malaysiakini MISSED this IMPORTANT STORY

In an important development just before the Kuala Terengganu by-elections, the government has announced that it will revert to the original scheme of paying oil royalties to the state government.
As a major sweetener for the KT polls, a RM10Billion state sovereign fund will been set up to ensure the state will continue to enjoy development even after the oil resources are depleted.
You will remember that oil royalties were discontinued when the state fell into opposition hands and now it seems with UMNO in control again, the direct payment is deemed appopriate again.
I wonder what is the principle involved?
It is good that the state will be paid royalties directly again and not through some agent that may not have the state's best interests at heart. But the timing indicates it could be considered a form of bribery.
This move will improve the state-federal relationship and should be extended to all states as far as a fair allocation of revenues are concerned.
I suggest that we should explore how other states can benefit from such revenue sharing.
It is a little unfair that only oil royalties are calculated for revenue sharing. I believe that all states should receive some share of the taxes they generate for the federal government. In this way, states that do not have oil but whose residents pay taxes can also provide funds for state projects and better maintenance.
It will improve budget controls as too often federal projects are rather badly managed while states simply do not have enough funds.
For example, in the income tax payments, the department will refund to the state say 20% of all income and company sales taxes paid based on the address of the resident or the company.