The Senate Ad-hoc Committee investigating crude oil theft and related sabotage in the Niger Delta has uncovered losses estimated at over $300 billion due to unaccounted crude oil proceeds.
Presenting the interim report during Wednesday’s plenary, Chairman of the Committee, Senator Ned Nwoko (Delta North), said the findings reveal massive revenue leakages spanning several years.
According to Nwoko, the committee has recommended strict enforcement of internationally recognised crude oil measurement standards across all production sites and export terminals. He further proposed that the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) be mandated to acquire advanced measuring technologies to ensure accuracy and transparency in crude oil accounting.
The lawmaker also emphasized the need for the Federal Government to deploy modern surveillance systems, including unmanned aerial vehicles, to assist security agencies in combating oil theft.
“Special courts should be established to promptly prosecute crude oil thieves and their collaborators,” he added.
Nwoko further urged the full implementation of the Host Communities Development Trust under the Petroleum Industry Act (PIA) to help curb sabotage within oil-producing areas.
Additional recommendations include transferring abandoned or decommissioned oil wells to the NUPRC for possible allocation to modular refineries to promote local processing. The committee also proposed being empowered to “track and trace” proceeds of stolen crude oil both locally and internationally, citing consultant reviews that estimate unaccounted sums of $22 billion, $81 billion, and $200 billion at different periods.
Deputy Senate Leader, Senator Lola Ashiru (Kwara South), noted that the reported losses amount to “almost ten years of Nigeria’s budget” and called for sustained efforts by the committee.
Senate President Godswill Akpabio commended the committee for its “good work” and assured that the Senate would consider its recommendations once the final report is submitted. He directed the committee to continue its investigation and present a comprehensive final report.
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