Sabah’s Role as Oil Producer Justifies Diesel Subsidy, Says Ewon

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Kota Kinabalu (Mar 27) - Ewon Benedick has reiterated that Sabah should continue to receive diesel subsidies, pointing to the state’s long-standing contribution as a major oil and gas producer in Malaysia.

Speaking in Kota Kinabalu, he emphasised that Sabah’s natural resources have played a significant role in supporting national development, including benefiting regions without similar energy reserves. He argued that it is only reasonable for the state to receive meaningful returns from the wealth generated within its borders.

Ewon said the matter is not solely about financial support but also about fairness in how resource-producing states are treated. He noted that Sabah’s contributions to the country’s oil and gas sector should translate into tangible benefits for its people.

He also urged the Federal Government to give greater attention to the needs of oil-producing states, particularly in ensuring that fuel resources are managed in a way that supports local communities.

Commenting on recent changes to diesel subsidy policies, he raised concerns over the reduction of the subsidised quota from 300 litres to 200 litres. He called for clearer explanations from Putrajaya on the reasoning behind the adjustment, while acknowledging that global developments, including geopolitical tensions, have influenced fuel pricing.

Ewon further suggested that policymakers review how fuel exports are balanced with domestic needs, especially for states like Sabah that rely heavily on diesel for economic activities and daily use.

Despite differing views on federal-state matters, he stressed that such discussions should be handled constructively and should not affect national unity.

For Sabahans, the issue of diesel subsidies remains highly significant, as fuel plays a central role in daily life and economic activities. Diesel is widely used in transportation, fisheries, agriculture, and logistics across the state.

Ewon’s remarks reflect broader concerns about whether Sabah is receiving fair returns from its natural resources. Continued subsidies could help keep fuel prices stable, preventing increases in the cost of goods and services.

However, the reduction in subsidy quotas may impact individuals and businesses that depend heavily on diesel, potentially raising operating costs. This is especially important for rural communities, where reliance on fuel-powered transport is greater.

Overall, the discussion highlights ongoing concerns about fairness, resource distribution, and cost of living in Sabah, with policy decisions likely to have direct effects on households and businesses throughout the state.

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