Sabah finance minister II Masidi Manjun said this was 73% of the total sales tax revenue of RM1.1 billion expected to be collected this year.

He said the total collected from the implementation of the sales tax on April 1, 2020 until June 30 this year amounted to RM2.45 billion.

“In the state government’s efforts to expand resources and increase state revenue, two more petroleum products will be subject to state sales tax starting Aug 1, 2022.

“These products are ammonia and urea. They are estimated to contribute RM46 million to the state revenue this year,” he said.

Replying to an oral question from Yong Teck Lee (SAPP-appointed assemblyman), Masidi said the state government always ensured that state revenue collection was not only strong but also optimised to contribute towards the development of the state and the well-being of the people as a whole.

“Therefore, the state government is looking seriously not only at the collection of sales tax on petroleum products but also on all types of products subject to state sales tax.

“The state government will not hesitate to take action, using all our constitutional and legal rights, to recover the state sales tax owed to safeguard the state’s sovereignty,” he said.

Deputy chief minister Joachim Gunsalam said the Sabah Oil and Gas Development Corporation had signed two land lease agreements and eight memoranda of understanding with investor companies on March 24 and 29.

Joachim, who is also Sabah development and industry minister, said these investors wanted to develop oil and gas-related businesses at the Sipitang Oil and Gas Industrial Park.

He said the investments, among others, involved solid waste management, an oil refinery, an oil tank, a silicon metal plant, a power plant, a green diesel plant, a regasification facility and a hydrogen-ammonia plant, with a total investment of RM19.8 billion.