The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has firmly opposed President Bola Tinubu’s recent Executive Order requiring all oil and gas revenues to be remitted directly into the Federation Account.
In a press briefing held in Lagos on Thursday 19 February 2026, PENGASSAN President Festus Osifo labeled the directive a serious threat to the sector’s stability.
In his words, he described the development as a direct challenge to the Petroleum Industry Act (PIA) of 2021, which was introduced to oversee and fortify Nigeria’s petroleum industry through clear legal guidelines.
Osifo emphasized that an executive order lacks the authority to override an Act enacted by the National Assembly and argued that bypassing proper legislative processes and stakeholder engagement risks undermining regulatory predictability, a key factor in attracting both domestic and international investment.
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“The move creates uncertainty and sends alarming signals about the sanctity of laws and the rule of law in Nigeria’s hydrocarbon sector,” Osifo stated. He called the order an “aberration” that disregards established frameworks designed to support sectoral progress.
The union further cautioned that enforcing the directive could severely impact the Nigerian National Petroleum Company Limited (NNPCL)’s operational liquidity. Reduced inflows, Osifo warned, might hinder the company’s capacity to fulfill salary commitments and sustain routine activities, potentially endangering the livelihoods of approximately 4,000 PENGASSAN members.
PENGASSAN urged President Tinubu to withdraw the order promptly and pursue any necessary reforms through amendments to the PIA, involving comprehensive consultations with industry stakeholders to safeguard jobs, boost investor trust, and ensure sustainable growth in Nigeria’s vital oil and gas industry.
