So the figure has been revealed. Petronas’ group profit before taxes, royalties, dividends and export duties amounted to RM570 billion for the period from its establishment in 1974 to 31 March 2007.
If you include the figure for the period until 31 March 2008, then you are probably looking at a figure closer to RM700 billion, with the higher oil prices.
Let’s see the breakdown of that RM570 billion:
Payments to the government (royalties, export duties, taxes and dividends) – RM359 billion
Allocations for shareholders, royalties and taxes abroad – RM41 billion
Profits re-invested in Petronas operations – RM170 billion
Total RM570 billion
(In case you are wondering where I got these figures from, they are from an oral response in Parliament to a question put forward to the Prime Minister by the MP for Bagan, Lim Guan Eng.)
So the government has received RM359 billion from Petronas over the years. If we include the year ended 31 March 2008, the figure would be in the RM400 billion range.
The big question is, has the government made the best use of all that money? You and I know the answer to that. If the money had been used effectively, we could have provided affordable housing for everyone in this land, invested in an excellent public transport system and come up with a first class public health care system providing universal access to all Malaysians.
But have we? Look how much has been wasted and squandered over the years. Think of all the natural gas subsidies dished out by Petronas to the Independent Power Producers (private electricity companies), which have been raking in billions in profits over the years. (And now they want to reduce the subsidies for ordinary Malaysians.) Think of the billions spent on bailing out banks. And remember the colossal sums spent on building Putrajaya, building the Twin Towers, hosting the Malaysian Grand Prix, sponsoring the Petronas racing teams and setting up the Malaysian Philharmonic Orchestra. All this while there are people without homes of their own, without a balanced and nutritious diet, without electricity and water in rural schools…
It is truly a lost opportunity, considering that we will soon become a net importer of oil in a few years’ time.
Meanwhile, ordinary Malaysians have no access to Petronas’ detailed accounts. Where is the accountability and transparency in the use of these massive amounts of public funds?
Related posts:
ask the big spenders Mahatir and Badawi. How they enrich their cronies in the name of NEP. How sad when Terengganu has the largest budget but end up as one of the poorest. the same goes with Sabah. Wonder the ruling politicians have no conscience as they… plunder while the people suffers. And they are doing it for the sake of their kind? what rubbish.
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When we are still a net exporter of oil, we should be celebrating with the high oil prices. Yet, our government complain about the fuel subsidies. I am sure most people cannot understand the reasons why unless clearly explained to us.
Record prices in palm oil and rubber have seen bumper profits from plantation companies. Even rubber tappers are earning more than some executives while enjoying the lower costs of living in the rural areas.
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It starts with the mistress,cronies and of course jets,holidays,concerts the list goes on and on.
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The oil monies could have been spent on improving the mass rapid transit rail with increased coverage/efficiency so there is less dependence on using private vehicles to commute to work. With our deep reserves in LNG, this government could/should have encouraged conversion of hybrid vehicles which uses LNG and petrol, together with the infrastructure for distribution of such fuels. So is there vested interest at play ? Also in time the national car could also see self destruction as other global car manufacturers are moving to hybrid electrical and petrol vehicles whilst we slumber with propping up of inefficient technologies. Nero fiddles whilst Rome burns !!
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Masa untuk kerajaan baru: kerajaan Pakatan Rakyat!
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Oh how elusive and slippery is the oil money
Not shared so well in hives like bees’ honey
No wonder so many have to work hard as donkeys
While some enjoy the fruits like privileged monkeys
(C) Samuel Goh Kim Eng – 030608
http://MotivationInMotion.blogspot.com
Tue. 3rd June 2008.
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If this not a strong case to get rid of BN once and for all, then we all deserve to be label as Stupid Malaysians for putting up with such a government.
Don’t blame anyone else for our choice.
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Accountability is never present in our public officers.
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whatever we complain, how many suggestion we give all not use. we r talking to deaf goverment. they dont care. if they listen to us before, our country is the best in south east asia. so BN goverment pls step down. give a chance to pakatan rakyat, see what they can do for another 5 years. public r the judge, we wiil decide wich goverment we want. we already decide so plsssss.
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I say that if there were anyone out there who could kick the BN a**es out, please propose and let’s get it done. They have brought our beloved country deep in s*** and if nothing were done, we would soon lose all hope for us and for our children. Please…please…let’s help our country to get back on its own two feet and regain our pride.
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The PM accidently vomit the secrect and you caught him.
If not is another OSA.
rajraman-still unable to count my first million throu hard work and now the 600billion you brought up hit my brain like tsunami.
WHEN MORONS RULE THIS COUNTRY FORGET COUNTING THE BILLIONS LOST IN BEETWEEN.
WHEN THE CARETAKER OF THE LAW BEHAVE LIKE THUGS,FORGET ABOUT REPORTING TO THE T**** IN THE BLUE UNIFORM.
WHEN MR.CORRECT RULE THE COURT FORGET ABOUT YOUR JUSTICE.
I rather have a good sleep rather reading all the above morons,thugs and correct rule this country.
IN between mr.anil -give me wake up call what this morons doing.
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Oh mama mia!!! Approximately RM 1 bil a month for the last 35 years ( till 03/08 ) What more evidence do we rakyat need!!! Time to move on before our children are made to beg in the streets ( don’t think too far stretch for our grandchildren )
Real shame the situation we’re in now, with all the resources at our doorsteps, we could only envy our neighbour S’pore ( who do not even have enough water to drink ) yet their GDI, standard of living and government is way above ours. Hey, goons, time to relinquish and payback time.( can you eat and live with conscience while the rakyat is left to rot!!!)
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As long as Malaysia government has no transparency and the leaders has no accountability. We can, for the next 1000 years, forget about equal opportunity, forget about equal wealth distribution, forget about nation development … the list goes on where we can ask our 10 generations down the road (especially those that has no connection to BN) forget about having a good life and future. Even if one day we kick BN out from the government, are we able to recover what we have lost, are we able to put all these monsters and monkeys into jail. Even if we are able to charge them in the court and put them into jail, is it commensurate with the damage they have done for the past 50 years ….
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Effective in its economy and clarity of words, this write up needs to be translated into Bahasa and shot off to any blog, publication that would host it Anil.
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Effective in its economy and clarity of words, this write up needs to be translated into Bahasa and shot off to any blog, publication that would host it
…..and write the amount as 600,000 millions so that those of us who are not accountants can get the sum right. If we divide the spoil for all 26 million Malaysians living here, thats RM 23,077 for EVERY person….. thats RM 115,385 for EVERY family of 5. Now, just imagine for yourself…..
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Petronas money is not BN’s money, and should not go to BN cronies! Petronas money is rakyat’s money, give it to the rakyat! Say NO to BN, Say YES to PAKATAN RAKYAT!
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Lets wait for the dooms day for arrogant UMNO….
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It so sad that a nation so blessed with such abundance is being (undermined) by thieves.I sincerely hope and pray that the PAKATAN RAKYAT will make good of whats gone bad.I have put my migration plans on hold.Being a third generation Malaysian Indian,why should i ever give up what my forefathers bleed and died for in building this nation and securing my rights as a citizen.
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Anil
I was at the DAP Ceramah in SS2 just before 8 March, when Tony Pua highlighted that the price of oil was USD 25/barrel about 6 years ago, as compared to then over USD 100/barrel (and now USD 135/barrel). Tony made a very good point about the fact that the figures do not make sense given that whilst the price of petrol has skyrocketed at least by an additional 300%, Petronas only managed to report an increase in profit of 20% or so (if I remember Tony’s figures correctly).
I then realised that something is wrong somewhere, and I recalled how people have been talking about the Middle East countries, eg Dubai, booming and flourishing because of the oil price increases. Therefore, how is it that both Dubai and Malaysia being oil producing countries, that Dubai can boom and flourish, whilst Malaysia is still struggling re oil subsidies?
Let us take a very simple example: assuming that Petronas volume of production 6 years ago, and today is the same (say at 100,000,000 barrels per annum) and that the costs of production is the same (if not, say increased by 50%):
- Revenues 6 years ago: USD 25/barrel x 100,000,000 barrels pa = USD 2.5 billion pa
- Costs 6 years ago: say 70%, USD 1.25 billion pa
- Profit 6 years ago: USD 1.75 billion pa
- Revenues today: USD 135/barrel x 100,000,000 barrels pa = USD 13.5 billion
- Costs today: say 30% on Costs 6 years ago, ie USD 1.75 billion pa X 150% = USD 2.625 billion pa
- Profit today: USD 10.875 billion pa
- Increase in Profit: USD 10.875 billion – USD 1.75 billion = USD 9.125 billion pa
INDEED, WHERE HAS IT ALL GONE?
Jim
P/S: Indeed, a very simple example, but you get the picture.
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You are absolutely right. The money could also be use to built hospitals and roads in East Malaysia.
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power tends to corrupt and absolute power corrupts absolutely. It is therefore important that we, as citizen, must ensure that the ruling government is not too strong may it be BN or PR.
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[...] The big question is, has the government made the best use of all that money? READ HERE [...]
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As a saying goes, ” there will be liars and thieves so long as the people are ignorent”. 600 billions or whatever the people won’t be bothered.best joke is ………those guilty of this acts will be punished by the god.ignorent is bliss
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All we can do is to leave it to God Almighty to deal with such blatant abuses if nobody can account for where all these petro-bucks have gone to. May the wrath of God and Karma come upon you!
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Some of my friends suspected that our oil has been presold via forward contract to Japan some years ago at very cheap price. Perhaps someone from PR can ask about this at the next paliament sitting.
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