Why create a new gas aggregator if Petros can perform the duties?

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A New Gas Aggregator Position in Sarawak is Questioned as Redundant

The creation of a new gas aggregator position in Sarawak is being questioned as redundant, with arguments that the state-owned Petroleum Sarawak Berhad (Petros) already possesses the capacity to perform the intended duties. This concern was raised during the debate on the Distribution of Gas (Amendment) Bill 2023, highlighting potential overlap in responsibilities and questioning the necessity of establishing a new role. The core of the debate centres on whether this new position signifies an acknowledgement of Petros's shortcomings or if it serves a distinct, unaddressed purpose.
Overlapping Responsibilities with Petros

The primary objection to the establishment of a new gas aggregator stems from the perceived overlap in duties with Petros. The proposed role, as outlined in the amendment bill, includes procuring natural gas from all sources for distribution within the state and managing the gas distribution network. These functions are largely consistent with the existing responsibilities and capabilities of Petros, leading to the assertion that a new position is unnecessary. The question arises as to why these tasks, already within Petros's purview, require a separate entity, potentially implying a failure on Petros's part to adequately execute its mandate.
Impact on State's Bargaining Power and Gas Supply

Further scrutiny is directed towards the potential benefits, or lack thereof, of the new gas aggregator in enhancing Sarawak's negotiating position with the federal government for increased natural gas supply. Despite Sarawak's prominent role in supplying excess energy to neighbouring regions, the amendment bill appears to suggest an internal deficit of gas for industrial use within the state. Critics question whether the new aggregator will effectively strengthen Sarawak's leverage in securing more gas resources or if it represents a misallocation of efforts that does not address the fundamental supply issues.
Concerns Regarding Enforcement Capabilities

Beyond the aggregation role, concerns have also been raised about the enforcement mechanisms within the Ministry of Utility and Telecommunication, which the bill intends to empower with greater enforcement authority. It has been noted that a proper enforcement unit, adequately staffed and equipped to cover the entire state, may be lacking. This potential deficiency in enforcement capacity could exacerbate existing problems, such as the rampant abuse of subsidised natural gas products, as there may not be sufficient resources to effectively monitor and control their distribution and usage.

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Why create a new gas aggregator if Petros can perform the duties?

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