More than three-quarters of Petronas' profits for 2005 and 2006 was contributed to the government in forms of tax, dividends, royalty and export duties, the Dewan Rakyat was told today.

Deputy Minister in Prime Minister's Department Abdul Rahman Sulaiman said the money, in the form of a consolidated fund, was used for the country's development.

"At the end of the 2005 financial year, Petronas generated RM29.5 billion in profits. Of this, RM19.7 billion was paid to the government in forms of dividends and tax, whereas RM7.5 billion was paid in forms of royalty and export duties.

"And for 2006, we generated profits amounting to RM45.2 billion. RM32.4 billion and RM9.3 billion was paid to the government in forms of dividends and tax, and royalty and export duties respectively," he added.

Abdul Rahman was responding to Alexander Nanta Linggi (BN-Kapit) who asked the prime minister to reveal the profits of Petronas for 2005 to 2006 and how the money was spent.

The deputy minister said the remaining profits for the two years were reinvested in the company to sponsor operations and develop its business locally and internationally.

Financial reports

Replying a supplementary question from Alexander on why Petronas' financial reports were not discussed in Parliament, Abdul Rahman said the public could access the reports on 'websites' but did not elaborate.

He also said Petronas aimed to become the king of the oil industry in the international level.

"That is why we are grabbing all the opportunities that we can to develop and expand the upstreams and dowstreams of Petronas' affiliated companies in foreign lands," he said.

Besides, he added, Petronas had also ventured into new markets like Russia.

"Although we are aggressive in expanding our business, we are careful to ensure that the profits and the regional oil price scenario were parallel with the development of Petronas," he said.

To another question from Wan Hashim Wan Teh (BN-Gerik), Abdul Rahman said Petronas had a special committee that looked after the interests of employees.

Wan Hashim had asked the deputy minister to explain the rumours that Petronas did not provide an employee-friendly environment in terms of wages and allowances despite being a rich organisation.

"The special committee discusses and evaluates matters concerning employment development, security and technicality. Not only that, the committee also conducts studies regarding these matters," Abdul Rahman said.

Any problems or dissatisfaction is referred to the committee, he added.