The House of Representatives Special Committee on Crude Oil Theft has proposed the establishment of a special court to prosecute oil thieves and saboteurs, alongside tougher legal sanctions, as part of efforts to curb crude oil theft and protect Nigeria’s oil and gas industry.
The committee said crude oil theft continues to undermine Nigeria’s socio-economic development, weaken national security and frustrate efforts to raise crude oil production to budgeted targets.
The proposal emerged during a stakeholders’ meeting organised by the committee to identify practical measures for addressing the persistent challenge of crude oil theft across the country.
Chairman of the committee, Hon. Alhassan Ado Doguwa, said tackling crude oil theft requires an urgent review of existing laws, many of which date back to the military era and no longer provide sufficient deterrence against sophisticated criminal networks operating in the sector.
He said the committee’s engagements had produced useful recommendations on strengthening Nigeria’s legal framework.
“We have been able to achieve some very remarkable progress in the course of our interface. We all agreed to work on the same page to address the existing legal frameworks and some of the bottlenecks affecting them,” Doguwa said.
According to him, Nigeria cannot continue relying on obsolete laws while other oil-producing countries strengthen their legal systems to protect strategic national assets.
“The global oil and gas economy is now in an advanced stage. Virtually all oil-producing countries are making progress because they have provided effective legal instruments to address their challenges. For this reason, we believe Nigeria should also review some of its laws,” he said.
Doguwa clarified that the proposed legal reforms would not affect the provisions of the Petroleum Industry Act (PIA).
“Some may ask what happens to the PIA. This has got nothing to do with the PIA. The PIA merely addresses the fundamentals and basic principles of doing business within the global oil economy. None of its commitments or provisions will be affected,” he said.
He explained that several outdated military decrees and old legislations are still being applied by the courts in prosecuting oil-related offences because no modern legal alternatives exist.
“However, we still have old legislations, some dating back to the military era, including military decrees and orders, which are still being applied at various levels. The courts have no option but to rely on those laws.
“Unless we provide new measures, new laws and a new legal framework, the courts will continue to rely on these obsolete legislations in handling serious criminality within Nigeria’s oil and gas sector.”
The lawmaker assured Nigerians that the National Assembly would continue working with the Office of the National Security Adviser (ONSA) to combat crude oil theft and related crimes.
“I want to assure Nigerians that the National Assembly, especially the House of Representatives through this committee, will partner with the Office of the National Security Adviser to effectively combat crude oil theft and every other criminal activity within the oil and gas environment.
“We must not forget that our daily crude oil production target in the budget remains below expectations. Until we address this problem, our production projections may continue to fall short.”
Doguwa also expressed disappointment over the absence of key regulatory agencies, particularly the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), describing their non-participation as unfortunate and counterproductive.
He stressed that beyond increasing fines and penalties, Nigeria requires institutional reforms, including a dedicated court to handle crude oil theft cases.
“We have also recommended in previous bills before the House the possibility of establishing a special court for these kinds of crimes because the crimes themselves are special.
“If we allow these criminal cases to go through the conventional court system, considering the delays involved, many of them will remain unresolved while the criminals escape appropriate punishment.”
A member of the committee, Hon. Cyril Hart, said crude oil theft remains one of the biggest threats to Nigeria’s economy and called for stricter enforcement of licence conditions under the Petroleum Industry Act.
“The chairman has highlighted the issue of obsolete infrastructure. There is another area which has to do with funding. The PIA makes it very clear that the oil belongs to the people of Nigeria. It does not belong to the oil companies. Therefore, if an oil block is not exploited for the benefit of Nigerians, that amounts to crude oil loss and economic sabotage.
“If any licence holder fails to produce within the stipulated timeline, that also amounts to economic sabotage. That is another major area we need to examine. We are currently witnessing divestment, with these critical national assets being transferred to Nigerian companies that may not have the required financial capacity, especially since the sector is dollar-denominated.”
Representing the National Security Adviser, Mallam Nuhu Ribadu, the Director of Energy Security at the Office of the National Security Adviser, Goodluck Ilajufi, said Nigeria now requires legislative backing to strengthen the fight against crude oil theft.
He noted that while significant progress had been made in securing oil infrastructure, weak punishment for convicted offenders continued to undermine enforcement efforts.
“Through our work, we have reached a point where the kind of support we require can only come from the National Assembly.
“In your earlier remarks, you spoke about reforms and new investments coming into the industry. Part of the reason we are here is to put our house in order.
“If we are asking investors to commit billions of dollars to our economy, they must be confident that adequate security exists.”
Ilajufi urged lawmakers to strengthen the punishment regime for pipeline vandals and crude oil thieves.
“Specifically, we seek your support in strengthening the punishment regime for thieves, vandals and other criminal elements.
“My experience in the field is that after enormous state resources are spent arresting and prosecuting these criminals, the punishment they eventually receive is almost meaningless.
“A judge may sentence someone to five years imprisonment with an option of a N100,000 fine, or even six months imprisonment. That makes a mockery of the entire process.
“In some instances, suspects simply plead guilty because they already know the punishment will be lenient.
“We therefore require amendments to legislations such as the Miscellaneous Offences Act, particularly Section 107 relating to tampering with petroleum infrastructure and Section 118 relating to adulteration of petroleum products.”
Also speaking, Assistant Commandant General (Operations) of the Nigeria Security and Civil Defence Corps (NSCDC), David Idowu, backed the proposal for a special court, arguing that weak legislation has continued to frustrate the prosecution of crude oil thieves.
“I also want to appeal, if it has not already been included in the proposed amendments, for the establishment of special courts to try crude oil theft offenders.
“I remember when I served as a State Commandant. A lawyer returned from court one Monday in tears because the punishment handed down did not reflect the gravity of the offence.
“If there is a special court to try these offenders, including the shadow actors behind these crimes, they will receive appropriate punishment.”
Similarly, CSP Idris Abdullahi Mohammed of the Nigeria Police Force’s Petroleum and Illegal Bunkering Prevention Unit reaffirmed the commitment of the Police to tackling sabotage in the oil and gas sector through sustained collaboration with other security agencies and relevant stakeholders.
