Nigeria Spent ₦2.398 Trillion To Fight Crude Oil Theft – SGF

The Secretary to Government of the Federation (SGF), Senator George Akume, has disclosed that Nigeria spent over ₦2.398 trillion to fight crude oil theft.

Senator George Akume said this on Friday while speaking at a two-day public/investigative hearing organized by the House of Representatives on crude oil theft and losses in Nigeria.

The SGF, represented by the Permanent Secretary, General Services – Maurice Nnamdi, said the money was spent on surveillance and securing pipelines.

Nnamdi said Nigeria has continued to lose the ability to meet its daily production quota approved by the Organization of Petroleum Exporting Countries (OPEC) due to crude oil theft.

He disclosed that Nigeria Extractive Industries Transparency Initiative (NEITI) 2020 Oil and Gas report showed Nigeria lost 619 million barrels of crude oil to theft valued at $46 billion –  ₦73,949,032,000,000 (Seven-three trillion, Nine hundred and forty-nine billion and Thirty-two million naira) – using Central Bank of Nigeria (CBN) buying rate of 1598.892 to $1.

Also, since 2020, NEITI report showed Nigeria spent on crude oil security $1.5 billion – ₦2,398,338,000,000 (Two trillion, Three hundred and ninety-eight billion, Three hundred and thirty-eight million naira) using Central Bank of Nigeria (CBN) buying rate of 1598.892 to $1.

Nnamdi said, “For example, the Nigeria Extractive Industries Transparency Initiative (NEITI) 2020 Oil and Gas Report indicates that 619 million barrels of crude valued at $46 billion – were stolen in the period 2009-2020.

“Therefore, Nigeria has continually failed to meet its daily production quota as set by the Organisation of Petroleum Exporting Countries (OPEC). This not only undermines our revenues but also hampers the provision of essential services that millions of Nigerians rely upon.

“The government has invested considerable resources in combating this menace. Since 2020, expenditure aimed at addressing crude oil theft and securing our oil infrastructure has exceeded $1.5 billion.

“These funds have been allocated towards enhancing surveillance capabilities, securing pipelines, and increasing the presence of law enforcement agencies in critical oil-producing areas.”

In his address, the chairman House Special Committee on Oil Theft/Losses, Alhassan Ado Doguwa, said undetected vessels transporting stolen crude oil, collaboration among government and security agencies and inefficiencies of current measures to combat oil theft are challenges affecting Nigeria meeting her production quota.