PAC to launch proceedings on Felcra, cooking oil subsidy and tender governance
24/07/2025 (The Edge Malaysia), Kuala Lumpur - The bipartisan Public Accounts Committee (PAC) will launch three new proceedings related to findings flagged in the Auditor General’s (AG) Report 2025 Series 2.
The proceedings will involve the management of palm oil estate procurement by Felcra Bhd, following the AG’s finding of serious governance lapses in Felcra’s RM241.76 million acquisition of four oil palm estates between 2022 and 2024.
The PAC will summon the Ministry of Rural and Regional Development and Felcra to provide explanations on the matter, it said in a statement on Thursday.
In addition, the PAC will summon the Ministry of Domestic Trade and Cost of Living to clarify issues related to the management of price controls and subsidised cooking oil.
The AG had flagged that the current policy on subsidised cooking oil is not comprehensive, allowing non-targeted groups, including non-citizens, to benefit from the government’s subsidy programme.
The PAC will also call in the Ministry of Finance to provide a briefing on the governance of the Tender Procurement Committee.
The AG noted that the current system is prone to manipulation and carries risks of delays and inefficiency, with unqualified firms found to have progressed to the tender stage.
PAC chairperson Datuk Wira Mas Ermieyati Samsudin said the dates for the proceedings and briefings will be determined later.
She also said the PAC will table two follow-up action reports in the Dewan Rakyat on July 28 and 29.
These reports cover the Ministry of Home Affairs’ follow-up actions on the PAC’s earlier recommendations regarding the procurement of the Foreign Workers Centralised Management System (FWCMS), and follow-up actions by the Ministry of Rural and Regional Development, the Sarawak Rural Water Supply Department and the Sabah Water Department on recommendations related to the management of rural water supply projects in Sarawak and Sabah.