FEDERAL, S’WAK GOVTS AGREE ON RM1.8 BLN STATE TAKEOVER OF BINTULU PORT – LOKE

KUALA LUMPUR, Feb 4 (Bernama) -- The federal government and the Sarawak state government have, in principle, agreed on a value of RM1.8 billion for the state's acquisition of Bintulu Port, the Dewan Rakyat was told today.

Transport Minister Anthony Loke said the federal government and the Sarawak state government are now at the final stage of the process to hand over the port to the state.

He said a technical committee jointly chaired by both parties is fine-tuning the legal aspects to ensure that all obligations are fulfilled as provided under the Bintulu Port Authority (Dissolution) Act 2023 [Act 59], before the effective date of the Act is set.

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“This step is important to enable the Sarawak state government to officially take over the regulation and governance of Bintulu Port.

“The federal government has also determined the payment value as well as the payment method to be adopted by the Sarawak state government for the purpose of acquiring the port,” he said during the question-and-answer session.

He was replying to an original question from Oscar Ling Chai Yew (PH–Sibu) on the current status of the takeover of Bintulu Port, including the amount to be paid by the Sarawak state government to acquire the port.

Loke said the takeover only involves the port’s regulatory body, namely the Bintulu Port Authority, and not port operations, which are managed by concessionaire company Bintulu Port Holdings.

He explained that the Bintulu Port Authority receives concession payments annually from the concession-holding company, and any investment to expand the port will be undertaken by the concessionaire.

“Therefore, there is no issue of the Bintulu Port Authority requiring funds from the federal government, as it continues to receive concession payments from the company operating the port,” he said.

Loke said the asset valuation is still being refined between the federal government and the Sarawak state government through several mechanisms, including a technical committee, a working committee and a special committee jointly chaired by the Transport Minister and the Sarawak Deputy Premier, with all details expected to be finalised in the near future.

In terms of information disclosure, he said it is subject to the agreement of both parties and that, as far as the Transport Ministry is concerned, there is nothing to hide as the transaction is being carried out transparently.

“Regarding the Sarawak state government’s financial capability, there is no cause for concern as the state government has the capacity to pay the amount, which was agreed upon after several rounds of negotiations between the Prime Minister (Datuk Seri Anwar Ibrahim) and the Sarawak Premier.

“In fact, the Sarawak government intends to make a lump-sum payment to the federal government, and this is welcomed,” he added.

-- BERNAMA