Petronas-Petros deal could face ‘Tabung Haji’ reckoning in future, warns expert

A former member of the MACC’s consultation and corruption prevention panel has warned that a settlement between Petronas and Sarawak’s state-owned Petros could face future accountability issues if perceived as a political compromise rather than a national-interest decision. Walter Sandosam emphasized that the political circumstances surrounding such an agreement could later be scrutinized, even if it is currently defended as a practical solution.

This warning comes ahead of Prime Minister Anwar Ibrahim’s upcoming meeting on the implementation of the Malaysia Agreement 1963, where petroleum and revenue matters are expected to be key issues. Petronas and Petros have been in talks over the Sarawak company’s role as the state gas aggregator, amid a broader dispute over authority in the oil and gas sector.

Sandosam, who is also the former president of the Institute of Internal Auditors Malaysia, noted that the changing political context, with the federal government now more dependent on Sabah and Sarawak, creates opportunities for political horse-trading. He cautioned that granting Petros greater leeway over the aggregator issue could later be framed as a decision that weakened Petronas and the federal government’s position.

Sandosam cited the experiences of Tabung Haji and Felda, where decisions made in a previous political climate were later revisited amid concerns over abuse of power, poor governance, and oversight failures. He stressed that any agreement must be assessed not only on the immediate political outcome but also on its long-term protection of the country's interests.

Brief written by urgent.news from Malay Mail's own syndicated text. Machine-written — may contain errors; check the original before relying on it.