Thursday, May 14, 2015

Bustari Yusuf and Pan Borneo Highway project in Sarawak Legislative Assembly



Y.B. Encik Chong Chieng Jen: No, no. Otherwise I will not have move the motion.
Otherwise I will not have supported the motion of Ahli Yang Berhormat Semop when he
hijacked my motion. All right, let me come back to my debate. With the State having its
rights on Sales Tax on top of GST, now we Sarawakian will be paying double taxes on oil
palm products, on tyres and also 4-D tickets. The other incident of Yang Amat Berhormat
failing to protect Sarawakian interest is the award of the Pan Borneo Highway projects. The decision-making process is controlled by the Board of Director of Lebuhraya Borneo Utara
(LBU), where the west Malaysian are the majority in the Board of Directors.
Six, Yang Amat Berhormat talks about closing down the internet gambling centres,
but 3 months later, many internet gambling centres are back in business, now some even
with the local council’s entertainment licences operating legally. They changed the machine
kuda to machine ikan. But they are operating legally with entertainment license but in actual
fact it is gambling operation...(interruption)

Tuan Speaker: You should assist rather than glorifying.

Y.B. Encik Chong Chieng Jen: Ya, I am assisting. I’m bringing this fact to assist the
government. Alright, number seven Yang Amat Berhormat talks about preserving the forests
and thus go hard on illegal loggings. Tuan Speaker, if you look at the figure that is provided
by the Minister in last week's debate, the actual culprit of deforestation in the State is not the
illegal loggers. We don’t condone illegal logging. Surely illegal logging must be stopped.
But the actual culprit of deforestation is not illegal loggers it is actually the policy of the
government. Why I say that Tuan Speaker? If we look at the figure annually our timber
production volume is about 10 million meter cubic ranging between 9 to 10 to 11. About 10
million meter cubic. Look at the illegal logs seized. Highest amount of volume log was in
2004. It was only 14,000 meter cubic it is hardly even 1% of the legally logging ...
(interruption)

Tuan Speaker: Yang Berhormat, you are in breach of Standing Order 32(3) because this
has been discussed ... (interruption)

Y.B. Encik Chong Chieng Jen: Okay, I will proceed of ... (interruption)

Tuan Speaker: You are repeating unless there is a substantive motion for the rescission ...
(interruption)

Y.B. Encik Chong Chieng Jen: Doesn’t matter. Alright, I’m just telling ... (interruption)
Tuan Speaker: You stop this ... (interruption)

Y.B. Encik Chong Chieng Jen: Okay I stop. I’ll go on to the next point ... (interruption)
Tuan Speaker: Alright, alright.

Y.B. Encik Chong Chieng Jen: With all the above seven matters, that I’ve mentioned, it is
abundantly clear that many announcements of his new policies have been neutralized or
rendered ineffective by the BN policies and the government agencies.
I have said before, to reform the system is not an easy task. Yang Amat Berhormat
will face many obstacles within the Barisan Nasional parties and the government
administration. What is required is a very strong political will.
We all want a better Sarawak for Sarawakian. Yang Amat Berhormat wants it. I
believe many of the Honorable Members from the other side wants it also, we also want it.
But we believe that a better Sarawak only can be achieved through transparency, good
governance, fair policies and a strong opposition to provide a check and balance in the
system.

As Yang Amat Berhormat has previously mentioned that, he is willing to listen to the
Opposition and also to work together with the Opposition. I, on behalf of the Opposition, wish to say that we are also of like mind. We can co-operate and work with the Government,
not in the sense of joining BN, let it be clear. Not in the sense of joining BN but by pointing
out the short-comings of the policies of BN. So that such policies can be changed for the
better.

Tuan Speaker, our words may be harsh, our criticism may be strong, but our
intention is good. I believe, together we can get rid of the dead woods and the rotten apples
in Barisan Nasional and the administration and strive a better Sarawak for Sarawakians. Not
a Sarawak for a few privilege Sarawakians and also not a Sarawak for a few selected
Sarawakians families. But a Sarawak for all Sarawakians.

Tuan Speaker, point number two on 20% oil royalty demand. Almost a year after
unanimous resolution in this august House on the 20% is oil and gas royalty, it is clear that
such demand is going no way. The Chief Minister is hitting brick walls on this matter and
has to openly seek help of the Prime Minister so that Petronas will accede to our claim.
Tuan Speaker, do not be so naïve about the so-called Prime Minister’s help.

Petronas is a company controlled by the Federal Government. If Prime Minister agrees to
accede to our demand for the 20% oil royalty, there is no way that Petronas cannot agree on
it. By now, if the Prime Minister agrees on this 20% of oil royalty demand, by now Petronas
would have agreed to it.

If one were to take into consideration of the oil royalty for the Federal Government,
the declared dividend and the tax revenue on the Petronas profit, the Federal Government in
total, is getting about 30% to 40% of the total revenue from the production of oil and gas in
Sarawak. We, instead are getting 5%.

Therefore the demand for 20 percent is only fair and necessary to put us Sarawak as
equal partners with the Federated State of Malaya. Now that the nice and cordial approach
as adopted by State Barisan Nasional is getting no way. We need a stronger and harsher
and more drastic measure to implement the resolution of this House.

Tuan Speaker: Such as?

Y.B. Encik Chong Chieng Jen: I will give you two suggestions. The first one, the first
suggestion is to use our immigration power and cancel the work permit of all the West
Malaysian currently employed at the executive and managerial level in the office of Petronas,
MLNGs and the subsidiary companies in Sarawak. Cancel their work permit. They cannot
continue to work in Sarawak. This will put a halt, maybe, a stop to its operation production
until the matter is finally sorted out. It may cause some loss of revenue but it is better to put
a halt to the production than to allow the continuous extraction when we are only getting five
percent royalty. Afterall, if the operation were stopped, oil and gas will still remain in our soil.
We have, Tuan Speaker, prohibited religious bigots and extremists from entering
Sarawak. Add on to the list, prohibits the robbers who plunder and robe us from our natural
resources. And this Petronas in a sense can be regarded as robbers who robe us, robe
Sarawakians of our natural resources. That is suggestion number one. Not so drastic.
Suggestion number two, more drastic. Join the National Pakatan Rakyat to form the
government. The figure will tell. Tuan Speaker, Pakatan Rakyat nationally has 86 MPs,
PSM has one, listen, listen ... (Interruption)

Tuan Speaker: No, no, no.

Y.B. Encik Chong Chieng Jen: Sarawak BN has 25 ... (Interruption)

Tuan Speaker: Order order. Your Pakatan Rakyat ... (Inaudible)

Y.B. Encik Chong Chieng Jen: Pardon? Federal, federal, federal level.

Tuan Speaker: Include ... (Inaudible) or not?

Y.B. Encik Chong Chieng Jen: Federal level ... (Interruption)

Tuan Speaker: So ... (Inaudible)

Y.B. Encik Chong Chieng Jen: You can ask from PKR. Ahli Yang Berhormat from Batu
Lintang. You will agree. Alright, Sarawak Barisan Nasional has 25 Members of Parliament,
Sabah has 22 Members of Parliament, just Sarawak Barisan Nasional joining force with
Pakatan Rakyat, we can get 112 MPs, just nice to form the federal government. It is in the
manifesto Pakatan Rakyat that 20 percent oil royalty be accorded to Sarawak. And with that
Tuan Speaker, once we step out this position, Sabah will follow soon. So all the 22 MPs of
Sabah will follow suit. The join force and we can get our twenty percent oil royalty.

Tuan Speaker: Ya, you have two minutes more.

Y.B. Encik Chong Chieng Jen: This is my suggestion Tuan Speaker. If they do not agree,
doesn’t matter. You have no right to say. At the end of the day you also have to listen to
your Chief Minister.

Tuan Speaker: Two minutes more.

Y.B. Encik Chong Chieng Jen: Number three, not enough Tuan Speaker. Tuan Speaker,
the appointment of Lebuhraya ... (Interruption)

Tuan Speaker: I have given injury time.

Y.B. Encik Chong Chieng Jen: Ya, thank you. Five minutes.

Tuan Speaker: No. I have given. That is why two minutes more.

Y.B. Encik Chong Chieng Jen: No lah. As the main contractor for the RM27 billion Pan
Borneo Highway did not go through an open tender process. Though LBU is a registered
company, has a registered address in Sarawak but four out of seven of its Directors are
West Malaysians. Therefore it is literally controlled by West Malaysian. Alright, though it
claims that the work will be distributed amongst Sarawak contractors, but this Sarawak
contractors will only be sub-contractors while the main-con, LBU will get the lion’s share of
the profit, the so called Ali Baba commission. Even during the initial rounds of meetings, the
engineer from the Kementerian Kerja Raya Malaysia, headed by the West Malaysian officers,
have been very condescending towards our local engineers and consultants, demanding
that the local engineers design the highway with cheaper and lower-quality designs, so as to
reduce the costs of construction.

Tuan Speaker, there are also political implication and ramification of this project.
Basically, this LBU is controlled by the Bustari Yusuf group who has close links to the top
leaders of UMNO. They are also aligned to the Federal Minister Fadillah faction within the
PBB. The implementation of this project will be carried out for at least another eight years.
During this period, the sub-contractors and/or the sub-sub-contractors will be beholden to
this group. In other words, the UMNO top leaders will yield their controls over the payments to the sub-contractors. When one controls the money source, he controls a lot of other
things.

I urge the government to be more wary on this aspect and its political implication. Let
it not be an opening for direct UMNO influence to set foot in Sarawak.

To avoid such a scenario, I propose that the State Government put its foot down now,
at this initial stage to take over the shareholdings and directorship of LBU, after all it is only a
shelf company, incorporated for the special purpose of getting this project. Therefore, it is
viable, it is feasible for the State Government to step in now and demand that the
shareholders be the Sarawak Government. And that our Sarawak Government officer be
appointed as Director.

Tuan Speaker: You have to conclude.

Y.B. Encik Chong Chieng Jen: Okay, one last point. Tuan Speaker, two quick ones. The
Wholesale and Distributors Association of Kuching, Samarahan Sarawak. They have
applied for a piece of land at 6 ½ mile, Jalan Penrissen, Lot 1798, Block 233, KNLD to
construct a whole seller market in Kuching here. We are a city, we have two mayors but we
do not have a whole seller market. I think it is time that the government approve this project
and they were told that this land will be given to Berry Tan’s Company again. So, I hope the
government will look into it and stop all these crony operation. The last one would be Best
House Development project at Taman Kota Sentosa. It is an abandoned project, and now I
have helped to appoint a liquidator and the liquidator come in trying to revive the project.
There are two impediments to these projects. One, is that one of the three parcel of land
that was amalgamated for the project has expired. Number two, is that condition for the
construction of low-cost houses.

Now Tuan Speaker, hundreds of purchasers have purchased the house and until
now there’s no OPs (occupation permit), right? Some of them have moved-in without OP,
some of them cannot move in because its 90%, 80% completed. So therefore, I urge the
government to step in. This is one of the largest abandoned projects, I’ve spoken about it
before and I urge the government to step in to waive the condition for the construction of the
low cost houses although it is in liquidation. Number two, to extend the leasehold of one of
the three parent title, parent lot, so that the developer, the contractor who are going to
continue with the abandoned project can legally and safely continue with this project. Can I
move on to another point?

Tuan Speaker: You have, you’ve to conclude, conclude.

Y.B. Encik Chong Chieng Jen: Dudong’s time, Dudong’s time ... (Interruption)

Tuan Speaker: You’ve to conclude.

Y.B. Encik Chong Chieng Jen: Pardon?

Tuan Speaker: You’ve to conclude, conclude.

Y.B. Encik Chong Chieng Jen: One last time, last time ... (Interruption)

Tuan Speaker: You’ve to conclude, Honorable Member, otherwise ... (Interruption)

Y.B. Encik Chong Chieng Jen: Last time, land matter, land matter ... (Interruption)

Tuan Speaker: To conclude.

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