Shafie voices concern over heavy reliance on oil and gas
Published on: Thursday, May 15, 2025
Published on: Thu, May 15, 2025 Text Size: 'If prices stay low, Sabah could lose hundreds of millions in revenue which is enough to wipe out the projected RM24 million surplus and push the state budget into a deficit,' Shafie said. Kota Kinabalu: Warisan President Datuk Seri Mohd Shafie Apdal expressed concern about Sabah's heavy reliance on oil and gas revenue, which accounts for over 40 per cent of projected income. 'The State Government's calculations are based on an oil price of USD76 per barrel, but current prices hover around USD60. 'If prices stay low, Sabah could lose hundreds of millions in revenue which is enough to wipe out the projected RM24 million surplus and push the state budget into a deficit,' he said. He also noted the State's alarming unemployment rate of 7.9 per cent in the third quarter of 2024 (highest in Malaysia) representing over 170,000 jobless Sabahans. 'We want to work together with the rakyat to save Sabah so our children can inherit a future filled with hope and a Sabah we can all be proud of,' he said in a statement, Wednesday. He accused the Gabungan Rakyat Sabah (GRS) Government of mismanaging the State's record RM6.4 billion budget for 2025, claiming it has failed to address the fundamental issues facing Sabahans. Shafie said despite having a budget twice the size of Selangor's and six times larger than Penang's, Sabah remains the poorest state in Malaysia. 'Despite the record budget, Sabah remains the poorest state in Malaysia. Eight out of the 10 poorest districts in the entire country are in Sabah,' he said. 'If the economy is really growing as GRS claims, why are people still struggling to find jobs?' he said. He said employed Sabahans continue to face wage stagnation with median monthly earnings increasing by just RM18 from RM1,864 in Q1 2023, while food prices remain the highest nationwide. Shafie said half of Sabah's workers earn less than RM2,000 a month. He also raised concerns about child welfare in Sabah, pointing out that one in four Sabahan children under five is stunted, the highest rate in Malaysia. 'This reflects a failure in nutrition, rural healthcare and education. The GRS government has failed to plan for the next generation,' he said. He also expressed concern over recent corruption cases in the education sector, including a school principal in Kudat charged with making false claims amounting to RM85, 000 and two education officers remanded for allegedly receiving bribes tied to school maintenance contracts worth over RM600,000. 'These cases reflect a failure in governance. The Malaysian Anti-Corruption Commission has repeatedly reported misuse of funds and false claims in Sabah's education system but GRS has done little to fix the system or hold those in power accountable,' he said. Additionally, he criticised the State Government for what he described as wasteful spending on publicity events while neglecting essential infrastructure and services. 'All across Sabah, we see and experience water cuts and murky supply, frequent electricity outages disrupting homes and businesses, crumbling roads riddled with potholes that isolate rural communities and skyrocketing prices of basic goods that continue to hike the cost of living.' * Follow us on Instagram and join our Telegram and/or WhatsApp channel(s) for the latest news you don't want to miss. * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available.
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