…fears Nigeria may lose $23bn, inaugurate investigative panel
The Federal Government may lose $23bn in 2023 if crude oil theft continues, the National Security Adviser, Major General Babagana Monguno, has said
He stated this on Tuesday during the inauguration of a special investigation panel set up to check crude oil theft in the country.
General Monguno expressed worries that the nation currently produces one million barrels of crude oil per day as against the two million barrels daily target by the Organization of Petroleum Exporting Countries (OPEC).
While lamenting the poor revenues accruing from the petroleum sector, he charged members of the committee to work towards bringing reducing the menace.
The committee is expected to submit its report by February 21st, 2023.
The Nigerian National Petroleum Company Limited (NNPCL) said last October its cooperation with security forces was reducing theft and will bring production consistently back up.
Critics say oil theft in Nigeria, one of Africa’s largest petroleum producers, is a much wider problem of corruption involving elements of the security forces and local political leaders.
The team is to determine the rate of illegalities involved and perpetrators of such acts that are grossly affecting the economy of the nation and report back to the council.
The Terms of Reference (ToRs), according to NSA, are to ascertain the circumstances surrounding the illegal insertion into the Trans-Escravos Pipeline (TEP) around Yokri area in Burutu Local Government Area of Delta State
“They are to establish the ramifications of crude oil theft/losses in Nigeria; ascertain the causative factors immediate and remote, of crude oil/theft/losses in the country and ascertain the extent of crude oil theft/losses in the country.
“With the widest possible amplitude, identify persons/entities whether public, private or foreign, involved in the criminal enterprise and establish the level of culpability of identified persons/entities in the enterprise.
“The panel is to also examine the specific roles of regulatory agencies; security agencies, tiers/arms of government and International Oil Companies (IOCs) in aiding and abetting the criminal enterprise.
“They are to also assess the efficacy of security architecture/arrangement in tackling crude oil theft/losses and associated petroleum products and recommend appropriate commensurate and sufficiently, deterrent sanctions on all those culpable,” he said.
Monguno also tasked the panel to recommend steps/procedures/processes to be taken by Government to eliminate the enterprise in the industry to prevent future occurrence; and make any other recommendations on any other issue incidental to the terms of reference.
He said the panel was expected to commence its assignment with immediate effect and to conclude as well as submit its report on or before Feb. 21, 2023.
The Permanent Secretary, Special Services, Office of the Secretary to the Government of the Federation, Aliyu Yerro, said the menace of crude oil theft had greatly impacted the nation’s revenue growth.
Yerro said the challenge had necessitated the setting up of the panel, adding that in spite of the huge amount of money spent by government to secure its maritime domain.
He said expressed confidence that the panel had the capacity to proffer solution to the issue of crude oil theft in the country.
The Chairman of the Panel, retired Maj.-Gen. Barry Ndiomu, said the expertise of each individual on the panel was sufficient to help them fulfil the objectives of setting up the panel.
He said the panel would leave no stone unturned by digging deep to unravel not only the incidences of oil theft/losses but, pre-disposition and causative factors as well as groups and individuals responsible for the criminal enterprise.
“We shall work hard to make you proud not least, for the confidence reposed on us,” he said.