President Bola Tinubu has signed four major tax reform bills into law, a move that has already sparked more than $6 billion in new investments in Nigeria’s oil and gas sector.

According to the President’s Special Adviser on Energy, Olu Verheijen, the legislation gives legal backing to previously issued executive orders aimed at improving investor confidence and supporting Nigeria’s transition to cleaner energy sources.

Verheijen announced on her official X (formerly Twitter) account that the reforms mark a “historic” shift in fiscal policy, providing the kind of long-term clarity and stability investors have been seeking.

Among the newly formalized policies are:

Presidential Directive 40, which outlines tax incentives for upstream, midstream, and deep offshore oil and gas projects.

The 2024 VAT Modification Order, which exempts clean energy products like CNG and LPG from value-added tax.

The 2025 Upstream Petroleum Cost Efficiency Order, designed to cut operational costs in the sector.

She explained that by embedding these incentives in law, the government has ensured continuity and protection from future political changes or policy reversals.

Verheijen described the development as a major win for both the public and private sectors, noting that it sends a strong signal to global investors that Nigeria is serious about economic reform and energy sector growth.

She concluded by calling it a significant step towards a more sustainable and prosperous future for the country.