The House of Representatives Special Committee on Oil Theft and Losses began its investigation into the illegal lifting of crude oil in Nigeria on Thursday.
The committee, chaired by Alhassan Ado-Doguwa, aims to address the root causes of the challenges facing the oil sector.
Speaker Tajudeen Abbas, represented by Deputy Speaker Benjamin Kalu, lamented the negative impact of oil theft on the nation’s economy.
He stated, “The statistics on crude oil theft are very alarming, and its negative impact on the economy is quite monumental. For instance, it is estimated that between January and July 2024, Nigeria lost an average of 437,000 barrels of crude oil per day due to theft, vandalism, and other criminal activities. At the current price of oil, this translates to over $10bn over the same period.”
Abbas identified corruption as a factor working against sustainable development in the oil sector and pledged the parliament’s readiness to assist anti-graft agencies.
“We are determined to strengthen the Economic and Financial Crimes Commission, the Nigeria Extractive Industries Transparency Initiative, and other anti-corruption agencies to frontally combat corruption in the oil and gas sector,” he assured.
Secretary to the Government of the Federation George Akume reiterated the Federal Government’s commitment to securing the nation’s oil and gas infrastructure. He noted that over $1.5bn has been spent in this regard since 2020.
Ado-Doguwa promised to do a good job in the interest of Nigerians. He said, “Our ultimate aim is to employ every legislative tool to unearth the root causes and immediate factors contributing to this crime, bring those complicit to justice, and develop sustainable solutions that will safeguard the integrity of our oil sector and promote national development.”
The committee identified 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. Ado-Doguwa highlighted the need for adequate legislation, budget allocations to support security agencies, and collaboration with security agencies to prioritize the protection of national assets and critical infrastructure.
Immediate past Deputy Speaker Idris Wase urged Ado-Doguwa to brace up for the challenges ahead, noting that oil thieves would come after him. Wase reminded the Kano lawmaker that his job is dangerous and prayed for God’s protection.
