The Nigerian National Petroleum Company Limited (NNPCL) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) remitted over N322bn and $116.9m into the Federation Account within two months following the implementation of Executive Order 9 signed by President Bola Tinubu in February 2026.
Documents presented at the Federation Account Allocation Committee meetings showed that the remittances followed the Federal Government’s directive mandating the full transfer of crude oil and gas revenues into the Federation Account.
Executive Order 9 was introduced to improve transparency, strengthen revenue accountability, and increase inflows into the Federation Account amid growing fiscal pressures and rising government expenditure demands.
Under the directive, Tinubu invoked Section 5 of the Constitution of the Federal Republic of Nigeria, anchored on Section 44(3), which vests ownership and control of all minerals, mineral oils, and natural gas in the Government of the Federation.
The President stated that excessive deductions, overlapping funds, and structural distortions within the oil and gas sector had weakened remittances meant for federal, state, and local governments.
According to the FAAC documents, the NNPC remitted a total of $29.28m and N42.64bn for March 2026 crude oil and gas receipts shared in April 2026.
The national oil company stated that 100 per cent of the crude oil and gas receipts were remitted to the Federation in compliance with Executive Order 9.
The receipts were generated from several revenue streams, including Production Sharing Contract profits, crude oil exports, domestic crude sales to the Dangote Petroleum Refinery, gas receipts, and miscellaneous crude and gas earnings.
A breakdown of the March remittance showed that crude oil export earnings accounted for $25.7m, while PSC profits contributed $3.52m. On the naira side, crude oil export proceeds stood at N37.67bn, while miscellaneous crude revenue amounted to N42.64bn. Gas revenue contributed N34.47m.
The documents also indicated that PSC profit inflows were shared between the Federation Sub-Account and the Federation Account in line with the statutory allocation formula.
According to the presentation, the Federation Sub-Account received 60 per cent of PSC profits amounting to $11.71m and N826.74m, while the Federation Account received 40 per cent valued at $17.57m and N1.24bn.
Similarly, the NNPC disclosed that for February 2026 receipts shared in March 2026, it remitted 100 per cent of crude oil and gas earnings totalling $87.63m and N121.34bn to the Federation Account.
The February remittance figures represented significantly higher inflows compared to March, reflecting stronger crude oil and gas revenue performance during the period.
The FAAC documents further showed that the NUPRC separately remitted N34.2bn in March 2026 from royalties, gas flare penalties, concession rentals, and miscellaneous oil revenues.
According to the commission, the remittance complied with its statutory obligation to transfer all collectable upstream petroleum revenues into the Federation Account.
A breakdown of the NUPRC collections showed that oil and gas royalties generated N18.69bn in March 2026, while gas flare penalties contributed N10.2bn. Miscellaneous oil revenue stood at N4.95bn, while concession rentals accounted for N364.06m.
However, the March remittance represented a sharp decline compared to the N124.4bn collected in February 2026, mainly due to lower royalty collections, which fell from N104.31bn in February to N18.69bn in March.
The latest remittance figures reflect the Federal Government’s intensified push to improve oil revenue accountability and reduce leakages within the petroleum sector.
The implementation of Executive Order 9 is also expected to increase monthly allocations shared among the three tiers of government through FAAC, especially as many states continue to face mounting debt obligations, wage pressures, and infrastructure funding challenges.
Meanwhile, the World Bank has called for stricter enforcement of Executive Order 9, urging the Federal Government to eliminate revenue deductions at source and transition Ministries, Departments, and Agencies to transparent budgetary funding.
In its latest Nigeria Development Update report titled “Nigeria’s Tomorrow Must Start Today: The Case for Early Childhood Development,” the World Bank noted that the executive order had already improved revenue transparency but stressed that sustained progress would depend on stronger enforcement across government institutions.
