- The Federal Government transferred mineral royalty collection duties to the Nigeria Revenue Service under reforms introduced by the Nigeria Tax Laws 2025
- The Ministry of Solid Minerals Development retained its technical and regulatory responsibilities, supporting the new framework with industry expertise
- Authorities launched sensitisation efforts and planned a digital system to improve compliance, transparency, and revenue tracking across the mining sector
The Federal Government has reassigned the responsibility for collecting mineral royalties from mining operators to the Nigeria Revenue Service (NRS), while the Ministry of Solid Minerals Development will retain its technical and regulatory role within the sector.
The development follows a meeting between the Minister of Solid Minerals Development, Dele Alake, and the Chairman of the NRS, Zacch Adedeji, held in Abuja to strengthen collaboration and clarify responsibilities under the new framework.
According to a joint statement issued after the meeting, the decision is anchored on recently enacted tax laws that empower the NRS to administer all federally collectable revenues. The transition officially took effect from January 1, 2026.
The statement, signed by both officials, explained that the shift is part of broader reforms introduced under the Nigeria Tax Laws 2025, which were signed into law by President Bola Tinubu in June 2025. Under the new arrangement, the NRS will oversee the administration, collection, and accounting of mineral royalties nationwide.
Despite the change, the Ministry of Solid Minerals Development will continue to play a key supporting role by providing technical expertise, including mineral pricing data, geological insights, and overall industry coordination. This partnership is expected to ensure efficiency and accuracy in the royalty administration process.
Both institutions emphasised their commitment to working closely to ensure a smooth implementation of the new system. They noted that efforts are underway to properly sensitise mining operators and other stakeholders about the updated procedures and compliance requirements.
As part of the rollout, a nationwide sensitisation programme will be conducted to educate operators on royalty filing and payment obligations under the revised tax regime. Authorities say this initiative is intended to minimise confusion and ensure that all stakeholders are adequately informed.
In addition, plans have been outlined to develop a modern, end-to-end digital system for royalty administration. The platform is expected to enhance transparency, streamline processes, and improve revenue tracking within the mining sector.
Regular joint technical sessions between the NRS and the ministry are also expected to address operational challenges and ensure continuous alignment between both bodies.
The government has urged mining operators to comply fully with the new requirements and participate actively in upcoming engagement programmes. Officials maintain that the reform is designed to improve revenue generation while supporting the sustainable growth of Nigeria’s solid minerals sector.