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Sabah Gets RM25.85 Billion For Development Budget 2008-2013

KOTA KINABALU, July 16 (Bernama) -- Sabah has received RM25.852 billion through the federal development budget allocation from 2008 until 2013.

This amount did not include the allocations of millions of ringgit to ensure the security, health and education sectors in the state were at a satisfactory level, said Chief Minister Datuk Seri Musa Aman.

He said the development allocation was the benefit gained by the state, aside from the funds channelled by the federal government in the form of oil royalty.

Musa said the Sabah government would also continue to undertake various strategies and approaches that could benefit the people from the oil and gas sector like Petronas agreeing to invest in several mega projects worth about RM18 billion.

"Among the projects is the development of the Sabah Oil and Gas Terminal (SOGT). This is supported by the building of the 300-megawatt Combined-Cycled Gas Power Plant in Kimanis, which is aimed at raising the power-generation capacity to meet the increasing electricity supply demand from consumers."

Musa said this in reply to a question from Datuk James Ratib (BN-Sugut) at the state assembly sitting Wednesday. The text of his reply was read out by state Special Tasks Minister Datuk Teo Chee Kang.

The chief minister said through the assistance and cooperation of the federal government and Petronas, the state government managed to develop the oil and gas-based industry in the Sipitang Oil and Gas Industrial Park (SOGIP), and among the projects to come up would be Ammonia and Urea Sabah (Samur).

Musa said the industrial park would be generating about RM30.6 billion in investments, thus creating more job opportunities for the local people.

On the state government's involvement in the oil and gas industry, he said it was carrying out several measures pertaining to upstream, middle stream and downstream activities.

For example, he said, M3energy Sdn Bhd, a wholly-owned company of the state government, would be involved in oil exploration and production in the waters of Sabah's eastern side, and Asian Supply Base Sdn Bhd in middle stream activities and in providing support services to the oil and gas companies operating in the state's waters.

He added that Yakin Jaya Sdn Bhd, a subsidiary company of the Sabah Development Bank, would have 25 per cent equity in the Samur project and might also have equity participation in a Petronas project to be developed at SOGIP.

-- BERNAMA




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