By Peter Omopo
President has signed a new executive order aimed at restoring full oil and gas revenues to Nigeria’s Federation Account and strengthening transparency in the sector.
The directive, titled Order 9 of 2026 Presidential Executive Order to Safeguard Federation Oil and Gas Revenues and Provide Regulatory Clarity, mandates that all Royalty Oil, Tax Oil, Profit Oil, Profit Gas and other government entitlements under production-sharing and related contracts be paid directly into the Federation Account.
According to the President, the reform is designed to eliminate excessive deductions, overlapping funds and structural distortions that have weakened remittances meant for the federal, state and local governments.
He stated that the additional 30 per cent management fee and the 30 per cent Frontier Exploration deduction would no longer impede national revenue flows.
Tinubu said the objective of the order is to promote transparency, accountability and constitutional compliance, stressing that oil and gas revenues must primarily serve the Nigerian people and support key national priorities, including security, education, healthcare, economic stability and energy transition.
Under the directive, is expected to operate strictly as a commercial enterprise in line with existing laws, ending what the President described as duplicative deductions and fragmented oversight in the sector.
The administration also plans a comprehensive review of the Petroleum Industry Act to address structural and fiscal anomalies affecting national revenue. An implementation committee will be established to coordinate enforcement of the executive order.
President Tinubu said the move underscores his administration’s commitment to protecting the Federation Account, strengthening the national budget and acting in the overall national interest, adding that Nigeria can no longer afford revenue leakages in its critical oil and gas sector.
