Kuala Lumpur: Tuaran MP Datuk Seri Wilfred Madius Tangau urged the Federal Government to implement every requirement of the Federal Constitution without delay, particularly regarding the Federal-State financial relationship.
Debating on the Capitation Grant Bill in the Dewan Rakyat Monday, he said the issue of the grant touches on the principles of fairness and justice within the nation’s federalist system.
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“For over two decades, the Capitation Grant rates have not been comprehensively reviewed despite the rising cost of living, increasing state responsibilities and the growing complexity of the people’s needs.
“In this regard, I support a review being conducted every 10 years in line with the population census,” he said.
Madius, who is also Tamparuli Assemblyman, was referring to Article 109 of the Federal Constitution, which provides for the Capitation Grant as the basis of financial sharing between the Federal and State Governments.
He said the provision is vital to ensure every state has the minimum resources to govern and deliver services to the people.
“The existing rates no longer reflect current realities as they do not account for inflationary pressures, the expansion of state functions and the rising costs of modern administration,” he said.
The former Sabah Deputy Chief Minister also urged the Federal Government to take heed of the failure to implement the Special Grants to Sabah and Sarawak under Articles 112C and 112D, as well as the Tenth Schedule of the Federal Constitution, for over 50 years – resulting in the matter being taken to court for enforcement.
“The Federal Government must implement every requirement of the Constitution and not evade its obligations and responsibilities,” he asserted.
Touching on the proposed 25 per cent increase in the Capitation Grant rate, Madius described it as a corrective measure against a long-standing fiscal imbalance.
He noted that while some argue the increase places pressure on Federal finances, the reality is that a lack of funds at the State level can lead to delayed development projects and incur greater costs in the long run.
He further suggested that in the future, improvements to the formula should also take into account geographical size, service delivery costs and the State’s level of development.
In a related development, Madius recorded his appreciation to the Government for placing Sabah as the second-highest recipient after Selangor in the distribution of the grant.
“However, many Sabahans are dissatisfied and unhappy because the allocation also covers ‘instant Sabahans’ who obtained citizenship through ‘Project IC’.
“The 2012 Report of the Royal Commission of Inquiry (RCI) on Illegal Immigrants (PATI) in Sabah confirmed the existence of this issue and proposed several solutions.
“Tuaran wishes to ask the Government, why have the RCI recommendations regarding PATI in Sabah not been implemented to this day?
“Besides being a threat to national sovereignty, it also adds a burden to the Government, which is forced to bear unnecessary expenditure for these Project IC holders.
It is also an injustice to the Indigenous Peoples (Orang Asal) of Sabah,” said the Upko Honorary President.
The former Federal Science, Technology and Innovation (Mosti) Minister also stressed his commitment to continue fighting for the rights and interests of Sabahans as long as issues related to constitutional justice and state rights are not fully resolved.
“If it is fair, we shall always defend it; but if something is not right, Tuaran will rise for the people of Sabah,” he said.
