He said the amount of compensation will be studied by the relevant ministries.

“It may be something that can be discussed between the government and the menteris besar. We can sit down to agree on the compensation,” he said at the launch of a digitalisation programme for small businesses.

Pahang menteri besar Wan Rosdy Wan Ismail said he hoped the federal government would consider rewarding Pahang for reserving more than 57% of the state as forest reserves.

Last year, Kedah menteri besar Muhammad Sanusi Md Nor told the state assembly that the state government was seeking RM100 million in compensation from the federal government for using the Ulu Muda forest reserve in Sik as a water catchment area.

He said the state government had negotiated with the natural resources ministry to seek compensation to maintain the catchment areas.