Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) don strongly reject Executive Order wey President Bola Ahmed Tinubu sign, wey direct Nigerian National Petroleum Company Limited (NNPC Limited) to remit oil and gas revenues directly into Federation Account.
For press conference wey hold for Lagos on Thursday, PENGASSAN President, Festus Osifo, describe the order as violation of the Petroleum Industry Act (PIA) and the Constitution.
Osifo argue say the Executive Order amount to setting aside law wey National Assembly take over 20 years to enact. According to am, the President no get constitutional power to override existing Act of Parliament through executive instrument.
“This order dey send wrong signal to global investors say Nigeria no fit keep to its own laws,” Osifo talk. He add say oil and gas investment dey capital-intensive and investors need stability and predictable legal framework before dem commit funds.
The union warn say the directive fit cause serious capital flight, loss of investor confidence and possible job losses across oil and gas value chain. Dem also caution say international oil companies fit reconsider their long-term operations in Nigeria if regulatory certainty no dey guaranteed.
Osifo further allege say some individuals close to the President fit have misadvised am into taking step wey go undermine gains achieved under the PIA, especially restructuring and commercialisation of NNPC Limited.
PENGASSAN don begin consultations with sister union, Nigeria Union of Petroleum and Natural Gas Workers(NUPENG), while its National Executive Council go meet next week to decide next line of action if government no withdraw the order.
The development don raise tension for oil sector as labour unions warn of possible escalation if dialogue and stakeholder engagement no take place.
President Tinubu Executive Order, signed February 13 and announced February 18, 2026, direct say all oil and gas revenues — including royalties, taxes, profit oil and profit gas — must now go straight into Federation Account instead of deductions previously allowed under PIA.
The order also remove NNPC 30 percent management fee on profit oil and gas, as well as 30 percent frontier exploration fund, while government say the move go improve transparency, block fiscal leakages and increase funds available for federal, state and local governments.
According to government, the reform aim to restore constitutional revenue entitlements and strengthen accountability in Nigeria petroleum sector, while broader review of the Petroleum Industry Act dey planned.
