Tope Adebayo LP, a full-service law firm based in Lagos, has provided clarity on questions surrounding the validity and implementation of Executive Order 9 (the “Order”), signed by President Bola Tinubu on February 18, 2026. According to the law firm, the Order signals a new phase of fiscal and regulatory oversight in Nigeria’s oil and gas sector upon its implementation.
Formally titled Presidential Executive Order to Safeguard Federation Oil and Gas Revenues and Provide Regulatory Clarity, Executive Order 9 mandates the direct remittance of oil and gas revenues, including royalties, tax oil, profit oil, gas proceeds, production sharing contract earnings, and gas flare penalties, into the Federation Account.
Speaking on the implications of the Order, the law firm framed Executive Order 9 as a constitutional implementation instrument rather than a legislative amendment, noting that it marks a significant restructuring of Nigeria’s petroleum revenue architecture and integrated petroleum operations under the Petroleum Industry Act, 2021 (PIA).
“Executive Order 9 represents a structural intervention in Nigeria’s petroleum revenue architecture. It mandates the suspension of certain statutory deductions and further mandates the direct remittance of oil and gas revenues—including royalties, taxes, profit oil/gas, PSC proceeds, and gas flare penalties into the Federation Account and reinforces federal control over revenue custody and fiscal administration. This marks a significant shift from the fiscal and regulatory framework established under the Petroleum Industry Act, 2021 (PIA), with the Order materially altering existing revenue flows and restructuring how petroleum revenues are managed and administered. The Order also addresses integrated petroleum operations by introducing a joint regulatory framework to manage overlaps between upstream and midstream regulatory agencies,” the newsletter, titled Implementing Executive Order 9 of 2026 As a Legal Framework for Petroleum Revenue and Integrated Operations Governance in Nigeria, reads.
“Beyond fiscal reforms, Executive Order 9 introduces a new institutional governance framework by requiring collaboration between the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) through a Joint Project Team.
“Executive Order 9 does not repeal nor amend portions of the PIA. Rather, in line with the executive powers of the President under Section 5 of the Constitution, it reinforces constitutional revenue custody obligations under Sections 44(3), and 162 of the Constitution by directing how executive institutions and operators collect and remit petroleum revenues,” the newsletter asserts.
According to the report, its implementation could also resolve long-standing regulatory overlaps and lack of clarity in integrated petroleum operations. “The current regulatory separation under the PIA has created practical ambiguities in integrated operations. The collaboration between NUPRC and NMDPRA under the Joint Project Team, offers an opportunity to create regulatory clarity and improve institutional accountability,” it adds.
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