Sarawak has initiated a constitutional challenge in Malaysia’s Federal Court targeting three principal federal petroleum laws, asserting they infringe upon the state’s constitutional authority to oversee its natural resources.
In an originating summons lodged this week, the government of Sarawak requests declarations that the Petroleum Development Act 1974, the Oil Mining (Licensing) Regulations 1995 and the Petroleum Regulations 1974 are void insofar as they encroach on powers solely held by Sarawak’s legislature. Citing Articles 80 and 82A of the Federal Constitution, Sarawak maintains that only its own assembly may pass legislation on land and all subterranean resources—including oil and gas.
The state argues these federal enactments were adopted without Sarawak’s approval, thereby breaching the power delegation established at Malaysia’s founding. By consolidating authority over petroleum exploration, development and licensing in Kuala Lumpur, Sarawak contends it has been deprived of the resource control promised under the 1963 Malaysia Agreement.
The petition urges the Federal Court to annul or restrict the challenged provisions, reinstating full legislative jurisdiction over upstream oil and gas affairs to Sarawak. A victory could alter the power dynamic between Malaysia’s central administration and its two oil-producing East Malaysian states.
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