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Petros will need strategic alliances to grow, says Abang Jo

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Sarawak Premier Abang Johari Openg: State Not Greedy in Demands over Oil and Gas Resources

Petalings Jaye, 24 November 2024

Sarawak is not being greedy in its demands over oil and gas resources, and will further develop the state oil company Petros, said Sarawak Premier Abang Johari Openg. He emphasized that Petros will need strategic alliances with other partners in order to further develop itself.

Organic Development and Strategic Alliances

"I believe in organic development. You have to start somewhere. And then you grow together and build this company. And you must have a strategic alliance with other partners," he said at a groundbreaking ceremony for a power plant in Miri. "You cannot be on your own. Petros cannot be on its own only. Petronas cannot be on its own only. Other companies cannot be on their own. There must be synergy and there must be collaboration between us."

Sarawak’s Move to Appoint Petros as Sole Aggregator

Sarawak has appointed Petros to be the sole aggregator for gas distribution in Sarawak, a move disputed by Petronas, the national oil company. Abang Johari dismissed accusations that the state was being "greedy" about oil and gas reserves, saying it was a matter about managing its resources that would result in positive results for the state and the country.

Constitutional Right to Gas Distribution

"Constitutionally, we have the right to gas distribution. And we appointed Petros as the sole gas aggregator. And this was done based on our law," he said. "Hence, I and the Sarawak government, we develop according to the law and legislation. And we share (our resources)."

Industry Concerns and Backlash

Sarawak’s move has been viewed with concern by analysts and others in the industry, who said it could backfire with both state and federal governments standing to lose from such an arrangement.

Conclusion

Sarawak Premier Abang Johari Openg’s stance on the appointment of Petros as the sole aggregator for gas distribution in Sarawak is a matter of managing the state’s resources for the benefit of both the state and the country. While some may view the move as greedy, Abang Johari remains committed to developing Petros through strategic alliances and ensuring the state’s constitutional rights are respected.

FAQs

Q: Why did Sarawak appoint Petros as the sole aggregator for gas distribution?
A: To ensure the state’s constitutional right to gas distribution and to develop its resources for the benefit of both the state and the country.

Q: What is the stance of Petronas on Sarawak’s move?
A: Petronas has disputed Sarawak’s appointment of Petros as the sole aggregator for gas distribution, saying it should be done on a national level.

Q: What are the concerns of analysts and others in the industry about Sarawak’s move?
A: They believe the move could backfire, resulting in losses for both state and federal governments.

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