Kota Kinabalu: Without representation on Petronas’ board, Sabah risks losing its voice in managing billions of ringgit in petroleum revenue, said Datuk Donald Peter Mojuntin (UPKO - Moyog) during the 2026 Sabah Budget debate.
He said the Federal Government agreed in principle around 2021 to appoint a Sabah representative to the Petronas’ board, yet the appointment has still not been made, leaving Sabah without a strategic role in decisions affecting its own resources.
“Petronas is not an ordinary company. Sabah is not an ordinary state. Without representation, Sabah is a source, but not a strategic partner in decision-making,” he said. Donald highlighted that Petronas manages offshore oil and gas resources and is the Federation’s most powerful fiscal instrument.
“As a founding partner of Malaysia, Sabah’s contributions to national petroleum revenue amount to billions of ringgit annually.
“Yet, the State remains excluded from strategic decision-making, while Sarawak has been granted broader representation,” he said.
Donald also raised the issue of Sabah’s 40 per cent revenue entitlement, noting that the High Court had ruled in October 2025 that the Federal Government is statutorily obliged to pay.
However, the Government has filed an appeal, delaying payments dating back to 1974.
“For 60 years Sabah has waited for proper recognition. Lost years are not a political figure, they are constitutional liability,” he said.
Donald called for Sabah to be professionally prepared to defend its rights.
He proposed forming a dedicated team comprising senior constitutional lawyers, actuaries, accountants and fiscal analysts to calculate liabilities and defend the 40 per cent revenue formula.
“This is not a political team. This is a team to defend Sabah’s constitutional rights,” he said.
He urged the Assembly to take a firm stand in defending the High Court’s decision and ensuring Sabah is fully equipped with the expertise needed to uphold its entitlements.
He welcomed the 2026 State Budget and urged urgent action to rectify longstanding inequalities and uphold the Malaysia Agreement 1963 (MA63).
“Sabah must no longer wait for political goodwill but receive the constitutional rights it has long been promised,” he said.
