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Sarawak expects Petronas to recognise Petros as sole gas aggregator

KUCHING: The Sarawak government expects the Petroliam Nasional Bhd (Petronas) to comply with the Distribution of Gas Ordinance and recognises Petroleum Sarawak Bhd (Petros) as the sole gas aggregator in Sarawak.

State Utility and Telecommunication Minister Datuk Seri Julaihi Narawi said Petros, as the sole gas aggregator, is now having detailed technical discussions with Petronas over the distribution of gas.

"But I would like to reiterate here that Petros has been appointed by the state government as the sole aggregator, effective Feb 24 this year, under the Distribution of Gas Ordinance," he said when winding the debate on the Distribution of Gas (Amendment) Bill at the Sarawak Legislative Assembly here.

He assured that the Sarawak government will ensure that Petros shall be able to exercise its statutory functions of procuring gas for distribution and supply of gas to all industries that require gas for their manufacturing processes and that there will be adequate supply for gas,at affordable prices, for implementation of the Sarawak Gas Road Map.

He said Sarawak, having defined legal rights and jurisdiction in matters pertaining to the distribution of gas, has consistently demonstrated its commitment to the rule of law, especially in areas governed explicitly by state legislation.

"This dedication reflects Sarawak's ongoing responsibility to manage its resources and regulatory frameworks in line with the unique needs of its people," Julaihi said.

He added as Sarawak advances its clean energy ambitions, it is essential that all parties operating within Sarawak territories recognise and respect this framework.

"Adherence to the Distribution of Gas Ordinance not only supports the orderly and sustainable development of our resources but also strengthens the cooperative foundation of our federation.

"This standard of compliance is expected from all stakeholders—local and national—who contribute to Sarawak's progress. "Moving forward, I am confident that all parties will appreciate the importance of aligning with Sarawak's regulatory standards, thereby fostering a shared commitment for Sarawak's development goals and the broader spirit of partnership within our federation," the minister said.

Julaihi said the Sarawak government fully understands the safety concerns and risks associated with hydrogen throughout its entire value chain— production, storage, transportation, and use. We recognize these risks and are committed to creating a strong regulatory framework to protect public safety and support the sustainable growth of the hydrogen sector.

He said this in response to the concerns expressed by DAP's Padungan Assemblyman Chong Chieng Jen during the debate on the amendment Bill.

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