By: Sunday Ameh
The Federation Account Allocation Committee (FAAC) received 100 per cent of profit oil from production sharing contracts (PSCs) from the Nigerian National Petroleum Company (NNPC) Limited in February, indicating that President Bola Tinubu’s executive order on oil revenue remittance has begun to take effect.
The development was contained in the February oil and gas revenue distribution figures obtained by Starnews NG on Saturday.
The latest figures suggest a major shift in the remittance structure of oil proceeds, following the implementation of Tinubu’s directive requiring direct payment of certain oil and gas revenues into the federation account.
Under the new arrangement, funds previously subject to deductions or retention appear to have been fully remitted to FAAC, a move that could boost monthly allocations shared among the federal, state and local governments.
The implementation of the executive order is expected to significantly alter revenue flows within the oil sector and strengthen funds available for distribution through FAAC.
The development comes amid growing attention on government efforts to improve transparency, plug revenue leakages and increase public earnings from the country’s oil and gas resources.
More details are expected as full breakdowns of the February FAAC revenue figures emerge.
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