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 194. Each State would also have a Chief Minister appointed by the Head of the State from among members of the State Legislature who commands the confidence of the House. Regarding representation in the State Legislature, while we feel that elections should be introduced as soon as possible, we are of the opinion that the present electoral college system should be maintained in Sarawak and that this system should also be introduced into North Borneo so that there would be as smooth a transition as possible from the present position to a fully-elected Legislature. We have already recommended in paragraph 190 (g) above that the number of unofficial members in the State Legislature should be increased on Malaysia to meet the additional responsibilities. Until there is a fully-elected Legislature we recommend that the State Secretary, the State Legal Adviser and the State Financial Officer should be ex officio Members of both the State Legislature and the State Executive Council, or the Supreme Council as the case may be.

195. The State would have its own Constitution and the Government would enjoy autonomy in those matters provided for in the IXth Schedule of the Federal Constitution and in such other matters as may be specially retained in the particular State concerned arising from the recommendations made in the following paragraphs. While specific powers will be exercised by the Federation, the residual powers will remain with the State.

196. We now consider the Federal, State and current legislative responsibilities on the basis of the present Constitution of the Federation of Malaya. In order to realise a strong, stable and united Federation and to meet the special circumstances of the entry of the Borneo territories to form the new Federation of Malaysia, we feel that the Central Government should exercise authority in the matters enumerated in the IXth Schedule subject to the following reservations and comments.

(a) Immigration

Our views are already indicated in Section A of this Chapter.

(b) Shipping and Navigation: Ports and Harbours

We recognise the importance to the Borneo erritories, particularly Sarawak, of shipping and navigation of the High Seas and in tidal and inland waters, and of ports and harbours. While we recommend that in general these matters should be in the Federal List, we feel that a case may be made for distinguishing between large port and harbour works on the one hand, and jetties and smaller installations relating to river transport on the other, which latter we consider would be more appropriate to the Concurrent List. The detailed arrangements for this may well be an appropriate subject for examination by an expert Working Party.

(c) Fisheries (Maritime and Estuarine Fishing and Fisheries Excluding Turtles)

We are agreed that fisheries (as defined above) should be in the Federal List. We would emphasise, however, that nothing should be done to prejudice the exclusive rights enjoyed at present by the fishermen from the Borneo territories in their traditional fishing grounds.