The Federal Government has commenced the implementation of Executive Order 9 to safeguard petroleum revenues and strengthening remittance flows into the Federation Account.
The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, confirmed this in a statement on Monday.
He chairs the Implementation Committee, the Implementation Committee for the Executive Order held its inaugural meeting on February 26, 2026, setting the framework for immediate reforms directed by President Bola Ahmed Tinubu.
At the meeting, the committee reaffirmed the President’s directive that all revenues accruing to the Federation must be handled transparently and in a manner that protects public funds.
The Nigerian National Petroleum Company (NNPC) Limited has been directed to stop the collection of the 30 per cent management fee and the 30 per cent frontier exploration fund deductions from profit oil and profit gas under Production Sharing Contracts (PSCs) as part of the immediate measures.
Besides, remittances of gas flare penalties into the Midstream and Downstream Gas Infrastructure Fund (MDGIF) have been suspended with immediate effect in compliance with the Executive Order.
On direct payments by contractors into the Federation Account, as provided under Section 2(3) of the Order, the committee resolved that the transition would be carefully managed to respect existing contractual and financing obligations and to maintain investor confidence.
A defined transition period has been approved for the operationalisation of direct remittances of profit oil, royalty oil and tax oil by contractors into the Federation Account. Contractors are to continue remitting under the current framework until detailed guidelines are issued.
The committee also approved the establishment of a Technical Subcommittee tasked with developing comprehensive guidelines for the transition within three weeks.
The subcommittee will further review provisions of the Petroleum Industry Act (PIA) to address structural and fiscal gaps considered detrimental to Federation revenues.
The Technical Subcommittee will be chaired by the Special Adviser to the President on Energy and will include the Solicitor-General of the Federation and Permanent Secretary, Federal Ministry of Justice; the Chairman of the Nigeria Revenue Service; the Chairman of the Forum of Commissioners of Finance; and representatives of the Minister of State for Petroleum Resources (Oil). The Budget Office of the Federation will serve as secretariat.
Edun explained that the government would continue to provide coordinated guidance and updates as the reforms progress.
The committee commended stakeholders for their cooperation, expressing optimism that the reforms would ensure Nigeria’s petroleum resources deliver measurable benefits to citizens across the country.
