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Harris tells Federal: Return Labuan
Published on: Saturday, February 06, 2016
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Harris tells Federal: Return Labuan
Kota Kinabalu: Tan Sri Harris Mohd Salleh, who was responsible for handing over Labuan in 1984, has openly and for the first time called on the Federal Government to return the island to Sabah immediately.Harris, who was Sabah Chief Minister when it was made the second Federal Territory that year, said his disappointment stemmed from the fact that Federal failed in its promise to make Labuan an economically viable island city.

"It is not right for the Federal Government to take over Labuan only to consign it to political and economic oblivion.

The people of Labuan deserve better," he said, Friday.

"I expected Federal to look after Labuan in a fitting manner and not to abandon it for whatever reasons.

I have been watching, with great dismay, the declining interest of the Federal Government for some years now.

"I must be forthright and say that I am disappointed. If the Federal Government is not prepared to change direction with regards to the future of Labuan, then I would like to appeal for it to be returned to Sabah," he said, in a statement.

Harris said haphazard planning and development over the last almost 40 years have only given short term happiness for the people of Labuan.

"The Federal Government's attitude towards Labuan is ambivalent at best as it needs the support of the two giant states of Sabah and Sarawak for political survival.

"It is clear as daylight that the Federal Government had been abandoning Labuan to its own fate for a long time.

What is there for Labuan? The future is being sacrificed in the 'game of thrones', as described by the Prime Minister's brother Dato Seri Nazir Tun Razak," he said.

"The Federal Government, in all fairness, must give the same generous treatment as it is giving Sabah and Sarawak," he said, but adding he had yet to see sufficient evidence of this.

Harris, who in his heyday was credited with Sabah's fast track development, said a perfect example of the letdown was Federal's dillydally attitude in adding value to the oil and gas industry in Labuan and which has gravely affected the island's future.

"The good days for the industry are over as the price has plummeted and is expected to stay low for a long time.

"Adding to Labuan's future economic woe is the Federal Government's delay in seizing the opportunities to cooperate with China in the industry, having been beaten to it by Brunei when the small oil-rich country secured a joint-venture deal with China worth US25b on Pulau Muara Besar.

"This huge project, which has already started for more than a year, is just at the border of Malaysia and about 25km from Labuan. Furthermore, China already reclaimed a few thousand acres of the Spratlys and, if need be, they will continue to reclaim more for its forward base and oil and gas complex.

"So, China has no need for any land on Borneo for its oil and gas operations at Spratlys," he said.

Harris said it is obvious that China is now flexing its muscles, even going so far as to warn Asean countries who are claimants of territories in the South China Sea to stop drilling new oil and gas fields there.

China, he said, is financially and militarily strong enough to withstand American pressure over the issue and will eventually prevail over the US, just like it did in Latin America and Africa.

Even while all these were going on, the Federal Government had not acted promptly and appropriately.

"The Federal Government has given approval for an oil and gas complex under its transformation programme but nothing happened for more than five years. The approval of Pulau Daat oil and gas complex was announced by the Prime Minister himself in Labuan. The problem is, Pulau Daat has no water depth.

"Investors were ready to start one on Pulau Kuraman, instead, as it is the most suitable, having the required water depth and situated merely 3.7km from the international boundary, but the Federal Government is playing hide and seek."

Harris also groused about the "haphazard and half-hearted" development efforts by Federal over the proposed RM200m new ferry terminal between Kg Karumpang and Tanjung Aru.

The site, he said, is unsuitable for a ferry terminal just because it could save a few minutes of travelling time.

Instead, the site is more suitable if developed as the new commercial, tourism and residential centre as the present commercial centre is too crowded.

"This area, covering more than 10,000 acres, was approved for reclaiming and development into new residential and commercial area years ago, but until now nothing happened," he said.

More importantly, Harris pointed out, ferry transportation is outdated and efforts to build a ferry terminal might provide a short term solution to Labuan's transportation woes but create more long term problems for the island in future.

"The much talked about bridge linking Labuan to Sabah may be built only after the next general election, if there will be changes of leaders at Putrajaya. When the bridge is built, the only ferry services needed would be to Sipitang, Lawas, Limbang and Brunei," he said.

Harris lamented that despite almost 40 years as a Federal Territory, Labuan remains a fishing village in the middle of town and there is much cleaning up to be done, for example moving the Patau Patau and other fishing villages to a modern fishing village in Kiansam.

A modern fishing village of 200 houses and facilities for deep sea fishing can be developed there, but it needs proper planning and could even become a tourist attraction, he said.

"With this centralised fishing village, it will also reduce diesel engine pollution. After all, Kiansam is only about 10 minutes from the airport and Labuan town. This could also be part of the government's poverty eradication programme," he said.

Harris noted that the island is also suffering from "absentee decision makers" as "most members of committees are in Putrajaya, including the Chairman, who hardly spends any quality time and attention to Labuan's development".

This arrangement, showed that Federal is insincere in administering Labuan the way it should be done as everything moves slowly with no sense of urgency.

He cited Labuan Corporation which had submitted to Putrajaya the zoning plan but that Putrajaya was still sitting on it.

He chided the Federal Government's decision to disallow any activities or factories to be set up in Labuan, including a shrimp paste factory, just because such a move would jeopardise the business in Sabah and Sarawak.

"This policy or attitude of Federal will definitely kill Labuan's economy."

Harris said for Labuan to develop, a well-thought development plan for the next 30 years is crucial which would include a comprehensive beautification plan. The proposed RM200m ferry terminal should be scrapped and retirees given Permanent Resident status as is the practice in some Asean countries.

"If the Federal government can develop Malaysia and dish out special favours to Sabah and Sarawak nowadays, I cannot understand why it cannot pay sufficient attention and devote some financial resources for Labuan's development.

Harris said as a parting "ang pow" in the event his suggestion to return Labuan to Sabah is considered, the Federal Government must provide a billion ringgit allocation over five years for upgrading the island.

"These funds can be used for relocation of all fishing villages to Kiansam (RM200m), reclaiming and providing infrastructure for former fishing village at Patau Patau and convert the area for extension of the Island City (RM100m), construction of domestic harbour in Rancha Rancha (RM100m), improvement of existing ferries (RM10m), medium cost housing (RM90m) and extension of Labuan airport runway and terminal building (RM500m)," he said.

In any case, he said the amount (RM1b) is less than 1pc of the oil revenue taken by the Federal Government from Labuan.

Besides, Federal must adopt a policy for retired overseas people permanent stay in Labuan under the present policy of 10 plus 10 years as this will help increase Labuan's population to 250,000 retirees and make it into a viable city.





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