A fresh report commissioned by the Nigeria Natural Resource Charter (NNRC), a Non-Governmental Organisation (NGO) shows that the estimated value of crude oil stolen from the Niger Delta is higher than the current combined allocations for health and education captured in the 2018 budget.
Details of the report presented to the media and made available to The Tide revealed that the combined allocations for health and education which amount to N189.4 billion translates to a mere 8.4 per cent of the estimated value of losses from oil theft two years ago.
Sources hinted The Tide that NNRC urged the federal government to address the issue of oil theft with the urgent attention it deserved and intervene with more effective action.
The report focused on the consequences of weak governance structures on the Nigerian economy and the Nigerian people and identified poverty, unemployment, poor governance and pervasive corruption and the neglect of the Niger Delta region with disproportionate brunt of the negative impact of oil exploration as major reasons for the emergence and sustenance of oil theft over time.
The report recalled that in 2016, reports by both government and oil companies indicated that up to ¦ 3.8 trillion were recorded as losses from crude oil theft, sabotage and pipeline vandalism. It stated that principally this was as a result of the force majeure declared at the Forcados terminal combined with wider pipeline infractions and theft.
The government’s share of this loss was approximately 42 per cent or about N1.6 trillion.