Tinubu Signs Order to Redirect Oil Revenues to Federation Account
President Bola Tinubu has signed an Executive Order to redirect oil and gas revenues to the Federation Account, addressing revenue leakages under the Petroleum Industry Act (PIA). The directive eliminates NNPC Limited's 30% management fee on profit oil and profit gas, transfers the Frontier Exploration Fund directly to the Federation Account, and suspends gas flare penalties to the Midstream and Downstream Gas Infrastructure Fund (MDGIF). Effective February 13, 2026, operators must remit all government dues directly to the Federation Account. This aims to recover over two-thirds of lost revenues for national priorities like security and healthcare. The order also establishes a joint project team to coordinate petroleum operations and an implementation committee including key ministers. Tinubu described the reforms as critical for budgeting, debt sustainability, and economic stability, signaling plans for a comprehensive PIA review.