The Senate has directed five of its committees to conduct an investigation into the rampant cases of crude oil theft in the Niger Delta region. The committees involved are the Committees on Petroleum Resources (Upstream, Downstream), Gas, Host Communities, and Niger Delta.
The objective of this investigation is to identify and examine the actions of various individuals and entities suspected of using sophisticated methods to steal from oil facilities in the country. This includes security forces, militia groups, local communities, employees of oil companies, and any other relevant parties.
The Senate made this resolution following the adoption of a motion titled “Urgent Need to Investigate Incessant and Nefarious Acts of Crude Oil Thefts in Niger Delta Region.” The motion was sponsored by Senator Ned Nwoko of the PDP (Delta) and co-sponsored by Senator Ede Dafinone and Senator J. Thomas.
In his lead debate, Senator Nwoko highlighted the significance of the oil sector in Nigeria’s economic growth and development. According to the National Bureau of Statistics (NBS), the oil sector contributed 6.33% to the nation’s GDP in 2022, equivalent to $45.6 billion. Additionally, the sector provides employment opportunities for millions of citizens and plays a substantial role in the country’s budget financing, exports, and government revenue.
However, the Senator emphasized that the persistent issue of pipeline vandalism and oil bunkering has led to a socio-economic crisis in Nigeria. Despite collaborative efforts between the military, security agencies, governments, and international oil companies in the Niger Delta region, oil thefts continue to occur.
In fact, Nigeria reportedly loses approximately 437,000 barrels of crude oil daily, amounting to a value of $23 million, due to criminal activities. From March 2022 to March 2023 alone, the country suffered a loss of 65.7 million barrels of crude oil, valued at $83 per barrel, resulting in a staggering revenue loss of N2.3 trillion.
Senator Nwoko also expressed concern over allegations and counter-accusations of oil bunkering and conflicts between the military and local militia groups. To address these challenges, Senator Mpigi Barinada called for proper checks and collaboration among security agencies. Senator Osita Izunaso stressed the need for sustainable measures and a comprehensive solution, rather than ad-hoc approaches.
In response to the motion, Senator Buhari Abdulfatah called for a review of existing laws to impose punitive measures on offenders, while Senator Adams Oshiomole urged the Senate to support President Tinubu in the fight against oil thefts.
President of the Senate, Godswill Akpabio, commended the sponsor of the motion and emphasized the importance of a holistic investigation. The Senate has given the committees six weeks to present their findings.
NAN
