KOTA KINABALU: Since 2018, Pakatan Harapan (PH) has raised the special allocation for Sabah from RM26 million to RM53 million per year and then the allocation was gradually increased till RM600 million under Prime Minister Anwar Ibrahim.

Sabah Democratic Action Party (DAP) chairman Datuk Phoong Jin Zhe said from 1974 to 2018, the special allocation received by Sabah remained at RM26 million without review.

Refuting claims made by the opposition that that PH lawmakers “betrayed the people of Sabah” by withdrawing their lawsuit against the federal government over the state’s 40 per cent net revenue entitlement, Phoong said PH opted to implement real reforms through administrative negotiations within the government system.

Under Article 112 of the Federal Constitution, Sabah is entitled to 40 per cent of the net revenue collected by the federal government from the state, and this amount should be reviewed every five years.

However, from 1974 to 2018—nearly half a century—the state’s “special grant” remained unchanged at RM26 million per year, without any review.

Speaking to Sin Chew Daily in an exclusive interview at his Luyang constituency service centre, Phoong said it was only after PH came to power in 2018 that the special grant was first increased to RM53 million, and then raised annually, reaching a historic high of RM600 million under the Anwar administration.

“The party that truly achieved a historic breakthrough on the 40 per cent net revenue issue is PH, not those opposition leaders who now boast of credit. Many Sabah leaders served as federal ministers for years without ever pushing for a review of the mechanism,” he said.

He also refuted Parti Warisan Sabah president Datuk Seri Shafie Apdal.

“That budget was tabled by PH’s then finance minister Lim Guan Eng — it wasn’t any individual’s personal achievement. It was a tangible outcome of a change in government, not a slogan. The increase from RM26 million to RM600 million is a historic leap forward — but it’s not the end.”

Next Step: Coordinating with Anwar’s government to achieve the full 40 per cent

Phoong emphasised that the RM600 million allocation is only a transitional measure, and PH will continue working with the federal government to develop a concrete plan for the full implementation of the 40per cent net revenue return.

“Based on Sabah’s individual and corporate income tax contributions, if the total collection is around RM7 billion, then 40 per cent of that would amount to RM3 billion,” he said.

He added that a formal communication channel between PH and the federal government has been established, and negotiations are ongoing.

“We will not be satisfied with RM600 million. We will continue progressing step by step toward achieving the full 40 per cent. PH and DAP not only have the track record — we also have the position and ability to negotiate and execute.”

He urged voters to assess rationally:

“Political slogans are easy to shout, but history speaks louder than words. Without the 2018 change of government, Sabah would probably still be stuck at RM26 million today.”

Administrative route taken — legal right to sue retained

Addressing accusations that withdrawing the lawsuit against the federal government amounted to “selling out Sabah’s rights,” Phoong explained that PH lawmakers filed the lawsuit when they were still in the opposition to pressure the government.

“But after we became part of the ruling coalition at the end of 2022, it was no longer logical to sue our own government,” he said.

He cited former Sabah Law Society president Datuk Roger Chin’s remarks, who also explained the rationale:

“As the governing party, we cannot sue ourselves. Our withdrawal was made on the condition that we retain the right to file the lawsuit again in the future — if we are no longer in government.”

Phoong added that PH chose to pursue Sabah’s rights through administrative and policy channels while supporting the Sabah Law Society’s separate legal action, noting that the lawsuits were filed at different times.

On Friday, the High Court ordered Putrajaya to conduct a joint review with the Sabah government on the 40 per cent revenue entitlement that should be given to Sabah.

The order was made after High Court judge Datuk Celestina Stuel Galid allowed the judicial review filed by the Sabah Law Society  concerning Sabah’s constitutional right to claim 40 per cent of the net revenue collected by the federal government from the state.

A clean team is the people’s choice

When asked about current hot topics — including the death of female student Zara Qairina Mahathir, school safety concerns and a corruption video scandal involving lawmakers — Phoong did not evade the issues.

He said Zara’s case has heightened national awareness about school safety and students’ mental health, urging the government to appoint a “minister for school safety and mental health” instead of leaving the matter solely to the Education Ministry.

On the corruption scandal, Phoong drew a clear line:

“Everyone saw who appeared in the videos — but I wasn’t there, and neither were DAP members. Our team is clean, fresh, and honest. That’s a fact.”

He said the coming election would test not only political strategy but also an option on values.

“If voters despise corruption, then don’t vote for those seen in the video. DAP has no such scandal — we have achievements and capability. We are a trustworthy choice.”

Phoong also warned that artificial intelligence and disinformation will form the “invisible battlefield” of the coming state election.

“Democracy must rely on rationality and truth, not lies and fear,” he said.