The Federal Government has again defended the legality of Executive Order 9 of 2026, saying it neither repeals the Petroleum Industry Act nor infringes the legislative power of the National Assembly.
It also explained in a statement yesterday by Budget Office Director-General Tanimu Yakubu that the Order was to protect the integrity of the Federation Account.
“Executive Order 9 has not repealed the Petroleum Industry Act. It has not amended any provision of the Act. It has not suspended statutory obligations established by the National Assembly, nor has it attempted to legislate in place of the Legislature,” the government said.
The clarification, according to the statement Yakubu followed a Monday newspaper article in which the writer questioned the legality of the Order.
President Bola Ahmed Tinubu issued the Order on February 13 to protect Nigeria’s public revenue system and ensure that the constitutional process for managing petroleum income is properly followed.
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In the response, the government said the article reached conclusions about the legality of the Executive Order without properly examining the constitutional powers of the President.
According to the statement, the argument that the existence of the PIA prevents the President from issuing directives relating to petroleum revenue administration is not supported by Nigeria’s constitutional framework.
It explained that there was a need for the public to understand that an Executive Order can only be considered unlawful if it changes or overrides laws made by the National Assembly.
The government argued that critics fail to show that Executive Order 9 altered any statutory rights, duties or institutional structures created by law.
“Until such burdens are met, the allegation of illegality remains not a legal conclusion but a polemical assertion,” the statement said.
It said the main argument presented by critics is that once a sector is regulated by legislation, the President can no longer issue directives that affect its administration.
Under Section 5 of the 1999 Constitution, the Executive powers of the federation are vested in the President, who is responsible for ensuring that the Constitution and all laws passed by the National Assembly are properly implemented.
The government said this means the President is not a passive observer in the administration of laws but has the responsibility to ensure that policies and institutions operate in line with the Constitution.
“The President is not a passive observer of statutory administration. As the head of the executive branch, he bears the constitutional responsibility to ensure that laws are implemented faithfully and coherently,” the statement said.
It added that executive orders are recognised administrative tools used by governments around the world to guide the implementation of policies and coordinate the activities of government institutions.
According to the statement, the presence of legislation in a particular sector does not remove the authority of the Executive branch of government to issue administrative directives.
“Nearly every major sector of governance operates within statutory frameworks, yet their implementation necessarily involves executive direction, policy coordination and institutional oversight,” it said.
The government stated that an Executive Order only becomes unlawful if it contradicts an existing law, cancels a statutory provision or goes beyond the limits of the Constitution.
It maintained that none of these conditions applies to Executive Order 9.
Another issue raised in the response concerns the role of the Federation Account in Nigeria’s fiscal system.
The government said the debate over the Executive Order is not only about how the petroleum sector is managed but also about protecting the Federation Account, which is a central part of Nigeria’s financial system.
“The integrity of the Federation Account directly affects national budgeting, fiscal transparency and macroeconomic stability,” it said.
The government added that any administrative practice or interpretation of the law that weakens the constitutional flow of revenues into the Federation Account raises serious constitutional concerns.
In such circumstances, the government said the President has both the authority and the responsibility to act.
“Where administrative practices raise questions regarding compliance with constitutional provisions relating to revenues accruing to the Federation, the executive has the authority and responsibility to ensure that implementation remains constitutionally sound,” the statement said.
It explained that the Executive branch of government does not have to remain inactive while waiting for court decisions or legislative amendments before addressing such issues.
According to the government, decisive action by the Executive does not amount to a violation of the Constitution.
“The Constitution prohibits executive action without legal foundation; it does not prohibit executive leadership in safeguarding public revenue administration,” it said.
The government also addressed concerns that the directive could affect investor confidence in Nigeria’s petroleum sector.
It argued that investors are more likely to invest in environments where financial systems are transparent and where revenue administration is clear and predictable.
“Investors are not attracted to opacity, ambiguous revenue arrangements or uncertain fiscal oversight. Investment thrives in environments characterised by transparency, legal certainty and institutional clarity,” the statement said.
According to the government, strengthening discipline around how petroleum revenues are remitted and managed will ultimately strengthen confidence in Nigeria’s financial system.
The government maintained that Executive Order 9 should be seen as a step taken to strengthen Nigeria’s public finance system.
