Abdul Rahman won the Kuala Rajang state constituency during the resumption of
1969 state election in 1970, representing Parti Bumiputera Sarawak, which was part of the Sarawak
Alliance. After the election, there was not any party holding a clear majority. Abdul Rahman planned to cooperate with PESAKA in order to form a government but PESAKA did not accept Rahman as their chief minister. Therefore, PESAKA negotiated with
Sarawak National Party (SNAP) and
Sarawak United Peoples' Party (SUPP) in order to form a government. However, without the knowledge of SNAP and PESAKA, SUPP was quietly negotiating with Parti Bumiputera to form a separate coalition. Rahman was able to convince SUPP to form a coalition government with him as the chief minister. As part of the deal in joining the coalition, SUPP demanded that Sarawak Chinese Association (SCA) be ejected from Sarawak Alliance and be dissolved later. In order to ensure Dayak participation in the Sarawak cabinet, Rahman offered Penghulu Abok from PESAKA a cabinet post. Simon Dembab Raja from PESAKA joined the cabinet a day later as a deputy chief minister. Soon after that,
Temenggung Jugah, the president of PESAKA, announced his support for the Rahman's coalition government, thus leaving SNAP as the only opposition party in Sarawak. He was the vice-president of UMNO Datu Keramat branch and was a central committee member of the party although he was also a PBB member. In 1970, Abdul Rahman was one of the candidates vying for UMNO's vice-presidency. Rahman drafted the PBB constitution by adapting from the UMNO's constitution. Similar to UMNO's party structure, PBB adopted four levels of bureaucracy namely General Assembly, Supreme Council, branches, and sub-branches. This is similar to UMNO's organisational structure of national, negeri liaison office, division, and branches. At every party levels, PBB has youth and women wings which is also similar to UMNO's set up. Abdul Rahman was able to influence party policies and party elections during his term as PBB president from 1977 to 1981. published during the
1987 Ming Court Affair, the federal government tried to obtain the Sarawak oil rights by holding several discussions with state leaders such as Abdul Rahman through
Abdul Taib Mahmud in the early 1970s. Taib was the federal Primary Industry Minister who was responsible for all mining industry including petroleum and gas. Taib with his aide
Adenan Satem tried to persuade Abdul Rahman to hand over Sarawak
Continental shelf to the total control of federal government, thus depriving Sarawak of 10% oil royalty which it have been receiving from foreign oil companies. Abdul Rahman threatened to sue the federal government in court if the bill was not withdrawn. Abdul Rahman obtained three legal opinions from the former
Attorney general of Australia, a public international law expert from Cambridge University and a former High Court judge to back Sarawak's claims that Sarawak territorial waters was not confined to three-nautical-miles limit for oil royalty. Abdul Razak then invited Abdul Rahman to
Kuala Lumpur for a closed-door discussion. During the discussion, Rahman agreed to a smaller payout of oil royalty because the federal government was not wealthy at that time and the oil royalty will be revised in the future. The federal government decided to appoint
Tengku Razaleigh Hamzah to negotiate new terms with Abdul Rahman. In 2010, Abdul Rahman claimed that in a meeting of final decision of oil royalty payments chaired by Tun
Tan Siew Sin (Federal Finance Minister) and attended by deputy chief minister of Sarawak Tan Sri
Stephen Yong, an agreement of 5% oil royalty was reached without consulting Abdul Rahman. However, according to memoir written by Stephen Yong in 1998, chief minister
Datu Mustapha Datu Harun from the neighbouring state of Sabah agreed to the 5% oil royalty offered by the Malaysian federal government. Thus, the Sarawak government reluctantly agreed to the oil royalty deal in the name of national interest. Besides, the Malaysian government also had to maintain a navy to guard the Sarawak continental shelf. In the supreme council meeting (cabinet meeting) held on 23 May 1974, Rahman Ya'kub found that the federal treasury did not provide the necessary funds for security operations in Sarawak. Rahman Ya'kub stated that if the funds did not arrive on 27 May, he would not sign the Petronas oil royalty deal. The security funds came in time later. Abdul Rahman finally agreed to the 5% oil royalty given by the federal government. Petroleum Development Act was passed in parliament in 1974. This would allow Malaysian oil and gas company,
Petronas to gain control over the oil and gas reserves in Sarawak. The revenues from oil and gas will be divided among oil-producing states (5 percent), federal government (5 percent), producer company (41 percent), and Petronas (49 percent).
Development policy In order to safeguard national interests, Abdul Rahman declared that he denounced the slogan "Sarawak for Sarawakians" and replaced it with "Malaysia for Malaysians" a few weeks after he became the chief minister. Rahman argued that regional politics is not only divisive but could also harm the national solidarity. He also said that Sarawak should accept policies from the federal government because "Sarawak received a lot of money from the federal government. Without their assistance, we could never hope to progress so quickly." This motion prompted fierce criticism from
Stephen Kalong Ningkan. He changed the medium of instruction of all schools in Sarawak from English to Malay language. Sekolah Datuk Abdul Rahman was the first school in Sarawak to accept this change in 1970. By 1976, a total of 258 primary schools involving 36,267 students adopted Bahasa Melayu as their medium of instruction. Rahman Ya'kub also set up Sarawak Timber Industry Development Corporation (STIDC) in June 1973 to develop the logging industry in Sarawak. The NGO was later renamed to Harakah Islamiah (HIKMAH) in 1994. Through this NGO, Rahman was able to hold various Islamic activities without going through the state agencies. This NGO was responsible for the conversions of thousands of natives and Chinese and was publicised through newspapers. Between 1973 and 1980, at least 2,236 cases of conversions were reported in newspapers. The mass conversions would be attended by Abdul Rahman himself and other Muslim ministers at his residence. The total number of conversions made by Abdul Rahman however, was less than the number of conversions made by
Tun Mustapha in the neighbouring state of
Sabah where the latter was believed to have converted a total of 95,000 Sabahans. Although some conversions are due to genuine belief in Islam, others viewed this as a way to get to political office, employments, or contracts from the government. For example, after a conversion ceremony of Ibans in Kuching, Abdul Rahman announced that a 40-door longhouse would be built by BINA for the new converts. In December 1978, Majlis Islam Bill was amended to enable for the establishment of syariah courts in Sarawak consisting of Supreme Syariah Court, the Appeal Court, and several courts of Kadi. Supreme Syariah Court and Appeal court was enforced throughout Sarawak while Courts of Kadi was enforced only in Kuching, Sibu, and Miri. The Majlis Islam (Amendment) Act was only enforced in on 1 January 1983.
1974 state election and aftermath Parti Pesaka Bumiputera Bersatu (PBB) was formed following the merger of Parti Bumiputera and PESAKA in 1973. In the same year, SCA was ejected out of the Sarawak Alliance which led to its demise. Meanwhile, Sarawak Alliance was succeeded by
Barisan Nasional (BN) coalition which was inclusive of more parties. Abdul Rahman was able to lead his BN coalition to another victory in
1974 Sarawak state election, where the coalition secured a total of 30 seats out of 48 seats although the SNAP party won 18 seats for the opposition bench. The PBB party was able to increase its popular vote from 47.3 percent in 1970 to 70.3 percent in 1974. However, the secretary general of SUPP,
Stephen Yong, who was also the deputy chief minister of Sarawak at that time, was defeated in the election. For the
1974 parliamentary election, Sarawak BN won 15 out of 24 seats while the remaining seats were won by SNAP. In order to neutralise the electoral threat by SNAP, Abdul Rahman decided to allow SNAP into the BN coalition on 1 November 1976. Therefore, there was an absence of opposition voice in Sarawak for a brief period. However, the relationship of Abdul Rahman with SUPP started to worsen after 1974 election. In May 1978, a delegation of SUPP leaders led by Stephen Yong tried to persuade the government to remove Abdul Rahman. However, the plan failed because 1978 election was around the corner. As a result, Abdul Rahman allowed the entry of peninsular-based
Democratic Action Party (DAP) into Sarawak in 1978 in order to check the Chinese electoral support towards SUPP. On 28 March 1978, Parti Anak Jati Sarawak (PAJAR) was formed due to dissatisfaction of a number of Malays towards Abdul Rahman's increased tolerance to cronyism and his disregard of the welfare of Malay community. Abdul Rahman decided not to dissolve the Council Negeri of Sarawak during the
1978 Malaysian general election because he needed to tackle the opposition by the PAJAR party and solve the allocation of state assembly seats after the inclusion of SNAP into the BN coalition. However, Abdul Rahman's BN coalition put up a strong showing in the
1978 parliamentary election by winning 23 out of 24 parliamentary seats in Sarawak. The remaining one seat was won by Sarawak People's Party (SAPO). Abdul Rahman dissolved the Council Negri one year after the parliamentary election. This was the first time in the history of Sarawak that the state election was held separately from the national parliamentary election. Both elections continue to be held separately since then. The Sarawak BN coalition won 45 out of 48 state assembly seats with 61.23 percent of the popular vote in the
1979 Sarawak state election.
Relationship with Malaysian federal government Prior to
1974 Sarawak state election, Rahman threatened to step down because of lack of support by the federal government to face the election. Sarawak secretary Abang Yusuf Puteh met the prime minister to resolve the allocation issue. Abdul Rahman subsequently changed his mind and continue his rule over Sarawak. He also went to into an argument with federal government because mal-treatment of Sarawak state agencies in a number of matters. Despite the occasional upheaval with the federal government, Abdul Rahman generally maintained a good relationship with the federal government especially during the administration of
Tun Abdul Razak.
Retirement Abdul Rahman underwent a successful heart surgery in London in October 1980. With his failing health, Rahman finally decided to step down from the chief minister post while appointing his nephew and successor
Abdul Taib Mahmud on 26 March 1981. Upon announcing his retirement, Rahman said that: ==Appointment to Governor of Sarawak==