Tinubu Executive Order 9 sparks legal and industry debate as Presidency insists the directive upholds constitutional supremacy over the PIA

The Presidency on Tuesday defended President Bola Ahmed Tinubu’s Executive Order 9, which halted revenue deductions by the Nigerian National Petroleum Company Limited and other agencies, insisting that the directive is anchored on constitutional supremacy rather than the Petroleum Industry Act.

Also read: Tinubu appeals for forgiveness during Ramadan Tafsir

Special Adviser to the President on Information and Strategy, Bayo Onanuga, said the Tinubu Executive Order 9 was grounded in sections 5 and 44(3) of the 1999 Constitution and aimed at restoring revenues constitutionally due to the Federal, State and Local Governments.

Bayo Onanuga criticised the Petroleum and Natural Gas Senior Staff Association of Nigeria for opposing the directive, describing the union’s reaction as “knee-jerk” and based on a narrow reading of the Petroleum Industry Act. Bayo Onanuga argued that the Act, signed into law in 2021 by former President Muhammadu Buhari, could not override the Constitution.

“The President’s action is based on the Nigerian Constitution, which the PIA violates in allowing the deductions that the President has now stopped,” Bayo Onanuga said in response to inquiries.

Executive Order 9 directs that petroleum revenues, including royalties, taxes, profit oil and gas, penalties and related receipts, be remitted into constitutionally recognised accounts, particularly the Consolidated Revenue Fund, as provided under section 80(1) of the Constitution.

Presidential media aide Sunday Dare also defended the measure, stating that the order does not amend the Petroleum Industry Act but operationalises constitutional provisions. Sunday Dare maintained that any dispute over its validity should be resolved by the judiciary.

The directive has, however, triggered intense legal debate. Eight Senior Advocates of Nigeria, including Lekan Ojo, Adeola Adedipe and Paul Obi, argued that the President lacks the authority to override an Act of the National Assembly through an executive instrument.

Lekan Ojo said an executive order cannot amend, alter or nullify a law duly enacted by parliament. Adeola Adedipe stressed that executive orders are limited to administrative convenience and cannot substitute the constitutional law-making process.

President of the Nigerian Bar Association, Afam Osigwe, was emphatic that a president does not possess the power to modify an existing statute by executive fiat.

According to Afam Osigwe, only the judiciary can declare a law unconstitutional, while the National Assembly retains exclusive authority to amend or repeal legislation.

Dr Wahab Shittu described the controversy as raising profound constitutional questions concerning separation of powers and judicial review.

Dr Wahab Shittu noted that although section 1(3) of the Constitution renders inconsistent laws void, the determination of inconsistency lies exclusively with the courts.

Similarly, Dr Abiodun Layonu and Isiaka Olagunju maintained that any executive order contradicting an existing statute would be null and void to the extent of the inconsistency.

In contrast, Mofesomo Tayo-Oyetibo argued that Tinubu Executive Order 9 does not purport to repeal the Petroleum Industry Act but directs executive agencies to administer petroleum revenues in a manner consistent with constitutional requirements.

Mofesomo Tayo-Oyetibo said the President’s oath obliges him to align executive conduct with the Constitution where conflicts arise.

The organised private sector has largely welcomed the directive. Director-General of the Nigeria Employers’ Consultative Association, Adewale Oyerinde, said enhanced transparency and predictability in revenue management would strengthen investor confidence.

President of the Lagos Chamber of Commerce and Industry, Leye Kupoluyi, described the order as an internal restructuring measure that could ultimately strengthen the Nigerian National Petroleum Company Limited’s corporate governance and prepare it for future growth.

Despite reassurances, concerns persist within regulatory agencies and the oil sector over the potential operational impact of the directive, particularly regarding funding obligations under the Petroleum Industry Act.

Also read: Tinubu signs bold executive order on oil revenue

The unfolding debate over Tinubu Executive Order 9 has now placed the judiciary at the centre of what could become a defining constitutional test of executive authority in Nigeria’s oil and gas governance.