PUTRAJAYA — The federal and state governments need standard operating procedures (SOP) for the production of rare earth elements (REE) to prevent corruption in this sector, the anti-graft agency has said.
Malaysian Anti-Corruption Commission (MACC) Chief Commissioner Tan Sri Azam Baki this was because its investigation into a REE case found that there was no specific SOP for the REE mining, and this could lead to irregularities and illegal activities.
“I take the example of bauxite production. Before, bauxite had no SOP, then there was a special SOP for the issuance of the mining license.
“This SOP is important because, without it, anyone can mine without permission, which will eventually lead to theft and misuse,” Bernama reported him saying today.
Azam, who was speaking to reporters after an MACC event at its headquarters here today, SOPs could include environmental impact assessments (EIA) as well.
“This is important because maybe tomorrow we will find new minerals other than gold, tin, bauxite, or others,” he said.
Putrajaya and state governments should also discuss matters such as taxation and customs in the production of REE materials, which states would have ownership rights over.
Weakness in monitoring REE production and the lack of enforcement SOP had led to corruption in the sector, as seen from charges brought against individuals last year, Azam added.
In November 2023, former Kedah Menteri Besar Incorporated (MBI Kedah) CEO, Muhamad Sobri Osman, was charged with soliciting and accepting bribes of RM4 million as incentive to help a company conduct REE mining in the state.
Kedah Menteri Besar Datuk Seri Muhammad Sanusi Md Nor’s former political secretary, Mohamad Hilmi Abdul Wahab was also charged last November with soliciting and accepting bribes as inducement to help a company gain approval for a REE mining and exploration license.
Sanusi had also been questioned by MACC for its probe into REE mining in Kedah. – October 25, 2024