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Media Statement by Lim Kit Siang in Petaling Jaya on Tuesday, 23rd February 2010: 


Oil royalty – Najib is Razak’s son or Mahathir’s heir?

I agree with veteran Umno leader Tengku Razaleigh Hamzah that the federal government’s full-page advertisements in Malay weeklies on the oil royalty controversy is an insult to the intelligence of all Malaysians.

The full-page advertisements contain an important omission – the reply 35 years ago in Parliament by the then Prime Minister, Tun Razak to my question whether all states in Peninsular Malaysia, Sarawak and Sabah had signed agreements with Petronas for oil exploration along the coastline and what were the joint profits for the state.

As recorded in the Parliament Hansard of November 12, 1975, this was Tun Razak’s reply: “All states in Malaysia, except Sabah and Sarawak, have signed the agreement with Petronas under the Petroleum Development Act 1974. I have been informed that Selangor had agreed to sign the agreement.

“Under the agreement, each state will receive 5 per cent of the value of petroleum found and extracted from each of the states, whether onshore or offshore, that is sold by Petronas or agencies or contractors.”

Since I resurrected in Parliament in November last year Tun Razak’s categorical undertaking in Parliament 35 years ago on the five per cent oil royalty rights of the states, Cabinet Ministers had conspicuously avoided the subject – just like the full-page federal government advertisement explanations on Sunday.

Is Datuk Seri Najib Razak, the sixth Prime Minister, the son of Razak the second Prime Minister or the heir of Tun Mahathir, the fourth Prime Minister on the oil royalty controversy?

If Tun Razak is alive today, would he have agreed to the gross violation of the states’ oil royalty rights in blatant breach of the Petroleum Development Act 1974 as initiated by Mahathir in 2000 to politicize the issue and deny the PAS government of Terengganu its rights to the state oil royalties? Or would he have honoured the agreements he assigned Tengku Razaleigh to sign with all the state governments when he was Prime Minister?

There can be no question that on this issue, Tengku Razaleigh is more to be trusted than Mahathir.

Najib should demonstrate that he is Razak’s son or not Mahathir’s heir on this issue to restore justice to the states, whose fundamental strate rights have suffered insidious erosion in the past few decades.

*Lim Kit Siang, DAP Parliamentary Leader & MP for Ipoh Timor



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