KOTA BHARU — March 7, 2019: The federal government will pay Kelantan its oil royalty after the withdrawal of the state’s lawsuit against it and Petronas is completed.
The state government has started proceedings and the withdrawal is expected to be settled next month.
“After the proceedings are settled, we will execute what we have promised by making the payment directly to the state government,” said Economic Affairs Minister Datuk Seri Mohamed Azmin Ali today after a talk at Universiti Malaysia Kelantan.
Azmin said the government has made all oil royalty payments for 2018 to Terengganu while Kelantan only received a portion due to the legal dispute.
The Kelantan government had filed a lawsuit against Petronas in 2011 and began the proceedings to withdraw the suit last October.
Azmin, who is chairman of the Kelantan State Action Council, gave the assurance that he would give attention to the development of Kelantan, including the university, to improve the socio-economic status of Kelantanese. — Bernama