The Sabah government has pledged to do everything necessary to obtain comprehensive data on federal revenue collected in the state, including the possibility of requiring all companies operating in Sabah to register locally.
Sabah Finance Minister Datuk Seri Masidi Manjun gave the assurance during the state assembly sitting on Monday in response to a proposal by Senallang assemblyman Datuk Seri Shafie Apdal, who urged the state to take firmer steps to address long standing data gaps.
“We will do whatever it takes to ensure we get the data we need.”
“That proposal [to register all companies operating in Sabah] is indeed one of the options being considered. Our legal team is reviewing whether such a move would involve legislative changes or other implications,” he said during the question and answer session at the Sabah legislative assembly in Kota Kinabalu on Monday.
Shafie had earlier raised concern over the state’s inability to obtain reliable figures on tax and revenue generated in Sabah, calling for greater accountability from companies, including Petronas, FELDA, and plantation firms.
“If these companies are operating in Sabah, we must insist they register here,” Shafie said.
“Even if federal firms don’t cooperate, we can start with our own state GLCs and agencies.”
Masidi’s remarks were in respond to the supplementary questions posed by Datuk Seri Mohd Shafie Apdal (Senallang-Warisan) and Datuk Darell Leiking (Moyog-Warisan).
Earlier, Assistant Finance Minister Datuk Julita Majungki revealed that the state government had made 13 formal requests for federal revenue data but had yet to receive a response.
“The lack of access to this information has hampered the state’s ability to calculate its rightful share of federal revenue,” she said.
Despite the impasse, Majungki said the state government had proceeded to estimate its entitlement based on available data and reasonable assumptions, submitting claims for the years 2020 to 2023 using the original formula enshrined in the Federal Constitution—2.5% or 40% of net federal revenue collected in Sabah, under Article 112C of the Tenth Schedule.
Majungki also confirmed that negotiations between the state and federal governments are set to resume on 30 June 2025, following a meeting chaired by Deputy Prime Minister Datuk Seri Fadillah Yusof in March.
Should those talks fail, she added, the state reserves the right to appoint an independent assessor, as provided for under Article 112D(6) of the Constitution.
“The state government remains firm in seeking not only a fair quantum but also restitution for the lost years—between 1974 and the present—during which no review of the special grant was conducted,” she said. – April 14, 2025
