Connect with us

News

FG Approves Transition for Direct Oil Revenue Remittance to Federation Account

Published

on

 

By Yusuf Danjuma Yunusa

In a decisive move to enhance transparency and curb revenue leakages in the petroleum sector, the Nigerian Government has approved a transition period for oil companies to begin remitting revenues directly into the Federation Account. This directive is a core component of Executive Order 9, recently signed by President Bola Ahmed Tinubu.

The decision was formalized during the inaugural meeting of the Implementation Committee on Executive Order 9, held on February 26, 2026.

In a statement released on Monday, the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, who chairs the committee, announced the approval of a transition arrangement. He emphasized that this measured approach is designed to prevent any disruption to existing contractual and financing obligations within the oil industry.

The policy’s primary objective is to mandate the direct payment of all revenues from petroleum operations—including profit oil, royalty oil, and tax oil—into the Federation Account. This measure is intended to strengthen public finance management and ensure a more equitable distribution of resources across all three tiers of government (federal, state, and local).

Minister Edun explained that while the government is committed to enforcing the new payment structure, the committee agreed that a cautious implementation is vital to preserving investor confidence.

“With respect to Section 2, Sub-section 3 of Executive Order 9 on direct payments by contractors into the Federation Account, the Implementation Committee agreed that this transition must be implemented in a manner that respects existing contractual and financing arrangements and maintains investor confidence,” he stated.

Advert

He further clarified that a defined transition period has been approved before the new remittance system becomes fully operational. Until detailed guidelines are released by the committee, existing payment processes will remain in place.

“Until the Committee issues detailed guidelines, contractors will continue to remit under the current process. During the transition period, the Committee will issue clear, standardised guidance to ensure an orderly changeover,” Mr. Edun added.

To operationalize the directive, the committee has established a technical subcommittee tasked with developing a comprehensive implementation framework within three weeks. This subcommittee will also conduct a review of the Petroleum Industry Act (PIA) to identify structural and fiscal provisions that may be weakening government revenues from petroleum operations.

“The Technical Subcommittee will develop the detailed guidelines for the transition to direct remittance within three weeks and commence a review of the Petroleum Industry Act to address structural and fiscal anomalies that weaken Federation revenues,” Mr. Edun said.

The panel will be chaired by the Special Adviser to the President on Energy, Mrs. Olu Verheijen. Its members include senior officials from the Office of the Solicitor-General of the Federation, the Federal Ministry of Justice, the Nigeria Revenue Service, the Forum of Commissioners of Finance, and representatives of the Minister of State for Petroleum Resources (Oil). The Budget Office of the Federation will serve as its secretariat.

As an immediate part of the reforms under Executive Order 9, the government has directed NNPC Limited to halt certain deductions under Production Sharing Contracts.

According to the committee, NNPC Limited is to immediately stop collecting a 30 per cent management fee and a 30 per cent frontier exploration fund deduction from profit oil and profit gas. Furthermore, the remittance of all gas flare penalties into the Midstream and Downstream Gas Infrastructure Fund has been suspended with immediate effect.

The implementation committee reaffirmed that these sweeping reforms are designed to guarantee that all revenues generated from Nigeria’s oil and gas resources are fully accounted for and paid into the Federation Account, in strict adherence to constitutional provisions.

“The Committee reaffirmed the President’s directive that revenues accruing to the Federation from petroleum operations must be handled in a manner that upholds constitutional principles, protects revenues accruable to the Federation and supports the fiscal stability of all three tiers of government,” the statement concluded.

News

Obi, Kwankwaso to Dump ADC, Join New Party on Monday – Galadima

Published

on

 

By Yusuf Danjuma Yunusa

Buba Galadima, Kwankwaso ally, announced Saturday that opposition figures Peter Obi and Rabiu Kwankwaso will reveal a new political platform on Monday, signaling a major realignment ahead of the 2027 general elections.

Speaking at an Obi-Kwankwaso Movement stakeholders’ meeting in Abuja, Galadima disclosed that the former governors of Anambra and Kano states are finalizing arrangements to join the Nigeria Democratic Congress (NDC), a party reportedly linked to former Bayelsa Governor Senator Seriake Dickson.

“Both Obi, Kwankwaso and their chieftains were on ground between yesterday and this morning signing the relevant documents with Senator Dickson and the NDC leaders,” a source close to the opposition leaders confirmed on condition of anonymity.

The source added that the move aims to avoid past political missteps: “We don’t want a repeat of what happened in the ADC to occur again. We discovered late that Atiku and his loyalists lured our leaders to that opposition party to fulfil only one single mission — Atiku’s presidential ambition.”

Advert

Galadima warned supporters to prepare for coordinated attacks following the announcement, drawing an analogy to international conflict.

“As from Monday, when our leaders declare on which platform they will run, I want to tell you that one of two things will happen,” Galadima told journalists. “First, they will sponsor columnists. Two, they will deploy social media influencers to start attacking our candidates.”

He urged supporters to respond strategically: “Don’t call anybody any name until they call our leaders names. Then we will respond with the greatest might of intellect in us. These are people who are living in their comfort zones, and they want to start a war. We will help them add kerosene.”

The NNPP chieftain alleged that opposition leaders have faced sustained repression, claiming security agencies have maligned and detained them as part of an initial suppression phase. He argued a second phase involved systematically weakening opposition platforms, listing the SDP, PDP, ADC, NDP and PRP as having been “decimated.”

Isaac Fayose, brother of former Ekiti State Governor Ayodele Fayose, expressed support for the proposed alliance, stating: “I am not a politician and don’t need to join your political party. But let me say that O-K (Obi-Kwankwaso) is okay for me.”

The planned defection follows weeks of speculation over the political future of both opposition figures amid Supreme Court developments affecting opposition party structures.

Continue Reading

News

Nigeria Ranked One of the Dangerous Countries in West Africa for Journalists

Published

on

 

By Yusuf Danjuma Yunusa

Nigeria has been ranked 112th out of 180 countries in the 2026 World Press Freedom Index released by Reporters Without Borders (RSF).

This year’s ranking marks some improvement for the country which ranked 122th position in 2025.

Despite the improvement, Nigeria remains in the “difficult category” for press freedom based on the five indicators determining the economic, legal, security, political and social environments for journalism in the country.

“Nigeria is one of West Africa’s most dangerous and difficult countries for journalists, who are regularly monitored, attacked and arbitrarily arrested,” the report stated.

According to the report, around 30 journalists were assaulted, arrested and targeted with tear gas or gunfire while covering the social protests shaking the country in 2024 as electoral periods continue to bring significant violence against media professionals in the country.

Advert

It stated, “Crimes committed against journalists continue to go unpunished, even when the perpetrators are known or apprehended. There is almost no state mechanism for protection. In fact, the authorities keep investigative journalists under close surveillance and do not hesitate to threaten and arbitrarily detain them.”

The RSF expressed concerns over plummeting press freedom across the world, noting that “more than half the world’s countries now fall into the “difficult” or “very serious” categories for press freedom.”

“In over half of the world’s countries and territories (52.2%), the state of press freedom is categorised as “difficult” or “very serious.” This category was a small minority (13.7%) in 2002.

“In 2002, 20% of the global population lived in a country where the state of press freedom was categorised as “good.” Twenty-five years later, less than 1% of the world’s population lives in a country that falls under this category,” it added.

The report stated that while Norway held the top spot for the tenth consecutive year, Eritrea came in last for the third year in a row.

It added that Post-Assad Syria had seen the biggest improvement in press freedom of all the countries and territories in the 2026 Index, climbing 36 places in the ranking.

Meanwhile, RSF editorial director Anne Bocandé warned that authoritarian states, incompetent political powers, predatory economic actors deepen globally decline in press freedom, urging governments around the world to support accountability journalism.

“Current protection mechanisms are not strong enough; international law is being undermined and impunity is rife. We need firm guarantees and meaningful sanctions. The ball is in the court of democracies and their citizens. It is up to them to stand in the way of those who seek to silence the press. The spread of authoritarianism isn’t inevitable,” Ms Bocandé said in the report.

Continue Reading

News

FG Approves National Aircraft Leasing Company

Published

on

By Yusuf Danjuma Yunusa

The Federal Government has approved the establishment of a National Aircraft Leasing Company aircraft leasing company to support domestic airlines with access to modern fleets.

The Minister of Aviation and Aerospace Development, Festus Keyamo, announced the decision following a meeting of the Federal Executive Council, describing the initiative as a major shift in how Nigerian carriers will acquire and finance aircraft.

In a statement issued on Friday, Keyamo said the company would operate as a private-sector-driven Special Purpose Vehicle with government backing.

Keyamo said, “This initiative is a game-changer for our aviation industry. It eliminates the long-standing challenges Nigerian airlines face in accessing aircraft on competitive terms and positions the country as a hub for aviation financing in Africa.”

Advert

According to him, the platform will enable airlines to source aircraft through a centralised system rather than negotiating individually with international lessors.

Keyamo added that the government would provide support through sovereign guarantees while allowing private investors to drive the project.

According to the statement, the initiative is also expected to extend beyond Nigeria, offering leasing opportunities to operators across West Africa and the wider continent.

He added, “Through the Ministry of Finance Incorporated, the government will hold equity and earn revenue without direct financial investment. Our primary obligation is to provide the confidence investors need, especially in ensuring asset security.”

He noted that the model had already attracted interest from both local and international investors.

The minister said the initiative is expected to strengthen the aviation sector, improve airline capacity and position Nigeria as a hub for aircraft leasing in the region.

Continue Reading

Trending