By Oke Peter
President Bola Tinubu has signed an executive order mandating the direct remittance of all oil and gas revenues into the Federation Account.
The directive requires that royalties, taxes, profit oil and gas proceeds be paid straight to the Federation Account Allocation Committee (FAAC) for distribution to federal, state and local governments.
The order removes the power of the Nigerian National Petroleum Company Limited (NNPC) to make prior deductions, including management fees and frontier exploration allocations. Gas flare penalties will also now be paid directly into the Federation Account.
The presidency says the move is aimed at blocking revenue leakages, improving transparency and increasing funds available for national development.
