Nigeria's FG Launches Executive Order 9 for Petroleum Revenue

The Federal Government of Nigeria has begun implementing Executive Order 9, issued by President Bola Ahmed Tinubu, to safeguard federal revenue and strengthen the management of petroleum revenue. The implementation committee, chaired by Minister of Finance Wale Edun, reaffirmed the directive that revenue accruing from federal petroleum operations must be handled in a manner that upholds constitutional principles and protects revenue.

Key measures include the immediate cessation of NNPC's collection of a 30% management fee and the suspension of the Frontier Exploration Fund. The committee agreed on a transitional approach for direct payments to contractors from the federal account, maintaining existing contractual financial arrangements to ensure investor confidence.

A technical subcommittee will develop detailed guidelines for this transition within three weeks. Additionally, the committee will review the Petroleum Industry Act to address fiscal anomalies that weaken federal revenue.