The Nigerian National Petroleum Company Limited (NNPC) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) have collectively remitted over N322 billion and $116.9 million into the Federation Account within two months. These remittances are a direct result of Executive Order 9, signed by President Bola Tinubu in February 2026, which mandates the full transfer of crude oil and gas revenues.
Documents from Federation Account Allocation Committee (FAAC) meetings in March and April 2026 reveal these significant inflows. The directive aims to strengthen transparency, improve revenue accountability, and boost the Federation Account's coffers amidst fiscal pressures.
President Tinubu invoked Section 5 of the Constitution, asserting the Federal Government's ownership and control over all minerals, mineral oils, and natural gas. He highlighted that excessive deductions and structural distortions in the oil and gas sector had weakened remittances, a practice he vowed to end.
In March 2026, the NNPC remitted $29.28 million and N42.64 billion for crude oil and gas receipts shared in April. The company confirmed that 100 per cent of these receipts were transferred, complying with Executive Order 9.
These March receipts included $25.7 million from crude oil export earnings and $3.52 million from Production Sharing Contract (PSC) profits. On the naira side, crude oil export proceeds were N37.67 billion, with miscellaneous crude revenue at N42.64 billion and gas revenue at N34.47 million.
PSC profit inflows were split according to the statutory sharing formula: 60 per cent ($11.71 million and N826.74 million) to the Federation Sub-Account and 40 per cent ($17.57 million and N1.24 billion) to the Federation Account. The total transfer for March was $29.28 million and N42.64 billion.
For February 2026 receipts shared in March 2026, the NNPC remitted 100 per cent of its crude oil and gas earnings, totalling $87.63 million and N121.34 billion. These figures represent a substantial increase compared to the March remittances, indicating stronger revenue performance during that period.
Separately, the NUPRC remitted N34.2 billion in March 2026. This amount comprised revenue collections from royalties, gas flare penalties, concession rentals, and miscellaneous oil revenue, fulfilling its statutory obligation.
The NUPRC's March collections included N18.69 billion from oil and gas royalties, N10.2 billion from gas flare penalties, N4.95 billion from miscellaneous oil revenue (licences and permits), and N364.06 million from concession rentals.
However, the March remittance from NUPRC showed a significant decline compared to the N124.4 billion collected in February 2026. The decrease was primarily attributed to lower royalty collections, which dropped from N104.31 billion in February to N18.69 billion in March, a reduction of N85.62 billion. Gas flare penalties also saw a decline of N3.96 billion.
These remittances underscore the Federal Government's commitment to enhancing oil revenue accountability and addressing concerns about leakages and under-remittances. The implementation of Executive Order 9 is expected to bolster monthly FAAC allocations to federal, state, and local governments.
The World Bank, in its Nigeria Development Update report, has called for tighter and more explicit enforcement of Executive Order 9. The bank noted that while the order has improved revenue transparency, sustained gains depend on rigorous enforcement across all government institutions.
