Mahathir got it all wrong on 20% royalty, says Sarawak minister

July 21, 2018

PBB vice-president Karim Abdul Rahman Hamzah says there is a big difference between the existing deal Sabah and Sarawak have been receiving, which is 5% of gross sales, and the one Mahathir proposed to give. 

Parti Pesaka Bumiputera Bersatu (PBB) veep Karim Abdul Rahman Hamzah says the prime minister is only trying to pacify oil-producing states by saying royalty is increased to 20% of profit.

KUCHING: A Sarawak politician is unimpressed by the recent announcement made by Prime Minister Dr Mahathir Mohamad that Sabah and Sarawak will definitely be given a 20% oil royalty but the calculation will be based on profits instead of gross sales.

Speaking to FMT, Parti Pesaka Bumiputera Bersatu (PBB) vice-president Karim Abdul Rahman Hamzah said Mahathir had got it all wrong and his announcement of 20% royalties from profit will not go down well with the people in both the Bornean states.

“Royalty is a payment made to a legal owner of properties while profit is a financial benefit realised when revenue from a business activity exceeds the expenses, production cost and tax.

Dr M salah tentang royalti 20%, kata menteri Sarawak

July 21, 2018

Karim Abdul Rahman berkata ada perbezaan besar antara perjanjian sedia ada dengan tawaran Dr Mahathir. 

Karim Abdul Rahman berkata perdana menteri hanya cuba meredakan negeri-negeri pengeluar minyak apabila mengatakan royalti akan dinaikkan kepada 20% berdasarkan keuntungan.

KUCHING: Seorang ahli politik Sarawak tidak gembira dengan pengumuman Perdana Menteri Tun Dr Mahathir Mohamad baru-baru ini mengatakan Sabah dan Sarawak akan diberi royalti minyak 20% tetapi kiraan berdasarkan keuntungan dan bukan jualan kasar.

Naib Presiden Parti Pesaka Bumiputera Bersatu (PBB), Datuk Karim Abdul Rahman Hamzah berkata Dr Mahathir sama sekali salah dan kiraan royalti 20% berdasarkan keuntungan itu tidak akan diterima oleh rakyat di kedua-dua negeri itu.

“Royalti adalah bayaran yang dibuat kepada pemilik yang sah manakala keuntungan ialah manfaat kewangan apabila hasil aktiviti perniagaan mengatasi perbelanjaan, kos pengeluaran dan cukai.