kadamaian-Upko) reiterated his call to the state assembly to form an inter-party committee to demand state rights in accordance with the Malaysia Agreement 1963 and the federal constitution, especially in regards to the 40% revenue entitlement.
He said a united effort on the state rights matter is important.
He also proposed to the state to issue development bonds guaranteed by the federal government in the event the central government was not able to pay the whole 40% revenue entitlement. – The Vibes, November 29, 2022
