Vandalism: NNPCL Didn’t Pump Oil From Warri Pipeline In 22 Years,Says Kyari

Mohammed Shosanya

The Nigerian National Petroleum Company Limited ( NNPCL), has expressed regrets over  the calamity bedeviling the oil sector in the country.

The Chief Executive Officer ( CEO) of NNPCL, Mele Kyari,lamented  that the company had not been able to pump oil through pipeline from Warri to Benin in 22 years.

He disclosed that over 5,000 kilometers oil pipelines in the country are not working as a result of pipeline vandalism.

Kyari, who disclosed this during an interactive session with the Senate Committee on Petroleum (Downstream), added that the vandalism carried out on over 5,000 kilometers of oil pipelines by vandals  across the country has become a national calamity.

Assuring Nigerians that the nation’s four oil refineries would be made functional very soon, he disclosed that as a result of pipeline vandalism 10 million litres of oil was lost from volume pumped from Aba to Enugu at a time.

He said: “Over 5,000 kilometers oil pipelines  in the country  are not working. As a result of pipeline vandalism 10million litres of oil was lost from volume pumped from Aba to Enugu at a time.

“The company has been unable to pump oil from Warri to Benin within the last 22 years and cannot connect to Ore .

“There is no amount of security measures that had not been taken to curb the crime without success, which to us in NNPCL, is substantially a national calamity.”

The company is embarking on massive replacement of the pipelines which aside being vandalised, are old and obsolete.

He explained further to the committee that deregulation of the oil sector and in particular, subsidy removal carried out in May this year, has turned NNPCL into a profitable company .

He explained that before deregulation in 2018, the company made loss of N802 billion but after deregulation in 2021, made excess profit of N687 billion.

He added that while 67 million litres of oil was consumed per day during the era of subsidy regime,  average of 55 million litres are being consumed on daily basis now, just as the problem of smuggling the product across border, has become things of the past .

In their remarks, the Chairman of the committee, Senator Ifeanyi Ubah (APC Anambra South) and other members, said that proper dissection of challenges facing the sector would be better made in a retreat.

 Senator Seriake Dickson (PDP Bayelsa West) , told the NNPCL boss to look critically into surveillance security contract the company is operating as regards non inclusion of some oil producing areas .

He said: “Some  local governments in Bayelsa State like Sagbama where i come from, are not covered by the contract with attendant consequences.”