Sarawak awaiting federal approval for RM1.8 billion Bintulu Port transfer
An archive image showing Bintulu Port. Photo: Office of the Premier of Sarawak.
BINTULU, May 9: The formal handover of Bintulu Port to the Sarawak government, involving an estimated RM1.8 billion in compensation to the federal government, is currently awaiting endorsement from the Federal Cabinet.
Federal Minister of Transport Anthony Loke stated that the financial settlement is intended to compensate the federal government for its past investments in the port’s development and infrastructure.
“We are ready at the ministry level, but it needs to be endorsed by the cabinet. Once it’s endorsed, we will set a date for the signing of the agreement,” Loke said at a press conference today.
The transition follows the historic passing of the Bintulu Port Authority (Dissolution) Bill 2024 and the Declaration of an Area in the Bintulu District to be a Federal Port (Repeal) Bill 2024 in the parliament last June.
These legislative changes pave the way for the port to change its status from a federal facility to a state-owned entity.
Loke emphasized that the federal government remains supportive of the transition and is committed to facilitating a smooth handover.
“This is a significant milestone for Sarawak, and we are working closely with the state government to ensure all technical and financial aspects are finalized,” he said.
Upon completion of the handover, Bintulu Port, a premier deep-water facility and the main gateway for Sarawak’s liquefied natural gas (LNG) exports, will be integrated into the newly established Sarawak Central Port Authority.
The Sarawak government has expressed its readiness to take over the facility, with the goal of centralizing port management to further stimulate the state’s economic growth and industrial development. – TVS