SEMPORNA (July 29): The Sabah state government will set up a body to fine tune matters relating to the 20% oil royalty claim forwarded to the federal government.

Chief Minister Datuk Seri Mohd Shafie Apdal said the body would fine tune the discussion between the state and federal governments, particularly with Prime Minister Tun Dr Mahathir Mohamad.

“Because we are aware that the Pakatan Harapan manifesto contains matters relating to oil royalty for Sabah but it is somewhat different from what we understand.

“We (Sabah) asked to be given 20% based on royalty,” he told reporters after officiating  the 13th annual general meeting of the state level Education Service Pensioners Association here today.

He said the state government would ensure that the 20 per cent oil royalty claim would become a reality.

“If the addition is five plus 15 (5+15),  the royalty is based on other matters, then we have to give our views,” he said.

Earlier in his speech, Mohd ​​​​​​​Shafie said a meeting would be held with Tun Mahathir to discuss on the granting of 20% oil royalty to Sabah.

Recently, Economic Affairs Minister ​​​​​​​Datuk Seri Mohamed Azmin Ali said the federal government could not expedite the granting of 20% oil royalty to petroleum producing countries because it was stipulated under the Petroleum Development Act 1974 that the royalty was based on gross profit and not net profit.