The Presidency has defended President Bola Tinubu’s Executive Order 9 (EO9), which halted revenue deductions by the Nigerian National Petroleum Company Limited (NNPCL) and related agencies, citing the supremacy of the Nigerian Constitution over the Petroleum Industry Act (PIA).

Bayo Onanuga, Special Adviser to the President on Information, explained that EO9 aims to restore constitutional revenue entitlements for federal, state, and local governments, which the PIA allegedly disrupted. “PENGASSAN is focusing on PIA alone. The President’s action is based on the Nigerian Constitution, which PIA violates,” Onanuga said.

The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) opposed the order, arguing it could hinder NNPCL’s operational funding, including contributions to the Frontier Exploration Fund essential for hydrocarbon exploration in 2026. Onanuga countered that the union’s reaction was “knee-jerk” and overlooked sections 5 and 44(3) of the 1999 Constitution, which empower the President to execute federal laws and manage national resources.

Senior lawyers, including SANs Lekan Ojo, Adeola Adedipe, and Wale Balogun, argued that EO9 cannot override the PIA. Nigerian Bar Association President Afam Osigwe stressed, “A president cannot, by executive order, modify or alter a law.” They maintained that only the judiciary can declare a law unconstitutional.

Meanwhile, Mofesomo Tayo-Oyetibo (SAN) clarified that EO9 does not repeal the PIA but ensures petroleum revenue administration aligns with constitutional requirements, reinforcing executive responsibility without amending legislation.

Private sector leaders welcomed EO9, noting that it promotes transparency and strengthens investor confidence. NECA Director-General Adewale Oyerinde stated that clear revenue management enhances predictability for foreign investors, while Lagos Chamber of Commerce President Leye Kupoluyi described the directive as an opportunity to improve NNPCL’s operational efficiency and governance.

EO9 underscores the Presidency’s effort to plug revenue leakages, uphold federal revenue entitlements, and enhance transparency in Nigeria’s oil sector. While legal debates continue, the Executive maintains that constitutional fidelity and proper administration of petroleum funds remain paramount, pending any judicial review.