Niger Delta Leaders Advocate for Decentralized Pipeline Security Measures

Members of the Niger Delta Roundtable are urging President Bola Ahmed Tinubu to reform the current centralized system of pipeline surveillance contracts, which they claim is ineffective in addressing the rampant issue of oil theft. During a recent emergency meeting held in Port Harcourt, the group emphasized that the existing model is not only unhelpful but has also led to billions of naira in lost revenue for the country.

The stakeholders recommended distributing the responsibility for pipeline security across various states and local communities, rather than relying on a single contractor to manage these critical functions.

Dr. A. Taro Theophilus, who spoke on behalf of the group, criticized the current arrangement as ineffective and pointed out the continued prevalence of illegal bunkering and pipeline vandalism in the region.

Data collected by the stakeholders revealed that Nigeria lost an alarming 93.74 million barrels of crude oil during the first eight months of 2025, resulting in a staggering loss of approximately $6.85 billion based on an average barrel price of $73.06.

Furthermore, they highlighted that daily production averages fell significantly short of budgeted targets, with actual output at only 1.673 million barrels per day compared to the anticipated 2.06 million barrels per day.

The financial implications of this production shortfall have been significant. The Niger Delta Roundtable noted that the oil sector suffered a revenue deficit of N941.23 billion in July and August 2025 alone, with total shortfalls reaching N18.61 trillion over a seven-month period.

Despite ongoing surveillance efforts, illegal refining and bunkering operations remain widespread, with recent illegal facilities discovered as far as Abia State, demonstrating the resilience of these criminal enterprises.

The group argued that centralizing pipeline protection under one contractor creates vulnerabilities within the system due to a lack of competitive oversight and enforceable performance metrics.

In place of the current setup, they proposed a decentralized security model that would engage multiple firms based in the Niger Delta, leveraging local expertise and knowledge of the environment and community dynamics.

Additionally, the stakeholders called for an independent audit of existing contracts and for the establishment of a transparent and competitive framework that includes rigorous performance targets and penalties for non-compliance.