Kota Kinabalu: The RM16 billion allocation from the Federal Government to Sabah is significant and necessary for the State’s ongoing support but it should not overshadow the State’s entitlement to the 40 per cent special grant, said ex-President of Sabah Law Society (SLS), Datuk Roger Chin.
He said the distinction between Federal duties and State rights is critical in maintaining the integrity of the Malaysian Constitution and ensuring that Sabah receives the support it is rightfully owed.
Proper recognition and allocation of the special grant would foster equitable growth and strengthen the unity of the Federation, he said.
“Moreover, fostering clear communication and cooperation between Federal and State entities is essential to uphold constitutional rights and support Sabah’s development effectively,” he said in a statement, Monday.
Chin was commenting on the clarification by Prime Minister Datuk Seri Anwar Ibrahim regarding the RM16 billion allocation for Sabah.
Chin said the clarification raises important issues about the distinction between Federal responsibilities and constitutional entitlements specific to Sabah within the Federation of Malaysia.
He said Anwar clarified that the RM16 billion allocation announced for Sabah encompasses various expenditures, including development Projects with RM6.6 billion specifically allocated for these initiatives; education which covers the salaries of teachers and the maintenance of schools, a Federal responsibility that ensures national education standards; border security which is Federal obligation to maintain the integrity and safety of national borders; infrastructure which includes road maintenance and repair, which are essential services typically funded by Federal budgets.
He said the outlined expenditures are responsibilities typically managed by the Federal Government namely civil service salaries and infrastructure as these are foundational services the Federal Government must provide to all states to ensure equality and functionality within the nation, while security and education are sectors crucial for national stability and progress, necessitating Federal oversight and funding.
“(But) the 40pc special grant is a constitutional right. Sabah’s entitlement to the 40pc special grant, as stipulated in the Malaysian Constitution, is distinct from regular Federal allocations.
“This grant is calculated based on 40pc of the net Federal revenue derived from Sabah, which was reported to be RM10.2 billion. Consequently, Sabah should receive approximately RM4.08 billion as a direct constitutional entitlement.”
Chin said there is a critical distinction between regular Federal funding and the special grant, adding the RM16 billion allocation should not be conflated with or seen as a substitute for the 40pc special grant, which is a separate constitutional entitlement.
“The RM16 billion allocation addresses areas that are inherently Federal responsibilities. These include education, security and infrastructure, which are essential services that every State expects and receives as part of the Federation.
“The special grant is designed to address the unique needs and contributions of Sabah, providing additional financial support beyond standard Federal allocations. This ensures Sabah can develop on par with other states and address specific regional challenges.
“The administration of both Federal allocations and the special grant should be transparent. Accurate information dissemination and clear communication from Federal authorities are essential to prevent misunderstandings and foster trust.
“The special grant is not merely a financial transaction but a recognition of Sabah’s contributions to national wealth. It is essential to ensure these funds are effectively utilised to promote sustainable development, improve infrastructure and enhance the quality of life for Sabah’s residents,” he said.
Chin said the situation also highlights the need for ongoing dialogue between Federal and State Governments to ensure fair and equitable distribution of resources, adding Sabah’s unique status requires respectful negotiations to secure its rights and development needs.