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FG Spent Over $1.5 billion To Combat Oil Theft, says Akume
The Secretary to the Government of the Federation (SGF), Senator George Akume, has said over $1.5 billion USD has been spent since 2020 to address crude oil theft and secure oil infrastructure.
He said this yesterday while speaking at a two-day public/investigative hearing organised by the House of Representatives on crude oil theft and losses in Nigeria.
The SGF, who was represented by the Permanent Secretary, General Services, Maurice Nnamdi, said the statistics regarding losses to oil thieves were staggering.
He said, “For example, the Nigeria Extractive Industries Transparency Initiative (NEITI) 2020 Oil and Gas Report indicates that 619 million barrels of crude valued at $46 billion were stolen in the period 2009-2020.
“Therefore, Nigeria has continually failed to meet its daily production quota as set by the Organisation of Petroleum Exporting Countries (OPEC). This not only undermines our revenues but also hampers the provision of essential services that millions of Nigerians rely upon.
“The government has invested considerable resources in combating this menace. Since 2020, expenditure aimed at addressing crude oil theft and securing our oil infrastructure has exceeded $1.5 billion. “These funds have been allocated towards enhancing surveillance capabilities, securing pipelines, and increasing the presence of law enforcement agencies in critical oil-producing areas.”
In his address, the chairman House Special Committee on Oil Theft/Losses, Rep. Alhassan Ado Doguwa, said his committee noted several critical issues, including vessels transporting stolen crude oil undetected, collaboration among government and security agencies in illicit activities and the inefficiencies of current measures to combat oil theft.
In his address, the Speaker, Abbas Tajuddeen who was represented by his Deputy, Benjamin Okezie Kalu, said the Tinubu administration was doing everything possible to diversify the economy and ensure significant revenue generation in the non-oil sectors of the economy, while not relenting in the efforts to rid the oil and gas sector of corruption and all forms of criminality. In a goodwill message, a former Deputy Speaker, Rep. Ahmed Idris Wase, said oil theft had brought Nigeria down and caused a national embarrassment.
Meanwhile, the Senate ad-hoc committee mandated to investigate the alleged economic sabotage in the Nigerian petroleum industry led by the Senate Leader, Bamidele Opeyemi (APC, Ekiti Central), has said it will expose the cabals in the oil sector no matter how highly placed. The 15-man committee also threatened to deploy all legal means to compel officials of government and private entities that may refuse to appear before it for interrogation, to do so.
Addressing newsmen at the National Assembly Complex in Abuja, the chairman of the panel said the committee would deploy global best practices in its investigation.
The Senate leader said those found culpable would not be spared, as the panel has resolved to make a difference unlike some previous committees that failed to deliver on their mandates.
He announced that the committee has resolved to engage the minister of state for petroleum (oil); minister of finance and coordinating minister of the economy and minister of trade and investments.
The panel said it is also engaging the Central Bank of Nigeria (CBN), Nigeria National Petroleum Company Limited (NNPCL), Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Nigeria Upstream Petroleum Regulatory Commission (NUPRC) and Standard Organisation of Nigeria (SON).
It said the Nigerian Maritime Administration and Safety Agency (NIMASA), modular refineries, Independent Petroleum Marketers Association of Nigeria (IPMAN) among many others would be summoned.
Bamidele said the committee is not out to witch-hunt anyone, but would not spare sacred cows found to have done one thing or another to sabotage the economy.
He said the committee would submit a report at the end of the probe and push for the implementation of its recommendations.
He also said the committee would wade into the issue of Dangote refinery where necessary.