Revenue losses affecting oil sector investments – NEITI

The Executive Secretary of the Nigeria Extractive Industries Transparency Initiative, Dr Ogbonnaya Orji, has said that the continued loss of revenue in the oil sector due to oil theft, corruption, and vandalism has affected investment opportunities.

He also said Nigeria would require huge investments in the coming years to meet its energy transition targets.

Orji spoke in Abuja on Wednesday when he received the Ambassador of Belgium, Mr Pieter Leenknegt, the High Commissioner of Australia, Ms Leilani Bin-Juda, and the High Commissioner of Canada, Mr Jamie Christoff, at NEITI House.

He pointed out that with the Federal Government’s decision to use natural gas as the transition fuel, about $20bn annual investments would be needed in the next 10 years to develop gas infrastructure.

Orji, however, stated that for this goal to be achieved, the industry must rid itself of the current challenges of corruption, oil theft, illegal mining, stealing of Nigeria’s precious minerals, and pipeline vandalism.

He said, “NEITI’s position remains that such bold reforms will no doubt deal with the current challenges of corruption, oil theft, illegal mining, stealing of Nigeria’s precious minerals, pipeline vandalism, environmental damage, the ecosystem, and other associated governance challenges.

“NEITI’s legitimate interest is to save our country from continuing loss of revenues and investment opportunities in the sector.”

In their separate remarks, the envoys pledged their support to NEITI and the wider stakeholders’ community in Nigeria to promote transparency in the extractive industries.

They also welcomed the newly completed data centre project of NEITI as a significant milestone in the fight against corruption in the extractive industry.