FG changes how oil revenues are remitted to federation account
The Federal Government has revised the implementation of Executive Order 9 of 2026, changing how oil royalties and taxes are collected and remitted. Under the new framework, the Nigerian National Petroleum Company Limited will continue to collect these revenues and pay them into a new account at the Central Bank of Nigeria. The move follows high-level committee meetings and aims to address practical challenges in the oil sector. Bola Tinubu and top officials say the changes are intended to improve transparency and strengthen national revenue.
What we know
- The government revised the implementation of Executive Order 9 of 2026, allowing the NNPC to keep collecting oil royalties and taxes before remitting them to a new Central Bank account.
- The order, effective February 13, 2026, ends the 30 per cent Frontier Exploration Fund and management fee on profit oil and profit gas.
- Bola Tinubu said excessive deductions and overlapping funds have weakened remittances to the Federation Account and must end.
- A committee including the Minister of Finance, Attorney-General, and other top officials was formed to oversee the new framework.
- Concerns remain that the new system could undermine reforms from the Petroleum Industry Act and create operational and funding challenges for the NNPC.
