The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has rejected the Executive Order issued by Bola Tinubu directing that all oil and gas revenues be paid directly into the Federation Account.
The union warned that the directive could endanger thousands of jobs and destabilise Nigeria’s oil and gas industry.
Speaking to journalists in Lagos on Thursday, PENGASSAN President, Festus Osifo, described the order as an attack on the Petroleum Industry Act (PIA), the 2021 law enacted to reform and strengthen the nation’s petroleum sector.
Osifo cautioned that implementing the directive without adequate consultation with stakeholders could threaten sectoral growth and erode investor confidence. He argued that an executive order cannot supersede an existing Act of Parliament, stressing that such a move sends negative signals to both local and foreign investors about regulatory stability and the rule of law in Nigeria’s hydrocarbon industry.
He characterised the directive as an “aberration,” saying it undermines established legal frameworks guiding the sector.
Osifo warned that if the directive is implemented as issued, it could put the jobs of about 4,000 PENGASSAN members at risk, as reduced revenue inflows may hamper NNPCL’s ability to meet salary obligations and fund its operations.
