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The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has described the Federal Government’s Executive Order No. 9 as a reform-driven step to boost accountability and investors’ confidence in Nigeria’s energy sector.
Dr Billy Gillis-Harry, National President of PETROAN, made the commendation while reacting to the development on Saturday, February 21, 2026.
Gillis-Harry said the order, compelling the Nigerian National Petroleum Company Limited (NNPC Ltd.). to remit revenues directly to the Federation Account, aligned with global best practices and would reinforce NNPC’s transformation into a commercially disciplined company.
President Bola Tinubu signed the Executive Order No. 9 of 2026 on February 13, aimed at strengthening fiscal discipline and promoting transparency in Nigeria’s oil and gas revenue management.
The Executive Order directs that all oil and gas revenues due to the Federation, including royalty oil, tax oil, profit oil, and profit gas, be paid directly into the Federation Account.
It also suspends certain revenue retention mechanisms under the Petroleum Industry Act (PIA) 2021, including the 30 per cent Frontier Exploration Fund, 30 per cent NNPC Ltd. management fee on profit oil and profit gas.
It also includes the redirection of gas flare penalties to the Federation Account.
Reacting, Gillis-Harry said transparent revenue management was critical to improving Nigeria’s economic credibility and attractiveness to both local and foreign investors.
He described the executive order as a courageous decision that strengthens accountability while deepening reforms within the oil and gas industry.
The PETROAN president also commended the Group Chief Executive Officer, NNPC Ltd., Mr. Bayo Ojulari, for his proactive efforts to revive the Port Harcourt Refinery, particularly during a recent inspection engagement with a Chinese technical firm.
He endorsed the proposal to adopt the governance structure of Nigeria Liquefied Natural Gas Limited (NLNG) for the Port Harcourt Refinery, noting that the NLNG Bonny model has proven effective in promoting operational efficiency, transparency, and private-sector discipline.
He emphasised that replicating a commercially driven governance model similar to NLNG would enhance the long-term productivity and global competitiveness of Nigeria’s refineries.
Such reforms, he said, would strengthen energy security, reduce dependence on fuel imports, and position the downstream sector for sustainable growth.
Gillis-Harry reaffirmed PETROAN’s readiness to collaborate with the Federal Government and relevant regulatory institutions to ensure that the order promotes energy security, safeguards jobs, and delivers long-term stability.
In a related development, the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has commended President Bola Tinubu for ordering direct remittance of oil and gas revenues to the Federation Account, describing it as a major fiscal reform.
Dr Mohammed Shehu, Chairman of the RMAFC, made the remark in a statement on Saturday in Abuja.
Shehu described the Executive Order as bold, constitutionally grounded and capable of improving transparency and accountability in revenue management.
He said the directive would help eliminate leakages and strengthen the revenue base of federal, state and local governments.
He explained that the order aligned with constitutional provisions governing ownership and control of mineral resources for the collective benefit of Nigerians.
According to him, previous frameworks allowed multiple deductions that reduced remittances into the federation account.
Shehu listed such deductions to include management fees, frontier exploration allocations and other charges.
He said the deductions constrained fiscal capacity across all tiers of government, adding that the commission had consistently advocated reforms to address revenue leakages and improve remittance processes.
The chairman recalled a recent retreat where concerns about revenue retention outside the federation account were discussed.
He said the executive order had addressed many of the structural challenges identified by the commission.
Shehu described the reform as timely in view of increasing national demands, adding that such demands include security, infrastructure, education, healthcare and economic stabilisation.
‘’The directive will improve transparency and predictability in government revenue flows; it will also strengthen fiscal federalism and restore constitutional revenue rights.
“The reform enhances the commission’s capacity to monitor revenue accruals and disbursement, as well as supporting the commission’s constitutional oversight responsibilities,” he said.
Shehu reaffirmed the commission’s support for ongoing public financial management reforms, noting that the RMAFC would continue to collaborate with relevant institutions to ensure effective implementation.
He said that the commission remained committed to safeguarding the integrity of the federation account.
Similarly, Mr. Tunji Oyebanji, Chief Executive Officer of 11 Plc, has expressed support for the Federal Government’s directive mandating the direct remittance of oil and gas revenues from Nigerian National Petroleum Company Ltd. (NNPCL) into the Federation Account.
Oyebanji, in an interview on Saturday in Lagos, described the move as a step toward transparency, fiscal discipline and strengthened public finances.
Oyebanji acknowledged the fiscal pressures confronting government, noting that the reform reflected necessary effort to strengthen revenue inflows and ensure resources are available for national priorities.
“I understand that the Federal Government is working to strengthen revenue generation and block leakages in order to meet critical expenditure obligations,” he said.
He explained that the executive order rerefined erational mechanisms within Nigeria’s petroleum revenue framework by ensuring that funds due to the Federation were remitted transparently and promptly.
While endorsing the reform’s objectives, Oyebanji emphasised the importance of ensuring smooth implementation so that NNPCL continued to meet its commercial and operational responsibilities effectively.
“There is a need for careful execution to ensure operational efficiency is preserved.
“We must understand the cash-flow requirements of NNPCL so that its commercial operations continue seamlessly,” he said.
He noted that under Nigeria’s petroleum governance framework, NNPCL is expected to operate competitively, meet contractual obligations, finance capital investments and function with private-sector efficiency.
According to him, ensuring clarity in operational funding mechanisms will help the company sustain performance while aligning with the government’s transparency and accountability goals.
He added that efficient implementation procedures would prevent delays in infrastructure repairs, investments and financial commitments, thereby supporting the company’s transition into a fully commercial enterprise.
Oyebanji said the reform underscored government’s commitment to strengthening public finance management while safeguarding the operational resilience of the nation’s strategic energy institution.
He noted that with proper coordination and stakeholder engagement, the directive would enhance accountability, improve revenue flows to the three tiers of government and support national development priorities.
By Yunus Yusuf, Emmanuella Anokam and Vivian Emoni
