The Nigerian National Petroleum Company Limited, on Wednesday, reported the destruction of a combined 10,166 illegal refineries and crude oil connections in Nigeria since 2021.
In particular, it clarified that a total of 5,686 illegal refinery sites were eradicated, and 4,480 illicit crude oil connections were dismantled during the mentioned review period.
NNPCL’s Group Chief Executive Officer, Mele Kyari, disclosed this while speaking as a guest lecturer during the 2024 Faculty Lecture titled, “Energy Security, Sustainability and Profitability in Nigeria: Advances, Challenges and Opportunities,” organised by the Faculty of Science of the Obafemi Awolowo University, Ile-Ife, Osun State, on Wednesday.
Addressing the challenges posed by pipeline vandalism and crude oil theft in Nigeria, Kyari, in a statement released by the company in Abuja, noted the adverse impact of these issues on NNPCL’s operations.
However, he highlighted that the establishment of a command-and-control center has facilitated the detection and elimination of illegal refinery sites and the removal of illicit connections, effectively addressing vandalism across operating corridors since 2021.
“The centre provides live streaming of surveillance data to security forces, contributing to the detection and destruction of over 5,686 illegal refinery sites and the removal of 4,480 illegal connections from 2021 to the present,” the company’s boss stated.
He advocated for a collaborative effort between academia and the oil and gas industry to tackle the challenges of energy sufficiency and sustainability.
Kyari emphasized the vital role played by academic institutions, including the esteemed OAU, in preserving national energy security through research and partnerships with the industry.
While identifying rapid population growth, pipeline vandalism, and crude oil theft as obstacles to energy security in Nigeria, Kyari pointed to energy conservation, diversification, and efficiency measures as key strategies for bolstering energy security.
In addressing the anticipated rapid population growth, Kyari stressed the importance of finding solutions to ensure sustainable energy security for the well-being of present and future generations.
He highlighted the intensified competition for crucial resources and the drive for urbanization, predicting a twofold increase in Nigeria’s energy demand by 2050.
Recognizing the severity of vandalism and oil theft, Kyari hinted at a strategic shift, with a focus on increasing product trucking and storage in underground tanks at NNPC filling stations nationwide.
He emphasized the growth of NNPCL’s retail assets, positioning it as the largest individual downstream company in sub-Saharan Africa after the acquisition of OVH retail stations and related downstream infrastructure in 2021.
He noted that the national oil firm underwent a complete transformation into a fully commercial limited liability energy company following the enactment of the Petroleum Industry Act in 2021. Additionally, the elimination of fuel subsidies enabled the company to assume a more proactive commercial role, ensuring profitability and providing increased value to Nigeria’s expanding population.