Chong: File case on rights to O&G at High Court

KUCHING: State Pakatan Harapan (PH) chairman Chong Chieng Jen has suggested that the state government make the first move and file a case in the High Court if it is serious about reclaiming its rights over oil and gas in the state.

This, he said, would ensure that the sole authority over upstream oil and gas activities in the state is clarified once and for all.

“I think as a responsible government, you have to take the matter to court to find out whether the Petroleum Development Act (PDA) 1974 or the Oil Mining Ordinance (OMO) by the state prevails.

“Currently, it’s causing a lot of uncertainties in the oil and gas industry and this has to be clarified,” he told reporters when met after paying Tourism, Arts, Culture, Youth and Sports Minister Datuk Abdul Karim Rahman Hamzah a Raya visit at his Hari Raya open house held at Penview Convention Centre here yesterday.

He was commenting on the Federal Court’s dismissal of Petroliam Nasional Berhad’s (Petronas) application to commence proceedings to determine that the national oil company is the sole authority of all upstream oil and gas activities in the country, including Sarawak.

Chief Judge of the High Court of Malaya Tan Sri Ahmad Maarop had on Friday rejected Petronas’ application of leave to commence proceeding on the matter in the Federal Court.

Chong, who is also state DAP chairman, said the Federal Court’s decision did not clarify on whether the state government or Petronas has authority over oil and gas in the state.

“It’s neither a victory nor loss for either party at the moment and Petronas was asked to pay RM50,000 to the state government because it has filed in the wrong court. But it did not clarify the position of the law and now with this uncertainty on whether PDA or the state has the power, I think it has to be sorted out,” he opined.