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Bintulu Port takeover: Compensation to federal government still under review

KUCHING: A technical committee is still determining the quantum of compensation to be paid by the Sarawak state government to the federal government for the takeover of Bintulu Port, Deputy Premier Datuk Amar Douglas Uggah said today.

He said that this is one of the key issues under discussion by the committee.

"We are working on how much the state government needs to compensate the federal government for the takeover of the port," Uggah told reporters after visiting the Unit For Other Religions (Unifor) Charitable Trust building, which is in the final stages of completion.

"We are engaging with the Federal Transport Ministry to finalise the outstanding issues.

"Once these matters are resolved, we will proceed with the transfer of Bintulu Port from federal to state control," added Uggah, who is also the state Minister of Infrastructure and Port Development.

He said that the official transfer of the port is still expected to take place by the end of this year.

Following the takeover, all ports in Sarawak will come under the control of the state government.

In July this year, Parliament passed the Federal Port (Repeal) Bill 2024 and the Bintulu Port Authority (Dissolution) Bill 2024, which aim to repeal the Bintulu Port Authority Act 1981 and dissolve the Bintulu Port Authority.

Bintulu Port was declared a federal port by an Act of Parliament in 1978, became operational in 1981, and has since become Sarawak's largest container port and the country's sole export gateway for liquefied natural gas (LNG).

Commenting on the dissolution of the Bintulu Port Authority, Deputy Prime Minister Datuk Seri Fadillah Yusof said the takeover by the Sarawak government is in line with the Malaysia Agreement 1963 (MA63).

He added that the move also aligns with the Port Authorities Ordinance 1961, under which all ports in Sarawak are under the jurisdiction of the state government.

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