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Nigeria Loses $400bn To Oil Theft

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Former President of Trade Union Congress of Nigeria (tuc), Comrade Peter Esele (right), handing over to his successor, Comrade Bobboi Bala-Kaagama in Abuja, recently. Photo: NAN

Former President of Trade Union Congress of Nigeria (tuc), Comrade Peter Esele (right), handing over to his successor, Comrade Bobboi Bala-Kaagama in Abuja, recently.
Photo: NAN

House of Representatives disclosed on Wednesday that an estimated $5 billion (N780 billion) is lost yearly to oil theft in Nigeria.

This means that the country has lost a whopping $400 billion to the menace since independence.

But the problem became worse between 2011 and 2012, while the trend for 2013 is even more alarming the years since the present administration came to power at the centre, the House added.

Chairman of the House ad-hoc Committee on Crude Oil Theft, Bashir Adamu, disclosed these at the inauguration of the committee in Abuja.

He, however, assured that the committee was poised to get to the root of the problem and come out with foolproof proposals on how to stop the crime.

Speaker of the House, Aminu Tambuwal, corroborating the position of Adamu, said while inaugurating the committee that the impunity in the sector must be stopped as it is affecting the resources of the country.

He added that evidences have shown that big guns in the society are actually behind the theft and charged the committee to unmask them.

Adamu, in his speech, noted that, “The level of oil theft is alarming and of grave concern to stakeholders”.

“The oil and gas industry accounts for about two-thirds of government revenue and more than 90 per cent of export earnings in Nigeria.

“Illegal bunkering has caused Nigeria to lose an estimated $5 billion (N780 billion) yearly, amounting to $400 billion since Nigeria’s independence.

“Statistics show that a total of 350,000 barrels per day was lost to illegal bunkering in 2012, representing an increase of 45 per cent over the figure of 20 11, and 67 per cent over that of 20 1 0, while the trend for 2013 is even more alarming.

“Unless the government summons the will to fight the menace, the situation will further worsen the country’s economic woes.

“The rising level of crude oil theft and pipeline vandalism particularly in the Niger Delta region has reached and assumed higher dimensions.

“The ugly development has made operators in the Nigeria’s oil and gas industry one of the most expensive in the world.

“Attacks on production facilities have led to several shut -downs and declaration of force majeure by the international oil companies (IOCs), ultimately resulting in loss of revenue to the government.

“In April 2013, oil giant, Shell Petroleum Development Company, shut down the 150,000bpd Nembe Creek oil pipeline due to the urgent need to clear away illegal connections.

“The grave phenomenon of oil theft and its global support system has continued to remain a clog in the wheel of this nation’s high economic growth trajectory.

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Western Marine Command Intensifies Anti-Smuggling Operations … Intercepts N8.75m Worth PMS

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For officers and men of the Western Marine Command of the Nigeria Customs Service (NCS), the battle is not over until smuggling is over.
In the wake of Wednesday May, 8, 2024, the ever vigilant officers, acting on a tip-off, intercepted 177 sacks and 61 kegs of 25 litres containing petroleum products, valued at about N8.750,000million.
The items were intercepted along Isalu Creek, Badagry Waterway en-route Benin Republic.
While briefing newsmen, the Command’s Customs Area Controller, Comptroller Paul Bamisaiye, said: “This seizure is most economically significant to the Command at this period of scarcity of Petroleum Products, especially Premium Motor Spirit (PMS) in our cities, and shows the anticipatory posture in our response to economic saboteurs.
“At about 2:330hrs on Wednesday 8th May 2024, while on joint patrol by teams in the Command, credible intelligence was received of the movement of 2 boats laden with what was suspected to be petroleum products concealed in sacks. Upon receipt of the information, the team moved into Isalu creeks, Badagry waterway.
“On sighting the approach of the Officers, the smugglers took to their heels through the shore of the Creek. The loaded boats were then towed to the station at Badagry where preliminary examination was conducted and transferred to Western Marine Command Headquarters, Ibafon, Apapa, Lagos.
“Careful examination at the Command Headquarters revealed that the arrest was found to contain One Hundred and Seventy Seven (177) Sacks and Sixty One (61) Kegs of 25 Litres Premium Motor Spirit (PMS) containing Twelve Thousand Five Hundred (12,500) Liters with a total Duty Paid Value standing at Eight Million Seven Hundred and Fifty Thousand Naira (N8,750,000) only”.
Bamisaiye noted that the action of the smugglers is a contravention of Section 245 & 254 of the Nigeria Customs Service Act 2023 which the service, through Western Marine Command, is responsible for enforcing.
“The Command, under the leadership of Compt. PK Bamisaiye, is poised more than ever to rid the waterways of all acts of smuggling and economy sabotage for the benefit of the growth of economy of Nigeria”, he said
Bamisaiye said so far, no suspect was arrested in the Command’s anti-smuggling operations.

Nkpemenyie Mcdominic, Lagos

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Illegal PMS Trading Booms In Lagos

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Petroleum products  being sought by motorists have disappeared from virtually all filling stations within Lagos and its environs, but are now booming in business in retail outlets.
Investigations by our correspondent revealed that while the product could not be got at some of the petrol service stations, activities are in top gear in the local retail outlets where the price has gone beyond the reach of users.
It was also gathered that in some filling stations supplied with the products, preference are often given to retail outlet operators by petrol attendants against the consuming public.
A source, directly involved in the business, said some petrol dealers are cashing on the irregular supply to divert the products to retail outlets where they could easily make their gains.
It was also gathered that some sales representatives in the service of major oil marketing firms indulged in the diversion exercise because of their personal interest.
At the retail outlets a liter goes for N950,00 against the normal N760,to N800 at some stations.

Nkpemenyie Mcdominic, Lagos

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Customs Board Appoints Five DCGs, Eight ACGs

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The Nigeria Customs Service Board (NCSB) has confirmed the appointment of five Deputy Comptroller-Generals (DCGs) and eight Assistant Comptrollers-General (ACGs) of Customs during its 59th regular meeting.
The meeting, chaired by the Honorable Minister of Finance and Coordinating Minister for the Economy, Mr. Wale Edun, was held at the Nigeria Customs Service Headquarters in Abuja last Tuesday.
National Public Relations Officer of the Service, Chief Superintendent of Customs, Abdullahi Maiwada, who disclosed this in a statement yesterday, gave details of the confirmed appointments as: O.O. Peters (DCG /Commander, Training and Doctrine Command (rtd); B.M. Jibo (DCG Enforcement Inspection & Investigation); and B.U. Nwanfor (DCG Excise, Free Trade Zone & Industrial Incentives).
Others are: S.A. Bomia (DCG, Commander Training and Doctrine Command); and C.K. Niagwan (DCG, Tariff & Trade).
The Assistant Comptrollers General (ACGs) are: B. Imam (ACG Board); A.A.S. Oloyede (ACG, Trade & Tariff); S.K. Dangaldima (ACG/Zonal Coordinator, Zone ‘B’); A. Abdul Azeez (ACG/Zonal Coordinator, Zone ‘D’); S.A. Yusuf (ACG, Human Resource Development); N.P. Umoh (ACG, Training and Doctrine Command); C.O. Obih (ACG/Zonal Coordinator, Zone ‘C’); and S. Chiroma (ACG, Strategic Research and Policy).
The new appointments, according to the statement, were made to fill the vacancies created by some senior officers who recently retired from the Service, noting that the principles of federal character, seniority and merit guided the appointments approved by the board.
“These appointments are a testament to the officers’ exemplary services and dedication to the Nigeria Customs Service. The NCSB remains committed to providing strategic leadership to ensure effective and efficient service delivery for optimum performance”, he said.
While thanking the retired members of the management for their meritorious services, the Comptroller General of Customs, Bashir Adewale Adeniyi, congratulated the newly confirmed officers and charged them to redouble their efforts to ensure the service attains greater heights in its mandates of revenue generation, suppression of smuggling, and trade facilitation amongst others.

Nkpemenyie Mcdominic, Lagos

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