Permit, licensing exemption granted to LPG distributors in Sarawak — Minister

Alexander Nanta Linggi

KUCHING (June 1): The federal government has agreed to grant exemption to liquefied petroleum gas (LPG) distributors in Sarawak from applying for permit and licensing to distribute the commodity in the state.

In a statement issued from Putrajaya, Domestic Trade and Consumer Affairs Minister Dato Sri Alexander Nanta Linggi said this decision was reached during a Special Council on Malaysia Agreement 1963 (MKMA63) meeting on April 13, which was chaired by Prime Minister Tan Sri Muhyiddin Yassin and attended by the federal ministers, as well as the chief ministers of Sarawak and Sabah.

He said the meeting had agreed for exemption to be granted to the holders of Distribution of Gas Ordinance (DGO) licences issued by the Sarawak government, from the need to obtain permission under the Petroleum Development Act (PDA) 1974 and licence under the Control of Supplies Act (CSA) 1961.

According to Nanta, at present both the PDA permission and CSA licence are regulated by his Ministry of Domestic Trade and Consumer Affairs (KPDNHEP).

“In accordance with this understanding so that Sarawak gets to regulate the governance of its downstream gas industry as well to increase the ease of doing business, the federal government has decided that an exemption from obtaining PDA permission and CSA licence be granted to DGO licencees in Sarawak,” he said.

Nanta also said through this exemption, LPG wholesalers and retailers in Sarawak would only require DGO licensing from the Ministry of Utilities Sarawak.

“They (LPG wholesalers and retailers) no longer need to apply for a PDA permit and a CSA licence from KPDNHEP. The implementation of such exemption is expected to improve the effectiveness of LPG distribution operations and activities in Sarawak,” he said.

Adding on, Nanta said KPDNHEP had always been committed to and ready to be working with the state governments of Sarawak and Sabah in an effort to boost domestic trade activities in order to elevate the economies of both states in particular, as well as Malaysia in general.

The Distribution of Gas Ordinance 2016 (DGO 2016) regulating licensing fees for gas distribution in Sarawak took effect on Jan 1 last year.

Under the DGO, all activities associated with the distribution of gas or within the distribution system for supply and delivery are to be licensed by the state government.

from Borneo Post Online https://bit.ly/3c2qay3
via IFTTT