"In the agreement, the Federal government could take the oil and gas but is liable to pay royalty in cash twice a year in the months of March and September,"
(The oil and gas activity is located about 150km off Kelantan shores and is jointly developed with Thailand. The area is a disputed by Thailand and Malaysia.)
"Sabah's oil is found 210km off its shores and Terengganu's oil and gas activity is 220km away. How can they be entitled to royalty and Kelantan doesn't get any," Husam Musa - Kelantan EXCO member
- On T-7, Muhyiddin makes the statement " The buck stops here". 2 days later, Muhyiddin is "passing the bucks". So what does that make Muhyiddin? A traffic police, directing the bucks around?
- What is it about this time? Well, as early as 1980's, there were rumours circulating about oil and gas reserves off Kelantan's coast. lately, it is said that the rigs started operating in 2004. It is currently believed that the Kelantan rig known as Cakrawala is producing 6,000 barrels of natural gas daily which are then routed to Songkla for processing. Financially, that will roped in Rm 500 K daily. Blogger Malaysian waves claimed that Kelantan should, if eligible to 5 % oil royalty, earned to the tune of RM 180M yearly. Work that for 5 years and you get a whopping RM 0.9 B (Husam Musa round it up to RM 1B).
- Shooting off from thereon, it may just be the reason why Nik Aziz wrote a letter to 1M PM6 requesting the royalty. And this, my friends is one of the core issue in Manek Urai by-election - Do Kelantan has the rights for oil royalty?
- Husam Musa, in one of his ceramah during Manek Urai's by-election, claimed that there is an agreement signed in 1975 pertaining to oil and gas between Kelantan state government and the federal government (which was then represented by Tg Razaleigh Hamzah).
- International Trade & Industry minister, Mustapha Mohamed dismiss the allegation as a non-issue. The question now is - if it is a non-issue, why is Muhyiddin Yassin aka 1M DPM instruct Petronas to answer claims over Kelantan oil royalty?
- In Muhyiddin's statement, as reported by STAR datelined 9th July 2009, Muhyiddin :-
- instructed Petronas to answer claims on oil royalty to Kelantan;
- gave 48 hours for Petronas to clarify the allegations;
- gather that the offshore areas are outside the state borders (belongs to federal administration);
- claimed that most of Petronas profits re-channeled back to the government;
- claimed that Petronas provide RM 20 ~ 30B per annum to development cost for the whole country, which directly or indirectly brings benefits to Kelantan;
- directed KESEDAR (Kelantan Development Authority) to list all roads, bridges and infrastructure completed in the past few years;
- claimed that the poverty level in southern part of Kelantan is higher, if not for KESEDAR.
- Since both sides has put their claims, the first question will be - Is Tengku Razaleigh around? He should be and furthermore he should be on campaign trail for BN's candidate in Manek Urai. Why didn't Muhyiddin enlist his help to clarify matters? Tengku Razaleigh is said to be part of the signatory and he was Petronas Chairman back in 1975. He should be the best person to clarify the statement and its implications.
- If Sabah's and Terengganu's offshore rigs are 210 and 220 km away (as compared to Kelantan offshore rigs of 150 Km) are eligible for the oil royalty, why not Kelantan? If it is in the disputed Thailand-Malaysia border, Kelantan is still the border state between Malaysia and Thailand. So it is still eligible for consideration to get the oil royalty. Do Malaysia has new state there? If yes, when did the state joined Malaysia? Mustapha Mohamed should make the statement clear. Do we have or don't we have the agreement between federal government and Kelantan regarding the oil royalty?
- 48 hours is not that long. Can we expect Petronas to clarify the issue latest by 11th July 2009 (which happens to be on Saturday?).
- Muhyiddin should quantify how much the Federal government alocated projects for Kelantan. And who controls the budget? If Kelantan deserved the oil royalty, will the federal government channel the royalty money to Kelantan state government? Or will there be another "wang ehsan" case applicable like those applied to Terengganu when the state was governed by PAS in 1999?
- As has been said countless times before, it is the federal government's responsibility to provide all the basic necessities. Listing out past projects is not answering the issue. Has the federal government done sufficiently enough and fairly in distributing projects for Kelantan?
- Whilst preparing this posting, this scribe chanced upon a statement by Mahathir Mohamed some years back that Mustapha Mohamed is one of the vocal voices who openly requested the federal government to shut the door on Kelantan and stopping projects in Kelantan. Is this true? Mustapha Mohamed should defend his position and since the accusation is done by Mahathir Mohamed, once UMNO supremo, it should be clarifies by Mustapha Mohamed. Has he betray the trust given to him by Kelantan voters?
- The Kelantan oil issue will not go away or blown away. BN must answer to the rakyat. And BN must explain to the rakyat why the double standard if Kelantan is denied the oil royalty. Is BN prepared to do that?
- Muhyiddin has said the bucks stop here in Manek Urai. Yes, the bucks has stopped but why is Muhyiddin passing the bucks to Petronas (to answer on Kelantan oil royalty issue) and KESEDAR (on roads, bridges, infrastructure projects)? Muhyiddin should do the answering and if need be, drag Tengku Razaleigh along to explain. But then again, can Muhyiddin request Tg Razaleigh to tag along? Could he? Will he?
- Will Tengku Razaleigh surfaces to tell his side of the story on the account of Petronas-Kelantan agreement? UMNO has bumped off Tengku Razaleigh many times before. Will Tengku comes out and clarify the agreement and Kelantan oil issue? If Tengku is willing, will he be standing in BN's camp or PR's camp? Who knows? He may be standing side by side with Zaid Ibrahim to explain the Kelantan oil issue.
- It's getting hot in Manek Urai and the oil issue has not been extinguished....yet. UMNO claims that they are the champion for the people, is UMNO really championing for the people or for its own political survival? Manek Urai is demanding answers and UMNO better come up with plausible explanation.
- Remember, Petronas has Kelantanese employees too so Petronas better spilled out the truth or else someone will possibly spill the beans...and UMNO may be swept off its feet with the spilled beans.
- I sense Manek Urai is slipping from BN (read UMNO). Actually, it was never theirs in the first place, although it was temporarily "loaned out" to UMNO in 2004...and that's good news for PAS. One word of advise though, PAS should never let their guards down...at least, not in the land of kapok kecik.