Sabah foreign intrusion proves the failure of Putrajaya’s security zone - DATUK DR. JEFFREY KITINGAN

Sabah foreign intrusion proves the failure of Putrajaya’s security zone

Datuk Dr. Jeffrey Kitingan is the Chairman of STAR Sabah and State Assemblymen for N33, Bingkor, Sabah.

He also contested in P180, Keningau garnering 11900 strong votes

KUALA LUMPUR, Nov 16 — The murder and abduction of a Taiwanese couple in Sabah yesterday proves the failure of Putrajaya’s latest efforts to keep the state’s border secure from foreign intruders, several Sabah opposition politicians have said.

They demanded immediate resignations from Datuk Seri Hishammuddin Hussein and Datuk Seri Ahmad Zahid Hamidi in the face of the incident, insisting that both men, as the ministers of defense and home affairs, should be held responsible for the apparent oversight by security personnel and the Malaysia-Philippines border.

State Reform Party (STAR) chairman Datuk Jeffrey Kitingan said this was particularly the case as the incident, which the police believe involves Islamist terrorist groups Abu Sayyaf and Al-Qaeda, had occurred despite the formation of the Eastern Sabah Security Command (Esscom) in April.

“With the creation of Esscom, the placement of seven battalions, the government is saying we are very secure, (but) where is the security?” Kitingan told The Malay Mail Online today.

“It shows that this measure taken has not been effective. The government needs to do something; Somebody has to take responsibility for this. This is a security issue...it’ll drive away the tourists,” added the Bingkor assemblyman.

Unidentified gunmen stormed the Pom-Pom Island Resort off Sabah’s eastern coast at about 1am yesterday, raiding five water villas, shooting dead Taiwanese tourist Hsu Lim Min, 57, and abducting his 58-year-old wife, Chang An Wei.

The resort, which is accessible by a 45-minute boat ride from Semporna in Sabah and just a 30-minute ride from the Philippines’ Tawi-Tawi islands, is located under a kilometer away from a General Operations Force (GOF) base.

The GOF base was among the others set up under Esscom, which covers the 1,400-km coastline from Kudat to Tawau, following the incursion of Sulu militants from southern Philippines into Lahad Datu in February.

Esscom was allocated RM75 million in Budget 2014. 

Esscom director-general Datuk Mohammad Mentek was also quoted as saying by national news agency Bernama last September that seven battalions - comprising military and police personnel — would be deployed soon in the Sabah east coast, but did not specify the date.

PKR’s Penampang MP Darell Leiking said that the murder-cum-abduction case showed a “total failure” of the security forces, pointing out that this was not the first time such kidnappings have occurred in Sabah waters.

“I appreciate that they’re protecting our nation, but probably, the focus should be made more on intrusions that are already ongoing in Sabah by these foreigners,” Leiking told The Malay Mail Online today.

“At the same time, they should stop all those entries into Sabah, not only pirates, but also people who are seeking citizenship...The people of Malaysia have allowed them to utilize the federal budget to protect Sabah, and yet this incident has happened,” added the PKR deputy secretary-general.

The murder and abduction of the Taiwanese couple occurred just three months after nine Malaysian fishermen were briefly abducted from two boats off Mabul Island, near Semporna, by Philippine gunmen, but were released hours later.

In February, over 200 gunmen claiming to be followers of the Sulu Sultanate invaded Lahad Datu to lay claim over Sabah, resulting in a four-month conflict that had caused almost 80 fatalities, including the deaths of 10 Malaysian security personnel.

In 2000, Abu Sayyaf gunmen kidnapped 21 people, including 10 foreign tourists, at Sipadan Island off Sabah, but released them six months later.

Sabah DAP chief Jimmy Wong also said that Hishammuddin should resign as defense minister following the latest abduction.

“A simple test of the Esscom has failed,” Wong told The Malay Mail Online today.

“The coastline has a lot of illegal squatters. The houses of illegal squatters on all the islands and the coastal areas should be demolished. For the first time in Abu Sayyaf’s history, they shot somebody. They kidnapped, but also shot and killed, which means they’re desperate for money,” he added

Credits: Yahoo! News

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Umno young guns straining ties between Putrajaya and Sarawak, says James Masing

Sarawak's outspoken Land Development Minister, Tan Sri Dr James Masing, has accused young federal leaders, particularly those from Umno, of causing friction between Putrajaya and the state government.

He said their lack of understanding of the Malaysia Agreement and how the federation was formed, makes them think that they are the masters and leaders from Sarawak and Sabah should be subservient to them.

Without wanting to name names, Masing, a senior minister in Chief Minister Tan Sri Abdul Taib Mahmud's Cabinet, said in state capital Kuching that these young Umno leaders should be humble enough “to pick up the history book and relearn the history of Malaysia”.

“They should be reminded of the understanding for the formation of Malaysia, the agreements that were signed, the position of Sarawak and Sabah in the federation and the special rights and autonomy we have.

“When they talk to us, they make themselves feel as if they are superior while we in Sarawak, are their coolies.

“Personally, I get irritated with those leaders who do not treat us from Sarawak as equal partners in the administration of this federation,” he said yesterday.

Masing also said he gets upset with Umno leaders asking him questions like: “Oh! When did you leave Malaysia?” when in Kuala Lumpur or Putrajaya to attend meetings.

“I told them I never left Malaysia. I only just flew in from Kuching. It maybe small talk but it showed their thinking.

“We in Sarawak and Sabah seemed to be like an appendix to West Malaysia."

“There are only four signatories to the formation of Malaysia – Malaya, representing the 11 Straits Settlements and Malay states, Singapore, Sarawak and Sabah (then known as British North Borneo).

“Not 11, 12 or 15 signatories. Only four. Sarawak and Sabah are regional entities of their own and we should be regarded and treated like one," he pointed out.

Masing said unless and until these young leaders understand all these historical facts and start respecting the agreement, there will always be friction between Putrajaya and the state particularly when federal policies do not take into account Sarawak and Sabah's special position.

Issues that are currently straining state-federal ties, Masing said, is the Home Ministry's decision to ban the use of the word "Allah" in Christian publications, a decision which the Court of Appeal upheld in a controversial ruling last month.

The decision had fanned the anger of the 1.6 million Christians in East Malaysia against Putrajaya as it was seen by people in the two states as breaching the very first point of the terms Sabah and Sarawak drew up when Malaysia was formed.

“How could they then say the ruling is applicable only in West Malaysia and not in East Malaysia? How could we have two sets of rule for one country?

“Then you get an Umno minister saying that if East Malaysians were to come to the peninsula, they have to respect the laws of the peninsula as West Malaysians are not used to Christians using Allah,” he said in reference to Tourism Minister Datuk Seri Nazri Aziz who recently warned East Malaysian Christians that they cannot use the word in Peninsular Malaysia.

“That's arrogance."

Sarawak's autonomy over immigration, which places curbs and restrictions on people from the peninsula from coming into the state freely and to work, is another matter that has also been continually questioned by members of parliament.

Masing said BN leaders, whether they are from the peninsula, Sabah or Sarawak, “must discuss issues intelligently, with great sensitivity and as equal partners and not as boss and subordinate”.

“Arrogance must not come into the picture. There must be a spirit of understanding.

“If our federal leaders are not mindful of the Malaysian Agreement, then the fears voiced by one of our Malaysia founding fathers, Tun Jugah Barieng, might ring true,” Masing said.

Jugah, the paramount chief of the Ibans, voiced loudly his scepticism and doubts of sincerity on Sarawak's long-term position in Malaysia when he famously said: “Anang Malaysia sebaka tebu, manis di pohon, tawal dihujung” (Malaysia should not be like the sugar cane, sweet at the head and getting less sweet towards the end).

“That would be most unfortunate,” he added.

Masing said his criticism was not to demand a review of the Malaysia Agreement but a demand that federal leaders be reminded of the terms and agreements in the formation of Malaysia and start respecting them.

The friction, he noted, could jeopadise the chances of the Barisan Nasional (BN) in the coming state election. The mandate of the Sarawak government ends in 2016.

“I hope the federal leaders take this as a constructive criticism as I want the BN to administer this nation for years to come.”

Parliament last Wednesday rejected an emergency motion tabled by Darell Leiking (PKR - Penampang) for a special committee to review the 18 and 20-point agreements.

Deputy speaker Ismail Mohamed said although the motion is definite and of public interest, he still rejected it on the grounds it was not urgent. - November 17, 2013.

Source: http://www.themalaysianinsider.com/malaysia/article/umno-young-guns-straining-ties-between-putrajaya-and-sarawak-says-james-mas

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Masing wants review on state’s position in Malaysian federation

KUCHING: Sarawak’s position in the Malaysian federation should be reviewed from the historical aspect, says Minister of Land Development Tan Sri Datuk Amar Dr James Masing.

He said unless the issue was addressed urgently, the BN might have to fight an uphill battle in the next state election scheduled in 2016 and the parliamentary elections scheduled in 2018.

“Is Sarawak one of the 14 states or one of the four regions which signed the Malaysia Agreement.

“If the federal leaders cannot answer this question, the people of Sarawak will continue to be left out in terms of development funds,” Masing told The Borneo Post at his residence here yesterday.

On another issue, Masing who is also Parti Rakyat Sarawak (PRS) president was still sore about his party’s poor representation in the Federal Cabinet.

“I am a bit disappointed that parties apart from PBB have been neglected in terms of portfolios and in terms of appointment. And also not only in terms of numbers but the portfolios that is important to Sarawak and Sabah,” said Masing.

Currently PBB which won 14 seats in the last general election has four full ministers and two deputy ministers.

Masing said it would only be sensible that in the upcoming Federal Cabinet reshuffle, MPs from PRS and other BN component parties such as Sarawak Progressive Democratic Party (SPDP) should be included.

Currently, only PRS deputy president Datuk Joseph Entulu is in the Federal Cabinet as Minister in the Prime Minister’s Department.

The party’s other appointment was given to its vice-president Datuk Joseph Salang but he turned it down. Salang was subsequently appointed chairman of 1Malaysia Sarawak Advisory Council recently.

Masing also implied that if Malaysia Chinese Association (MCA) could not make up its mind whether to take up the slot of Transport Minister, it should be given to other BN component parties.

This he said was because MCA fared badly in the last 13th general election, winning just seven seats out of 37 seats it contested.

“PRS contested in six seats and we won all of them. To govern a country, it’s not just about how many seats you have (won out of the number of seats you contested) but also how your party has performed during elections,” he reiterated.

As such, Masing saw no reason why the slot of the Transport Minister could not be allocated to PRS. Currently, Transport Minister is being held by Datuk Seri Hishamuddin Tun Hussein, who is also the Minister of Defence.

Masing was commenting on Star’s Sabah chief Datuk Dr Jeffery Kitingan that both PRS and SPDP should be daring enough to ask for better representation in the Federal Cabinet as Prime Minister Datuk Seri Najib Tun Razak had indicated that there would be a cabinet reshuffle after MCA’s annual general meeting next month.

Read more: http://www.theborneopost.com/2013/11/16/masing-wants-review-on-states-position-in-malaysian-federation/#ixzz2ksGejlHB

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The Politics of "Cari Makan" in Sabah

Arnold Puyok

Sabah politicians have always been driven by what I call as the politics of ‘cari makan’. But before I go any further, let me first explain what the politics of ‘cari makan’ means.

For Sabah politicians, politics is not about understanding people’s problems and turning those problems into policy solutions. These are not in the Sabah politicians’ vocabulary. Politics for them is simply about finding the ways and means to get access to the state’s development resources - often, in order to gain monetary benefits quickly. So, becoming a politician in Sabah is one of the fastest ways to become rich - or an instant millionaire.

When news about a former opposition assemblyperson leaving his party came out, it was hardly news at all – at least for me. This is Sabah! Sabah politicians like to ‘jump’ to ‘cari makan’. The excuses given by the assemblyperson who used expressions such as “for the people”, “for development’s sake”, “loss of confidence”, etc, etc, are not new and have become a cliché in Sabah.

But to be fair to the assemblyperson, he may have a “strong” reason to leave his party. It is his democratic choice to decide his future political direction. It may be argued that his leaving the party was for the interest of his electorate whom he thought might be better served under a more resourceful and financially able party. So, if this is the case, the assemblyperson cannot be blamed. It is the system that forces him to leave his party.

In Malaysia, opposition leaders are often relegated to a second-class status even though they are voted by the rakyat to represent them. The system is seriously skewed in that only elected representatives from the ruling party have access to the state’s development resources to develop their constituencies. This puts the opposition parties in a disadvantageous position - without sufficient financial resources, it is rather difficult to serve the rakyat’s needs satisfactorily.

There is also a question about moral principles of elected representatives. The argument against defecting to another party is that the leader has betrayed the trust of people who voted for him under the party he represented. But it may be argued that voters’ voting preference might be influenced by the candidate’s popularity than by the party’s standing.

So, rather than questioning the moral integrity of the defecting leader, the main issue here is how to increase the accountability of elected representatives so that they will not use their political position to ‘cari makan’. I suggest a number of ways.

First, parties from both sides of the political divide must use the ‘bottom-up’ approach in selecting potential candidates to run in an election. The potential candidates must be vetted from the lowest level of representation such as the village to the highest level of representation in the party. The current practice of most political parties is to choose candidates who are closer to the centre of power instead of those who are closer to the electorates.

It is also important for the potential candidates to appear in a council-type debate. The ability to debate and to articulate issues of public interest is essential to increase the accountability of elected representatives. The final stage of this process is a vetting by an independent body within the party to choose the most suitable candidate to contest in an election. The process of selecting a candidate must be done early and not one or two days before the election.

Second, potential candidates must declare their assets publicly. Assets declaration by elected representatives is part and parcel of a functioning democratic society. By declaring their assets, elected representatives may be discouraged from using the public office to accumulate wealth or to involve in commercial activities in which they may have certain hidden interests. The role of elected representatives is to serve people and not to make money.

Drawing the line on political funding

Thirdly, a law must be enacted to prevent elected representatives from using their political position to expand the business interests of their allies, family members, or other parties with whom they may have certain vested interests with.

The law must also draw the line very clearly in respect to political donation, political funding, campaign programmes, and so on to ensure that elected representatives do no take advantage of those activities mentioned to serve their own personal interests. 

Fourthly, the status and prestige of the legislative assembly must be elevated. Assembly meetings should be conducted regularly, and not a one-day sitting as in the case of the recent Sabah assembly proceeding. Assembly debates should be live telecast so that the electorates can assess the performance of their representatives.

Proposed enactments should be pre-debated and previewed before they are brought to the assembly for deliberation.

All this while, most people do not have any idea about what is going on in the assembly. The general perception about assembly sittings is that they are boring, a waste of time, and do not affect the day-to-day life of public. Elected representatives have a duty to explain to the rakyat that the legislative is an important government institution as it is the ‘brain’ that determines the future of the country.

Fifthly, political parties must conduct an empowerment session or a capacity building programme to train their elected representatives.

Most of the elected representatives think their work is done after winning the election. Some spend more time at golf courses, at hotel lounges, and at karaoke outlets than in their constituencies to serve the rakyat.

Elected representatives must be trained how to debate, how to write and evaluate policies, and how to initiate grassroots-level programmes, among other things.

Finally, the government must set up a people’s tribunal as an avenue to lodge complaints against underperforming elected representatives. Most elected representatives regard themselves as “untouchable”, “semi-god”, and worse, a “boss”.

Through the people’s tribunal, elected representatives will be made accountable to the people they serve. It is also an avenue for people to speak up openly and critically about issues which their representatives fail to address satisfactorily.

It is important for elected representatives to have the moral courage to explain to people their every action - including to defect to other party or to become an independent - as in the case of the opposition assemblyperson earlier.

But what is more important is for people to be empowered so that they can hold their elected representatives accountable. People - especially Sabahans - have had enough of leaders who become elected representatives simply to ‘cari makan’. Elected representatives who merely want to ‘cari makan’ are an impediment to the country’s progress. People of all races and religions should stand up and say ‘no’ to this kind of leaders. 

Source: http://www.malaysiakini.com/news/246082

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Bagaimana sabah boleh mendapatkan kuasa pemerentahan dan kuasa ekonominya semula sebagai sebuah negara? - HENDRY MINAR

BAGAIMANA SABAH BOLEH MENDAPATKAN KUASA PEMERENTAHAN DAN KUASA EKONOMINYA SEMULA SEBAGAI SEBUAH NEGARA?

Hendry Minar is a candidate for State Reform Party (STAR) for DUN Keranaan, Ranau, Sabah in GE-13

Negara Sabah boleh mendapatkan semula kuasa pemerintahannya dan kuasa terhadap ekonomi Negara Sabah dengan adanya perpaduan antara semua bangsa yang ada di Negara Sabah. 

Ini kerana, Negara Sabah adalah sebuah Negara yang dijajah dengan cara halus melalui teknik “Dasar Pecah dan Perintah (Divide and Rule)” Mengapa? Dengan cara inilah Negara Sabah senang untuk dijajah, tidak akan dapat bersatu dan sukar untuk mendapatkan kuasanya disebabkan tiada penyatuan suara daripada rakyat Negara Sabah untuk menuntut hak-hak Negara Sabah. 

Penyelasaian kepada masalah ini adalah melalui “Perpaduan”. 

Dengan adanya perpaduan ini maka kita akan menjadi Satu Suara yang Kuat untuk menuntut hak-hak Negara Sabah seperti hak keatas ekonomi dan kuasa pemerintahan sesuai dengan 20 Perkara Negara Sabah yang menjadi syarat kepada pembentukan Persekutaun Malaysia.

Mari bersama merenung perkara ini demi masa depan sabah dalam malaysia. 

Bersatu kita menterjemahkan.

Jangan lagi kita digula-gulakan.

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EXCLUSIVE: Dato Kalong Ningkan once said: "SARAWAK IS FOR SARAWAKIANS"

Page 51 of the book "Challenging Times" by Tunku Abdul Rahman

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EXPOSE: 60,000 kad pengenalan palsu kepada pekerja asing di Sabah sekitar 90-an, atas arahan Umno.

Kabel diplomatik Amerika Syarikat yang bocor mendedahkan, bekas pengerusi Suruhanjaya Pilihan Raya (SPR) Tan Sri Abdul Rashid Abdul Rahman mengakui pernah mengeluarkan lebih 60,000 kad pengenalan palsu kepada pekerja asing di Sabah sekitar 90-an, atas arahan Umno.

Kabel yang dimuat naik di portal Wikileaks memetik bekas ketua NGO pemantau pilihan raya Mafrel Malek Husin sebagai mendakwa Rashid (kiri) mengakui perkara itu dalam pertemuan peribadi di rumahnya pada 25 Oktober, 2006.

Dalam kabel yang ditandakan sulit itu, Malek dilaporkan memberitahu pegawai Kedutaan Amerika Syarikat di Kuala Lumpur bahawa Rashid mengesahkan Umno melancarkan kempen ‘kotor’ sekitar 90-an untuk merampas Sabah – yang dikuasai PBS, ketika itu pembangkang, pada 1994.

“Sepanjang dekad berkenaan, Umno memberikan kewarganegaraan dan kad pengenalan Malaysia kepada lebih 600,000 pekerja pendatang asing (kebanyakan beragama Islam dari Indonesia dan Mindanao di Filipina) di Sabah, sebagai pertukaran untuk undi mereka pada pilihan raya negeri.

“Menurut Husin, Rashid ‘mengakui secara peribadi mengeluarkan lebih daripada 60,000 kad pengenalan palsu di Sabah’ bagi membantu Umno menguasai politik di sana,” kabel itu dipetik.

Kewarganegaraan ‘segera’ dan hak mengundi untuk pendatang tanpa izin telah lama menjadi isu di Sabah, dengan pemimpin tempatan, sama ada dalam atau luar BN berulang kali menuntut penyelesaian daripada kerajaan persekutuan.

Bagaimanapun, tiada apa yang dilakukan berhubung tuntutan berkenaan.

Keadaan didakwa semakin parah pada tahun 1990-an, dengan kesalahan diletakkan di bahu perdana menteri ketika itu Tun Dr Mahathir Mohamad kerana didakwa melancarkan apa yang dikenali sebagai ‘Projek IC’.

Ia operasi haram yang didakwa membabitkan Jabatan Pendaftaran Negara, agensi kerajaan berkaitan dan ejennya dengan tujuan meningkatkan undi Umno dan BN.

Pada pilihan raya negeri 1994, PBS – yang menguasai Sabah sebagai negeri pembangkang sejak tahun 1985 – mendapati majoritinya di Dewan Undangan Negeri (DUN) merosot mendadak.

Walaupun PBS akhirnya tumbang rentetan beberapa pembelotan kepada BN, ramai menyalahkan ‘Projek IC’ sebagai punca kejayaan BN menerajui Sabah semula.

Namun barang harus diingat,tuduhan ini belum terbukti kerana kami tidak menjumpai sumber wikileaks yang diperkatakan.

Lagipun,bukti percakapan tanpa ada bukti fizikal seperti rakaman audio,video atau sebagainya,amat sukar untuk diterima-pakai.

Walaubagaimanapun, sekiranya terdapat sumber-sumber yang jelas mengenai perkara ini,eloklah pihak-pihak berkaitan mengambil tindakan selanjutnya.Samada ingin membuka siasatan atau sebaliknya,ianya terpulang.

Namun,kes ini amat berat pada pandangan kami.ianya berkaitan dengan sebuan badan yang sepatutnya bebas daripada tekanan mana-mana parti politik yang memerintah.

Apa pandangan anda mengenai isu SPR mengeluarkan kad pengenalan palsu ini?

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Issue a betrayal of Malaysia Agreements – ACS

UNITED WE STAND: (From left) John Ha, Bolly, Steward, Dr Su, Lawrence, Ng and Ambrose.

KUCHING: Churches in Sarawak yesterday affirmed in front of about 1,500 forum participants their stand on the recent ban of the word ‘Allah’ in the Catholic weekly bulletin ‘The Herald’.

Association of Churches (ACS) in Sarawak chairman Archbishop Datuk Bolly Lapok said the Bumiputera Church would continue to use the word ‘Allah’ as it is fundamental to all aspects of their profession and practice of the Christian faith.

“Any attempt to forbid the use of the word ‘Allah’ by non-Muslims would be most regrettable and wholly unacceptable as it is a flagrant disregard and betrayal of the Malaysia Agreements that guarantee the inalienable rights of non-Muslims in Sarawak and Sabah to complete religious freedom.”

Bolly, who is also Archbishop of the Province of South East Asia, Council of Churches Malaysia acting president and Christian Federation of Malaysia deputy chairman, said these rights must be given its rightful place and that religious bigotry, racism and extremism must be contained.

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Malaysia Agreement back in the spotlight - AMANAH

In the wake of parliament's refusal to debate the Malaysia Agreement, Amanah has invited Tengku Razaleigh Hamzah to talk about the "non-fulfillment" of the terms.

KOTA KINABALU: Parliament’s rejection of a motion by Sabah MP to debate the 18/20 points Malaysia Agreement has spurred Angkatan Amanah Merdeka (Amanah) here to organize a public talk and a round table discussion on the issue.

Tengku Razaleigh Hamzah will present a keynote address at a discussion on the 20-Points Malaysia Agreement.

Amanah deputy president Wilfred Mojilip Bumburing said the forum follows parliament’s rejection of the motion which was brought by Penampang MP Darrel Leiking.

“Razaleigh has agreed to come and repeat a speech he gave at a forum held in Kuala Lumpur recently entitled “The Non-fulfillment of the 20 and 18 Point Agreement with Sabah and Sarawak,“ the Tamparuli assemblyman told FMT Friday.

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Credits: FMT

The mission of Amanah:

1. To rekindle the legacy, promise and ideals of Bapa Malaysia and the Founding Fathers so that all Malaysians may live together as members of a truly just, fair, progressive, united and happy national community

2. To earnestly acknowledge, affirm and respect the sovereignty of the constituent states of the Malaysian Federation, consistent with the principles of federalism, consistent with democratic principles and in true spirit of the Constitution

3. To ensure that our national institutions respect and uphold the rule of law, democratic principles, rights and universal values.

4. To support a government and administration that is:

- transparent and accountable,

- truly competent and efficient,

- free of corruption and cronyism,

- clean and honest,

- fair and trustworthy,

that will be fully able to serve its functions and meet its responsibilities, freely and fairly. An administration that will always be mindful of the rights and interests of the people in whose name and cause it is appointed to serve.

5. To promote the socioeconomic well-being of the people, so that all Malaysians may enjoy truly advanced, progressive, fair and equitable lives — individually upholding filial piety and other noble values and collectively joined together in sincere family kinship as members of our national community and as stakeholders in our common national destiny.

6. To support an economic policy that will help achieve and sustain a high standard of living for the people, based on the principle of justice, fairness and balance, consistent with the constitution and under a stable monetary condition.

Yours sincerely,

Wan Saiful Wan Jan

Amanah Central Committee Member

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PRESS STATEMENT: “Implement Verbal Support of Sabah as Far East Hub" - DATUK DR. JEFFREY KITINGAN

PRESS STATEMENT: “Implement Verbal Support of Sabah as Far East Hub – Dr. Jeffrey”

Kota Kinabalu: “The Sabah government should put its foot in its mouth and implement the proposed Plan of the Federation of Sabah Industries (FSI) (formerly Federation of Sabah Manufacturers – FSM) and turn Sabah into the “Hub of the Far East” as giving verbal support is of no use to the Plan" said Datuk Dr. Jeffrey Kitingan, STAR Sabah Chief, commenting on the report that the Sabah government supports the said Plan.

“The Plan by FSI to turn Sabah into the “Hub of the Far East” or so-called “Dubai” of the Far East is realistic, achievable and very good for the long term economic development of Sabah and welfare of Sabahans based on my briefing from FSM then” added Dr. Jeffrey.

Considering the overall benefits of the Plan, the Sabah government should quickly establish an Implementation Committee with the FSI and all stakeholders to put the Plan into action.

Sabah occupies a strategic and central location in the Far East and is nearer to Hong Kong, China, Taiwan, Japan, even to the USA than Port Klang or Pasir Gudang in the Peninsula. 

It makes no business sense for goods from and to these countries from Sabah to go through Port Klang first. 

The detour to Port Klang costs more money and takes a longer journey time. 

In a comparative study, it cost RM3, 833 and at least 14 days to ship a container from Kota Kinabalu to Tokyo, Japan but only cost RM2, 082 and 11 days to ship the same container from Penang to Tokyo. A similar container from Kota Kinabalu to Auckland. New Zealand, will cost RM5, 033 and take 28 days compared to RM4, 197 and 20 days from Penang. 

By shipping direct from Kota Kinabalu to Tokyo will render costs to be cheaper and faster thereby making exports from Sabah immediately more competitive as an investment and manufacturing destination.

Based on an analysis done on the revenues of local shipping companies protected by the unfair and the crippling cabotage policy, Sabahans pay about RM1.2 billion a year based on 400,000 TEUs at RM3, 000 average shipping costs per 20 foot container. This works out to the equivalent of RM35 per Sabahan per month or RM175 per household of 5 persons.

RM175 per month may be loose change for corrupt leaders but it constitute 10% of the average Sabah household income of RM1, 751 based on figures from the Ministry of Human Resources, Malaysia.

Therefore, it is imperative as part of the Sabah government initiative to make Sabah the Far East Hub, the Sabah government need to open up all the ports in Sabah to international shipping lines and bypass the Cabotage policy. 

This can be done by a Sabah law passed in the State Assembly.

By opening up the ports in Sabah, it will be a boon for local manufacturing activities and immediately render Sabah exports more competitive in the global markets especially to Hong Kong, China, Taiwan, Japan and the USA.

From 2012, the income of shipping companies derived from the operation of Malaysian ships has been 70% exempted from tax and the income of any person employed on board a Malaysian ship is also exempted from tax. 

These incentives should be extended to Sabah manufacturers and industries with exports. They need to be compensated in order to enjoy the same shipping costs as their Peninsula counterparts. 

Therefore, the Sabah government needs to secure that Sabah manufacturers and industries with exports be granted a 100% tax incentive for their export value for a period of 10 years.

This move, amongst the various other measures that can be adopted to make the Far East Hub a success, will enable Sabah manufacturers and industries to re-capitalize and re-invest. It will also lure potential investors to invest in Sabah.

According to the Department of Statistics, in 2012 the manufacturing sector in Sabah contributed only 1.9% of Malaysia’s GDP with only Kelantan and Perlis having a lower contribution. 

Domestically, the manufacturing sector contributed only 7.9% of Sabah’s GDP compared to 27.0% in Sarawak, 31.5% in Selangor and 48.4% in Penang. There is much room for improvement in Sabah’s manufacturing sector.

If the Plan to turn Sabah into the “Hub of the Far East” is implemented and Sabah promoted as a competitive and investment destination, there will be much needed economic spin-offs. 

Employment opportunities will be generated, human capital development will be enhanced rendering no necessity to “export” our youths to the Peninsula and Singapore for factory jobs. 

Only then will Sabah be an economic powerhouse in line with the vision of the Sabah Development Corridor Blue Print 2008-2025. 

The promotion of Sabah as the Far East Hub will grow and eventually contribute to Sabah’s and Malaysia‘s economic progress and development. 

Datuk Dr. Jeffrey Kitingan is the Chairman of STAR Sabah and State Assemblymen for N33, Bingkor, Sabah.

He also contested in P180, Keningau garnering 11900 strong votes

Datuk Dr. Jeffrey Kitingan

Chairman, STAR Sabah

14 November 2013

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