House of Representatives Speaker Femi Gbajabiamila yesterday lamented Nigeria’s dwindling revenue from the oil sector, saying that the country loses $700 million monthly to crude oil theft.
The Speaker, who also expressed doubt over the nation’s ability to meet its 2023 proposed daily oil production target of 1.69 million barrels, pointed out that available data suggests that “we may lose up to $23 billion to crude oil theft this year.”
He added that between January and July last year, Nigeria lost $10 billion to the oil theft.
The Speaker spoke while declaring open the House of Representatives Ad hoc Committee hearing on the illegal sale of stolen 48 million barrels of Nigeria’s crude oil in China. Nigeria is said to have lost $2.4 billion revenue to that transaction.
But a group of protesters described the probe by the committee as a sham, alleging that the whistleblowers who provided the information that led to the investigation violated the procedure for filing petitions before the National Assembly.
Gbajabiamila, who was represented by Isiaka Ayokunle, a lawmaker, noted that the Oil and Gas sector remained the mainstay of Nigerian economy, adding that the sector accounts for 95 percent of the country’s foreign exchange earnings and 80 percent of its annual budgeted revenue.
Nigeria’s daily crude oil production was put at 1.88 million barrels last year, but the figure was never met with production dropping below 1million barrels. This year, the projection, is 1.69 million barrels.
The Speaker said Nigeria’s revenue to Gross Domestic Product (GDP) ratio is below five percent, which places the country among the five lowest in the world.
He said that in the light of dwindling revenue accruing to Nigeria from crude oil sales, it was quite alarming to learn about whistleblower allegation that over $2.4 billion was lost from the sale of the stolen 48 million barrels.
Gbajabiamila stressed that while these are unverified allegations, the onus was on the House to scertain their veracity or otherwise.
The Speaker regretted that corruption had continued to be the bane of Nigeria’s development, pointing out that it ranks 150 out of 180 countries in the most recent Transparency International’s Corruption Perceptions Index (CPI).
But as the committee commenced the probe, some protesters alleged that the whistleblowers who made the allegation on the stolen 48 million crude oil did not file any petition before the National Assembly.
The protesters,under the aegis of George Oboh Whistleblowers Network, warned that the Mark Gbillah-led ad hoc committee was on a shambolic exercise.
Their address was read by Joseph Peter Umoh at the premises of the National Assembly.
Umoh said: “The scheduled Hon. Mark Gbillah-led ad hoc committee hearing on the illegal sale of stolen 48 million barrels of Nigeria’s crude oil in China is in violation of two principles:
“The whistleblowers who furnished Hon. Mark Gbillah the information germane to the 48 million barrels of crude oil stolen did not file any petition to the National Assembly giving rise to the hearing, and neither were they called as witnesses to testify during the hearing.
“Our chairman, Dr. George Uboh, a known whistleblower whose petition to the National Assembly led to the sack of former EFCC (Economic and Financial Crimes Commission) Chairman (Ibrahim) Lamorde, can authoritatively state that the National Assembly does not delve into any matter unless a petition is filed and laid on the floor.
“Because Gbillah boycotted this sacrosanct due process, Gbillah’s purported ad hoc hearing is a sham and a unilateral action.
“Also, the undersigned renowned whistleblower Uboh can authoritatively assert that the National Assembly does not hear any matter in court. There are two court matters initiated in the FCT (Federal Capital Territory) High Court and Federal High Court against the Group Managing Director of the Nigeria National Petroleum Company Limited (NNPCL), Mallam Mele Kyari, to account for the proceeds of the sale and the National Assembly respectively. (See attached). Proceeding to hear a matter which is in two courts adds to the level of risk Gbillah is willing to take.
“Due to Gbillah’s recalcitrance, we are alerting that Niger Deltans whose crude oil was stolen and sold illegally in China, and Nigerians in general who were to benefit from proceeds of the stolen crude oil are here protesting to call attention of Nigerians to Gbillah’s unilateral brazen, callous and wanton disregard for the rule of law to achieve his ulterior motive.”