The first motion - Territorial Sea Act

Tuan Speaker: 

I have received three motions. Ahli Yang Berhormat, I had received a motion dated 25th May 2016 from the Honourable Member for Batu Lintang. The first motion is on Territorial Sea Act. I shall therefore invite him to read up his motion. Member for Batu Lintang.

YB. Encik See Chee How: 

Thank you Tuan Speaker. My motion is as follows;

“WHEREAS On 20th May 2016, at the Asean-Russia Commerorative Summit in Sochi, Russian Energy Minister Alexander Novak said that the Russian state oil and gas firm Zarubezhneft “is exploring the possibility of acquiring the assets of the Malaysian Petronas.” The Russian state news agency Tass quoted the Minister:

“As for Zarubezhneft, it is studying opportunities to undertake projects in Malaysia” and “Zarubezneft has a lot of experience to enhance the effectiveness of existing fields, and offers its services and participation.”

On 8.12.2015, this Honorable Dewan had unanimously passed a motion expressing the state’s commitments to review federal acts, including the Territorial Sea Act 2012, the Continental Shelf Act 1966 and the Petroleum Mining Act 1966 which are deemed to have encroached upon the rights of Sarawak, particularly to our natural resources and constitutional territorial jurisdiction.

On 16.12.2015, this Honorable Chief Minister had affirmed that the constitutionally and legality of the aforesaid Acts as may involve altering the territorial boundary and jurisdiction of the State will be raised with the Federal Government.

Numerous Petronas oil and gas fields including those with existing Petroleum Sharing Contracts (PSC) signed are located within the territorial waters of Sarawak.

WHEREFORE, the Dewan resolves that:

This Dewan is committed to uphold the territorial integrity of Sarawak. Give notice to the federal government to clarify this matter and to assure this Dewan of the State’s power and rights to participate in all negotiations and to give prior consent for any future transactions affecting purportedly Petronas assets within Sarawak territory. Thank you.

Tuan Speaker: 

Ahli-ahli Yang Berhormat, Article 1(3) of the Federal Constitution states: “Subject to clause (4) the territories of each of the States mentioned in clause (2) are the territories comprised therein immediately before Malaysia Day.”

Prior to Malaysia Day, 16th September 1963, the territory of Sarawak is its current land territory, territorial waters, continental shelf adjacent and contiguous to its entire coastline. The territorial sea covers the superjacent waters, the sea bed and subsoil beneath the waters and what is called the Economic Zone.

In pursuance of the Colonial Boundaries Act 1895, the Sarawak (Alteration of Boundaries) Order in Council 1954 was made whereby “the boundaries of the Colony of Sarawak are hereby extended to include the area of the continental shelf being the seabed and its subsoil which lies beneath the high seas contiguous to the territorial waters of Sarawak.”

“This order in Council extends the boundaries of Sarawak so as to include the continental shelf beneath the high seas contiguous to the territorial waters of the colony.”

Parliament had passed the Territorial Sea Act 2012. Under Section 3 (3) of the Act which reads:-

“For the purpose of the Continental Shelf Act 1966 [Act 83], the Petroleum Mining Act 1966 [Act 95], the National Land Code [Act 56/65] and any written law relating to land in force in Sabah and Sarawak, any reference to territorial sea therein shall in relation to any territory be construed as a reference to such part of the sea adjacent to the coast thereof not exceeding 3 nautical miles measured from the low-water line.”

However, this Act must satisfy Article 2 of the Federal Constitution which reads:- 

“Parliament may by law –

(a) admit other States to the Federation;

(b) alter the boundaries to any State,

But a law altering the boundaries of a State shall not be passed without the consent of that State (expressed by a law made by the Legislature of that State) and of the Conference of Rulers.”

The Conference of Rulers has not consented to the Territorial Sea Act 2012. 

The State Government had made representations objecting to the said Act. This august House has not

consented to the said Act pursuant to Article 2 of the Federal Constitution.

In a debate on the motion unanimously passed by this House on 8th December 2015, Honourable Minister for Land Development, as he then was and Honourable Member for Baleh stated the State Government’s stand as recorded in Hansard dated 8th December 2015, page 23 as follows:-

“To review all legislations that affect the State’s rights to its natural resources or the exercise powers and functions in relation thereto under the Federal Constitution, within its boundaries and upon such review, to amend or repeal such legislation.”

On page 25 of the same Hansard the said Honourable Member continued:- “It has already commenced discussions with the Federal Government to address the issues and find solutions to: 

Review these Federal Laws, such as the Territorial Sea Act, 2012, the Continental Shelf Act, 1966, Petroleum Mining Act, 1966 and extension of the Merchant Shipping Ordinance 1952, amongst others which are deemed to have encroached upon the rights or the State especially, to its natural resources and constitutional jurisdiction.”

Hansard page 27: “To review and amend those Federal Laws which encroached in our State rights especially those relating to the natural resources of the State.”

In tandem with this stand of the State Government the Right Honourable Chief Minister reiterated the position of the State Government as repeated in Hansard dated 16th December 2015, pages 60 & 61:-

“The constitution provides that the borders of the State, the boundaries of the State cannot be altered without the consent of the legislature of that State. It may be that the Territorial Waters Act and Continental Shelf Act and the Petroleum Development Act infringe on the territorial boundary of Sarawak.

That is the question that has to be decided if I am given time, I cannot do it within the next few months and if you give me more time I can raise that matter. That is what we want in Sarawak, you are the first to raise the matter, if you want to join the band wagon, you are welcome.

At the last sitting, now the Honourable Member for Batu Lintang is here, I want to inform you Sir that the matter you raised regarding the Territorial Waters Act and the Continental Shelf Act and the Petroleum Development Act which might involve altering the boundaries of the State which requires the consent of the legislature of the State, we will look into this matter and raise it with the Federal Government.”

The State election had just concluded. It is the same State Barisan Nasional Government with a bigger and stronger mandate. Portfolios have changed but the stand of the State Government on this issue remains steadfast and the pursuit of this goal and stupendous task will be given an added zest and zeal.

The necessity of debating it again does not arise. As for the purported sale of Petronas’s shares to a Russian Company, this had been categorically denied by Petronas as reported in The Borneo Post dated 26th May 2016.

To discuss on this matter would be academic.

This motion violates Standing Order 23(6), which reads:-

“No motion relating to a matter contained in the Federal Legislative List shall be in order.” 

The Right Honourable Chief Minister will give a full detailed deliberation on this subject in his winding up address.