The Nigerian Senate has revealed that over $303 billion in proceeds from stolen crude oil—both domestically and internationally—remains unaccounted for over the years.
This was disclosed on Wednesday during the presentation of an interim report by the Senate Ad Hoc Committee on Crude Oil Theft and Related Sabotage in the Niger Delta. The report was presented by the committee chairman, Senator Ned Nwoko (APC, Delta North).
According to the committee’s findings, based on a forensic review by independent consultants, over $22 billion, $81 billion, and $200 billion in crude oil proceeds could not be traced to government accounts.
“Our review revealed that proceeds from stolen crude oil worth over $303 billion remain unaccounted for. This underscores the urgent need for reform and accountability in the management of Nigeria’s crude production and export,” Senator Nwoko said.
Key Recommendations
The committee made several recommendations aimed at tackling oil theft and improving transparency in the oil sector. These include:
- Strict enforcement of internationally recognized crude oil measurement standards at all production and export points.
- Mandating the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to acquire modern metering technology—or return the responsibility to the Weights and Measures Department under the Ministry of Industry, Trade and Investment.
- Equipping security agencies with modern surveillance tools, including Unmanned Aerial Vehicles (UAVs) and integrity pipeline monitoring systems.
- Establishing a Maritime Trust Fund to support maritime safety, infrastructure, and economic growth.
- Creating a special court to prosecute oil thieves and their collaborators.
- Immediate implementation of the Host Communities Development Trust Fund (HCDTF) under the Petroleum Industry Act (PIA) to curb sabotage.
- Handing over abandoned and decommissioned wells to NUPRC, which should, in turn, allocate them to modular refineries to boost local refining and reduce theft.
Lawmakers React
Several senators shared their views after the report’s presentation, particularly on the committee’s proposal to track and recover the missing funds.
Senator Abdul Ningi (PDP, Bauchi Central) noted that while the committee could trace and document stolen funds, it lacked the constitutional power to recover them.
Senator Olamilekan Adeola (APC, Ogun West) insisted that the consultants must provide specific names of companies and individuals implicated in the transactions.
Deputy Senate President Barau Jibrin (APC, Kano North) emphasized that only the executive branch had the authority to recover funds, while the legislature could only forward its findings.
Similarly, Senator Ibrahim Dankwambo (PDP, Gombe North) urged the committee to identify specific wells, rigs, and locations where the theft occurred, while Senator Enyinnaya Abaribe (APGA, Abia South) advised that the report remain interim pending further investigation.
Senator Lola Ashiru (APC, Kwara South) described the scale of the losses as “almost equivalent to 10 years of Nigeria’s national budget,” calling for the investigation to continue.
Next Steps
Senate President Godswill Akpabio commended the committee’s efforts and directed it to continue its probe and present a comprehensive final report.
“This interim report is commendable, but we must get to the root of these monumental losses. The Senate will deliberate on the recommendations after the final report is submitted,” Akpabio stated.