Oil theft cannot be treated with levity

Recently, it was reported that the Nigeria National Petroleum Company Limited, and a private security firm, Tanita Security Services, in a joint operation intercepted a vessel with a cargo of crude oil on board. In a statement issued by the Chief Corporate Communication of NNPCL, Garba Deen Muhammad, the vessel named MT TURA with International […]

Oil theft cannot be treated with levity

President Bola Ahmed Tinubu

Recently, it was reported that the Nigeria National Petroleum Company Limited, and a private security firm, Tanita Security Services, in a joint operation intercepted a vessel with a cargo of crude oil on board.

In a statement issued by the Chief Corporate Communication of NNPCL, Garba Deen Muhammad, the vessel named MT TURA with International Maritime Organization number, 6620462 and owned by a Nigerian registered company, HOLAB MARITIME SERVICES LIMITED with registration number RC813311, was reportedly heading to Cameroon with cargo on board when it was intercepted on July 7.

NNPCL further reported that findings from initial investigations revealed that the crude on board the vessel was stolen from an offshore oil well in Ondo State.

To a nation that has been inundated over the years with reports of crude oil theft be it from on shore or offshore sources, the latest report of yet another incident of this nature hardly came as a surprise.

But the sheer quantity of the theft in question, some 150,000 metric tonnes and the subsequent destruction of both the vessel and crude, have raised some concerns among Nigerians.

The House of Representatives during plenary called on security agencies to desist from setting ablaze seized vessels containing stolen crude oil in order not to exacerbate the issue of environmental pollution in the oil producing areas of Nigeria.

In adopting a motion moved by Hon. Thomas Ereyitomi on the issue, the House resolved to probe the destruction of the vessel and what happened to the stolen crude.

Ereyitomi remarked that this was not the first time security agencies were embarking on such actions which had far reaching consequences, especially on the livelihoods of the people of the area. He recalled that in October last year, a vessel named MT DEIMA which was laden with 1,500 metric tonnes of stolen crude was also arrested and destroyed in the Escravos river, pointing out that such actions if allowed to continue  “would further affect the livelihood and well-being of the Niger Delta people who have fishing as their main occupation’’.

But in its defence of the action, NNPCL said the details of arrest and investigation of the vessel were conveyed to the appropriate government authorities whereupon it was ordered that the vessel be destroyed, “to serve as a strong warning to all those participating in such illegal activities to cease’’.

The NNPCL concluded the statement by saying that,  “the illegal trade of stolen crude oil not only inflicts significant economic losses on Nigeria and legitimate stakeholders in the oil industry, but also perpetuates a cycle of corruption, environmental devastation and social instability’’.

It certainly cannot be denied that oil theft has proven to be one of the cankerworms in the operations of Nigeria oil industry.  And for a country that depends largely on crude oil to power its economy that cannot be allowed to continue.

A recent report by the Nigeria Extractive Industry Transparency Initiative (NEITI), a think tank on oil industry issues, revealed that between 2009 and 2020, Nigeria lost 619.7 million barrels valued at N16.25trn to crude oil theft. This was stated by NEIT’s Executive Secretary, Orji Ogbonnaya, during a recent dialogue on the fight against corruption in Nigeria’s crude swap deals, which took place in Abuja.

To put it in proper perspective, oil theft in Nigeria translates to a combustible mix of economic sabotage, environmental devastation and social dysfunctionality which impacts negatively on Nigeria’s economic prospects. Oil theft also fuels insecurity as it encourages the rise of oil warlords who try to enforce their criminal activities by raising armed gangs to engage not just their rivals in supremacy wars, but also the nation’s security and law enforcement agencies deployed to those areas to protect communities, oil installations and the countries seaward boundaries.

The fact that cases of oil theft have persisted and indeed increased exponentially over the years despite efforts to curb the menace, has led many Nigerians to suspect that officials in government and security agencies may not be doing enough to address the problem and could be complicit in some instances.  Recently, a Niger Delta activist, Mujaheed Asari Dokubo alluded to this when he addressed the media during a visit to President Bola Ahmed Tinubu.

Against this background, Nigerians are viewing the instant case of the decision to destroy the arrested vessel and the stolen cargo with mixed feelings. While the reasons given by the NNPCL for the action is understood, the general observation, however, is that destroying the vessel and the stolen crude amounted to destroying evidence at the scene of a crime. The NNPCL should have allowed for a thorough forensic investigation of both the vessel and the stolen crude before destroying both.

And while we agree that resorting to destruction of the crude found in vessels may serve as deterrent, we cannot ignore the fact the environmental issues arising from such action could have far more serious consequences in terms of affecting the source of the livelihoods of people in the area in the long run. And we believe that ultimately such a measure will neither deter nor stop oil theft altogether.

Under the circumstances we believe that the federal government, along with state governments in the area, community stakeholders, including traditional rulers, youths, and women groups, must engage constructively to work towards curbing if not stopping this menace which is affecting the economic fortunes of the country. We must kill oil theft lest it destroys the country.