Former Agriculture Minister Effendi Norwawi's appointment as education envoy with ministerial ranking this week is seen within Sarawak political circles as that "he is still very much in the running for the chief minister's post".

"Contrary to certain quarters who ruled him out after he declined to contest in the March general election, Effendi is still the front-runner, ahead of Adenan Satem (Natural Resources and Environment Minister) and (state Housing Minister) Abang Johari Tun Haji Openg,' a well-connected party source told malaysiakini today.

Effendi, 56, is a vice-president of Parti Pesaka Bumiputra Bersatu Sarawak (PBB) led by Chief Minister Abdul Taib Mahmud. Abang Johari is deputy PBB president while Adenan is senior vice-president.

The appointment, approved by the cabinet, is said to have been proposed by Deputy Prime Minister Najib Abdul Razak.

Except for a small group of well-informed people, the announcement came out of the blue and took many in Sarawak by surprise.

Most observers said the latest development pointed to "the clout and influence" of Taib among top Umno and BN leaders including Prime Minister Abdullah Ahmad Badawi.

Stave off creditors

Taib has been scouting for a leader from among his party to eventually succeed him as party leader and chief minister.

There has been speculation that Taib may call it quits in December this year. Others think it is more likely to be after the next state election in 2006.

"It is quite clear that Taib has been pulling the strings," according to a local banker, who said the latest move could be ''to help Effendi stave off creditors and give him more time to find ways to reduce his financial exposure to banking institutions because of past business dealings."

Seven years ago, Taib named three PBB leaders - Johari, Adenan and Effendi - he was grooming to take over the party from him eventually.

Informed sources told malaysiakini that Effendi's business dealings in the past had created some problems but not to the extent that it could influence Taib to take him off his plan as a potential candidate to succeed him.

Effendi first served in the Sarawak Land Development Board (SLBD), after which he spent a short spell in business, before joining the Sarawak Economic Development Corporation (SEDC) as its executive chairperson.

He contested in the 1991 state election and won the Dalat seat but never served in the state cabinet.

Most comfortable with

Instead, he went into business again and started a few big projects such as Ntv7 and the exclusive residential project in Bukit Cahaya which did not do well.

Several of his projects are said to be under Danaharta Sdn Bhd and, according to banking circles, the total exposure is "in several hundred millions."

It is no secret that Effendi enjoys a close affinity with Taib ( photo ) who, according to those close to both of them, see the former as someone whom he is most comfortable with as his successor when he steps down as chief minister.

Although Abang Johari and Adenan are more senior as party leaders, PBB has set up a parliamentary caucus which comprises all its elected representatives - 30 state assemblypersons, 11 members of parliament and three senators - who will choose a candidate to be chief minister.

Whoever is chosen for the post, provided it is approved by other component parties in the BN, also automatically becomes PBB president.

Speculation is that if Effendi is still in the running, he is likely to re-enter state politics and stand as a candidate in the next state election which is due in September 2006.