The Arewa Think Tank has lauded President Bola Tinubu’s executive order mandating the direct remittance of oil and gas revenues into the Federation Account, describing it as a decisive move to strengthen transparency and accountability in the petroleum sector.
In a statement issued on Tuesday in Kaduna, the group’s Convener, Muhammad Yakubu, urged the President to include the Revenue Mobilisation, Allocation and Fiscal Commission in the implementation framework of the directive.
Tinubu recently signed an executive order directing that oil and gas revenues be paid directly into the Federation Account to boost national earnings and plug leakages in the industry. The President said the measure is aimed at safeguarding government revenue, reducing wasteful spending and eliminating duplicative structures within the sector.
The order, signed pursuant to Section 5 of the 1999 Constitution (as amended) and anchored on Section 44(3), seeks to restore the constitutional revenue entitlements of the Federal, state and local governments. It also addresses concerns linked to the Petroleum Industry Act, under which significant Federation revenues were reportedly lost through multiple deductions, charges and retained earnings.
Commending the move, Yakubu described the directive as a bold and timely intervention.
“We commend President Bola Tinubu for this courageous and patriotic executive order aimed at restoring transparency and accountability in the oil and gas sector. This is a step in the right direction for strengthening the Federation Account and ensuring that revenues due to all tiers of government are protected,” he said.
However, the group expressed concern that the Revenue Mobilisation, Allocation and Fiscal Commission, a constitutionally mandated body responsible for monitoring accruals into and disbursement of revenue from the Federation Account, was not listed among members of the implementation committee set up by the President.
“It may have been an oversight, but we respectfully appeal to Mr President to include the Revenue Mobilisation, Allocation and Fiscal Commission in the Executive Order’s implementation committee he has just established,” Yakubu stated.
He noted that the commission’s statutory role makes it a key stakeholder in reforms affecting the Federation Account, adding that its inclusion would enhance institutional balance and credibility.
“The inclusion of RMAFC will strengthen the credibility, transparency and institutional balance of the implementation process. As the body constitutionally saddled with monitoring revenue accruals and disbursement, its participation is indispensable,” he added.
Yakubu emphasised that broad-based institutional collaboration would be crucial to achieving the objectives of the executive order, particularly in eliminating leakages, curbing excessive deductions and repositioning relevant institutions along commercial lines.
The group reaffirmed its support for the administration’s reform agenda and expressed optimism that incorporating the commission into the framework would further reinforce fiscal discipline, transparency and public confidence in the management of oil and gas revenues.
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