Malaysia’s Petronas wins right to challenge Sarawak gas laws in court

2026.03.16 12:50 Petronas’ liquefied natural gas terminal at Bintulu in Sarawak is a linchpin of Malaysia’s energy exports. Photo: Handout Malaysia’s highest court on Monday allowed national energy firm Petronas to pursue a legal bid to challenge several laws passed by the state of Sarawak, amid a protracted dispute over gas distribution rights. Sarawak, on Borneo island, is home to more than 60 per cent of Malaysia’s gas reserves and has long sought greater control over its natural resources. In recent years, it has passed laws and appointed its own firm Petros to procure, distribute, supply and sell all natural gas in the state, putting it in conflict with Petronas, or Petroliam Nasional Berhad, which is wholly owned by the federal government. After two years of stalled talks, Petronas filed a motion at the Federal Court in January seeking clarity on the legal and regulatory framework governing its ⁠operations in ⁠Sarawak. Fuel pump nozzles are pictured at a Petros station in Kuching. Photo: AFP Sarawak filed a competing claim last month, challenging three federal laws governing petroleum. On Monday, the court allowed Petronas to pursue its legal bid, with the company given 21 days to commence proceedings. Petronas lawyer Cyrus Das alleged that Sarawak’s state legislature had exceeded its lawmaking powers and repeatedly relied on a colonial-era law to extend its territorial reach or jurisdiction. The state laws had also breached federal rights on oil exploration in the state, Das said. “We are challenging it on the grounds that there was ‌no competency in the ‌Sarawak legislature to pass those laws,” Das told reporters after the court hearing. team objected to Petronas’ challenge, saying that enacting laws on gas distribution was within the state’s legislative rights. 获取更多RSS： https://feedx.net https://feedx.site

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