• Summons service chiefs
From Fred Itua and Kenneth Udeh, Abuja
The Senate, yesterday, resolved to identify and expose high profile persons, including security personnels who may be involved in the theft of Nigeria’s crude oil resources.
Disturbed by the acts of crude oil theft in the Niger Delta region and its effects on the nation’s economy, the lawmakers called for a holistic investigation into the sophisticated methods employed by crude oil thieves in their operations.
In an amended resolution as announced by the Senate President, Godswill Akpabio, the Senate Standing Committees on Oil and Gas, Host Communities, Downstream Petroleum, Upstream Petroleum, Niger Delta and Niger Delta Development Commission (NDDC), were directed to synergise and conduct a thorough investigation into the actions of security forces, militia groups, the local populace, oil company employees, and individuals or entities suspected to be using sophisticated methods to pilfer oil facilities within the country.
The resolution followed a motion entitled: “Urgent need to investigate the incessant and nefarious acts of crude oil thefts in the Niger Delta and the actors,” sponsored by Ned Nwoko and co-sponsored by Ede Dafinone Omueya and Joel Onowakpa Thomas.
In his lead debate, Nwoko mentioned Nigeria’s dependency on crude oil for its economic growth and development and highlighted its significant role in providing employment opportunities for millions of Nigerian citizens.
Stressing the need for the Senate to take decisive actions, Nwoko told his colleagues that the National Bureau of Statistics reported the oil sector contributed 6.33 per cent of the nation’s GDP which translates to $45.6 billion in 2022.
He said: “The oil sector plays a pivotal role in providing employment opportunities for millions of Nigerian citizens and accounts for 70 per cent of its budget financing while oil and gas made up 90 per cent of export income and 85 per cent of government revenue in the first quarter of 2022.”
Nwoko recalled the genesis of crude oil thefts in the country which he said began during the military regime from the late 1970s and early 1980s, causing socio-economic crises in the country for several years.
“Statistical data, which has been reported over the years, even till date, have shown pipeline vandalism and oil bunkering, have brought Nigeria into serious socio-economic crisis, and this remains an intractable challenge to the Nigerian oil-dependent economy.
“The current collaborative efforts involving the Joint Task Force of the Nigerian military, operations like Operation Delta Safe and Operation Dakartada Barawo, along with the contributions of various security entities, state and local governments and International Oil Companies (IOCS) in the Niger Delta region have yielded positive results,” he said.
According to the lawmaker,” these efforts have resulted in an increase in oil production, reaching 1.51 million barrels per day in the first quarter of 2023.
“This figure marks an improvement from the 1.49 million barrels per day recorded in the same quarter of 2022 and is notably higher than the production volume of 1.34 million barrels per day in the fourth quarter of 2022.”
Nwoko further asserted that oil theft in the country has been made easier due to the cooperation of security personnel and employees of oil corporations, defeating all attempts to combat the unlawful behaviour.
“Despite the efforts of certain military personnel and security agencies like the Nigerian Security and Civil Defense Corps (NSCDC) and Department of State Services (DSS) in combating oil theft in the Niger Delta region, there are individuals within these institutions who engage in illicit activities. These individuals collaborate with unscrupulous figures within the oil industry to undermine the nation’s economy.
“It has come to our attention that oil theft in Nigeria thrives due to a troubling collaboration between security forces, militia groups, the local population, and certain employees within oil companies.
“These parties employ sophisticated methods to carry out theft from oil facilities located within the country. Given Nigeria’s vast oil and gas reserves, one would expect crude oil production to continuously increase, aligning with OPEC’s production quota of 1.74 million barrels per day.
“It was reported that Nigeria suffered daily losses of approximately 437,000 barrels of crude oil, amounting to a value of $23 million, due to criminal activities. Moreover, between March 2023, Nigeria incurred a substantial loss of 65.7 million barrels of crude oil, valued at $83 per barrel, translating to a staggering revenue loss of N2.3 trillion as a result of oil theft,” Nwoko said.
In his contribution, Barinada Mpigi blamed the lack of synergy among security operatives as major cause fuelling oil crimes in the Niger Delta.
Barinada revealed that persons involved in oil theft had the backing of high profile persons, including security operatives.
“What is happening today where billions of dollars are spent by the Federal Government with support of IOCs to clean up Ogoni land is as a result of this oil theft. In my backyard where I live in the Niger Delta, when an army officer is newly posted, before the month ends, the person would have already purchased a new car. I have taken time to arrest some of these security persons involved in this bunkering but before you know it, they will return to the spot and warn you that they have the backing of some persons in high authority,” he said.
Adams Oshiomhole urged the Senate to call on specific security agencies to investigate oil theft in order to take further actions to curb the issues.
He said: “These are organised theft and we need to call on the Chief of Naval Staff, Army Staff, and Air Staff for interrogation and know the next actions to take.
“The posting of security operatives to the Niger Delta has become so lucrative that security personnels now lobby to join the JTF. Billions are signed in contracts to guide against bunkering.
“Given the seriousness of this bill, we need to invite the Chief of Naval Staff, Army and Air Force, including NSCDC to tell us what is going on.
“It is an organised theft, this matter is beyond co-opting an ad hoc committee we need to intervene as a Senate. It is shameful that so much is stolen and we have to borrow billions to protect what has been stolen.”
After an exhaustive deliberation, Akpabio directed the committees to report back in six weeks for further legislative actions.