KOTA KINABALU: The federal government is open to negotiating a petroleum revenue deal with Sabah, similar to the one in place with Sarawak, said Prime Minister Datuk Seri Anwar Ibrahim.
Speaking at the state-level Kaamatan Festival in Penampang, Anwar said he has no objection to Sabah receiving a greater share of oil and gas income, as long as discussions are structured and responsible.
“We did it with Sarawak—why not Sabah? I have no problem,” he said, suggesting that the same federal-state negotiation model could be applied.
He emphasised that national, federal, state, and Petronas interests must all be protected. Anwar also criticised politicising the issue, saying progress comes from negotiation, not street-level rhetoric.
Addressing Sabah’s long-standing frustrations, he acknowledged persistent issues like electricity, clean water, education, healthcare, roads, and poverty. While recognising valid concerns, he urged appreciation of recent development efforts.
Sabah currently receives 5pc in petroleum cash payments a deal local leaders have long considered unfair. The state is pushing for a better arrangement under the Malaysia Agreement 1963.
Anwar said while Sabah’s needs are important, the government must also serve other states with limited resources. Still, he reaffirmed the federal commitment to support Sabah’s development and address real, ongoing challenges faced by its people.
