KUCHING: Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg declined to comment further on former Economy Minister Rafizi Ramli’s remarks regarding the need for careful negotiations over the ownership and revenue distribution of gas resources between Petroliam Nasional Bhd (PETRONAS) and Petroleum Sarawak Bhd (PETROS).
“That is his view. I have no comment,” he told reporters after officiating the Public Sector Financial Transformation Conference 2025 at a hotel here today.
In the latest episode of his podcast ‘Yang Berhenti Menteri’, Rafizi warned that any missteps in the negotiation process could have serious repercussions on the national economy.
He said that if Sarawak’s claims over gas resources were accepted without considering the current financial structure, PETRONAS could lose between RM15 billion and RM20 billion annually.
“That’s not a small amount,” he said.
Rafizi pointed out that PETRONAS currently contributes between RM30 billion and RM35 billion annually to the federal government.
Should this amount decline, he said it would affect the country’s ability to fund essential services.
“PETRONAS is the nation’s main revenue contributor, and its annual dividend supports a wide range of public services, including schools, hospitals, infrastructure development, pensions and the salaries of civil servants in Sarawak and across the country,” he added.
Although the revenue is not directly channelled into the Sarawak State Treasury, Rafizi noted that federal funds derived from PETRONAS dividends are used to build schools, hospitals and roads in the state.
“So, if PETRONAS loses RM20 billion, it won’t be able to pay RM35 billion in dividends to the federal government,” he said.
He added that such a shortfall could lead to a downgrade in Malaysia’s credit rating, significantly increasing government borrowing costs.
Rafizi also noted that Malaysia is currently paying RM48 billion annually in interest payments, and that figure could rise to RM60 billion if the nation’s credit rating falls due to instability in the oil and gas sector.
