A chieftain of the All Progressives Congress, Chief Uche Nwosu, has applauded President Bola Tinubu for issuing an executive order mandating the direct remittance of revenues from the Nigerian National Petroleum Company Limited into the Federation Account.
Under the new directive, funds generated by the national oil company are to be paid into the Federation Account before any disbursement is made to the company, a move Nwosu described as a major step toward improving transparency and fiscal discipline.
Nwosu, who previously served as Chief of Staff to former Imo State Governor Rochas Okorocha, said the order represents a landmark reform in the management of Nigeria’s oil wealth.
In a statement issued in Abuja on Thursday, he called the directive “a bold and necessary fiscal reform that will deepen transparency and strengthen accountability in Nigeria’s oil and gas sector.”
“For years, Nigerians have demanded greater clarity in the management of petroleum revenues,” Nwosu said. “By ensuring that NNPC earnings first go into the Federation Account, the President has created a framework that allows proper scrutiny and institutional oversight.”
He added that the policy would make it easier for citizens to track how much the country earns from its oil resources and would align Nigeria with global best practices in public financial management.
According to him, the decision reflects courage and a clear commitment to reform.
“Having the courage to take this decision shows that the President is committed to doing things differently. It signals a clear intention to strengthen our institutions and promote fiscal discipline,” he said.
The executive order forms part of a broader package of reforms aimed at safeguarding oil and gas revenues due to the Federation. As part of the measures, the President also suspended the collection of management and frontier exploration fees by the NNPC.
A statement from the Federal Ministry of Finance, signed by the Assistant Director of Information and Public Relations, Uloma Amadi, explained that the order mandates the direct remittance of taxes, royalties and profit oil under Production Sharing Contracts to the appropriate fiscal authorities. The move effectively blocks deductions at source and is intended to curb revenue leakages.
The ministry said the policy would realign oil and gas revenue flows with constitutional provisions while strengthening inflows into the Federation Account.
Nwosu expressed optimism that proper implementation of the directive would enhance macroeconomic planning, improve revenue forecasting and strengthen fiscal relations among the federal, state and local governments.
“This is commendable. I encourage Mr President to continue on this path of transparency and institutional strengthening. Nigeria stands to benefit greatly from such decisive actions,” he added.
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