|By Babatunji Wusu
Energy experts and petroleum retailers have pressed President Bola Ahmed Tinubu to chart a legislative path following the issuance of Executive Order 09, warning that bypassing the National Assembly could deepen uncertainty in Nigeria’s oil and gas sector.
Last Wednesday, the President, through his spokesman Bayo Onanuga, unveiled the directive mandating the remittance of key oil revenues to the federation account. The move has since triggered intense debate across the industry.
Executive Order 09 scraps two revenue streams previously retained by the Nigerian National Petroleum Company Limited—the 30 percent management fee on profit oil and gas, and the Frontier Exploration Fund. It also redirects gas flaring penalties and other income sources of the national oil firm to the federation account.
The Federal Government projects that the order could inject about N14 trillion into the federation account while strengthening transparency within the national oil company.
However, stakeholders argue that the directive directly intersects with provisions of the Petroleum Industry Act (PIA) 2021, raising legal and operational concerns. Industry observers say the policy shift has unsettled the leadership of NNPCL and cast a shadow over investor confidence.
Last week, the President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), Festus Osifo, called on Tinubu to withdraw the order, warning that it could erode the legal safeguards embedded in the PIA and spook investors.
In sharp contrast, Professor Emeritus of Petroleum Economics, Wumi Iledare, faulted PENGASSAN’s stance, arguing that the union had misdirected its advocacy. While acknowledging the far-reaching implications of the directive, Iledare cautioned that specific provisions of the order overlap with the PIA and must be carefully reconciled.
Defending the policy on Monday, Onanuga insisted that the executive order aligns squarely with constitutional provisions and serves the broader public interest.
Yet, in exclusive interviews with DAILY POST, energy expert and Managing Partner of TENO Energy Resources Limited, Tim Okon, and the National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, urged the President to engage the legislature as the next logical step.
Dr. Okon stressed that any attempt to amend the PIA should proceed through the National Assembly rather than executive fiat.
“If the purpose is to amend a law, the appropriate route is to take it to the National Assembly. Laws are drafted and amended there. That remains the preferred and more sustainable approach,” he argued.
Gillis-Harry, however, described Executive Order 09 as a catalytic first step toward legislative reform. He said the order signals the administration’s resolve to expunge and repair “inimical” provisions of the PIA through parliamentary action.
He further referenced longstanding allegations of unremitted oil revenues, noting that public records are replete with claims of billions and trillions of naira in missing funds.
The controversy deepened amid claims that the leadership of NNPCL, headed by Bayo Ojulari, has yet to account for N210 trillion flagged as unaccounted funds in audited financial statements spanning 2017 to 2023. The matter was earlier raised by the Senate Committee on Public Accounts chaired by Aliyu Wadada.
As debate intensifies, analysts warn that the administration must strike a delicate balance between boosting federal revenues, preserving the integrity of the PIA framework, and restoring investor confidence in Africa’s largest oil producer.
