The proposal was unveiled on Thursday during a stakeholders’ meeting organised by the House Special Committee on Crude Oil Theft
KaNo —
The House of Representatives has renewed calls for sweeping reforms to Nigeria’s legal framework on crude oil theft, proposing the establishment of a special court to fast-track prosecution and impose stricter penalties on offenders undermining the nation’s oil and gas sector.
The proposal was unveiled on Thursday during a stakeholders’ meeting organised by the House Special Committee on Crude Oil Theft, as lawmakers, security agencies and industry players deliberated on measures to curb illegal bunkering, pipeline vandalism and other related crimes.
Chairman of the committee, Alhassan Doguwa, said the country’s existing legal regime has proven ineffective in deterring oil theft, largely because many of the laws governing such offences are outdated and no longer reflect present-day realities in the global petroleum industry.
He warned that unless urgent reforms are undertaken, Nigeria risks continued losses in crude oil production and national revenue.
“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 explained that stakeholders at the meeting reached a consensus on the need to overhaul existing legislation, eliminate legal bottlenecks and introduce modern provisions that would strengthen the prosecution of offenders.
He added that the proposed reforms would not alter the Petroleum Industry Act, which he noted primarily governs commercial activities in the sector rather than criminal offences.
He stressed that the continued reliance on obsolete laws has limited the ability of courts to impose appropriate sanctions on offenders, thereby weakening the overall deterrent effect of prosecution efforts.
Doguwa argued that such crimes require expedited judicial processes due to their economic and security implications.
“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,” he said.
He noted that cases involving oil theft often suffer prolonged delays within the conventional judicial system, allowing suspects to exploit procedural loopholes and, in some cases, evade justice entirely.
The lawmaker further disclosed that the committee would intensify collaboration with the Office of the National Security Adviser to enhance enforcement efforts.
He warned that persistent sabotage of oil infrastructure could further derail Nigeria’s crude oil production targets and weaken fiscal projections.
Doguwa described the regulator’s failure to attend or send representatives as disappointing, given its central role in overseeing upstream petroleum operations.
He said the committee had directed its clerk to formally summon the commission to appear before lawmakers and explain its position on the issues under consideration.
“It was rather unfortunate that some of the critical regulatory agencies in the oil and gas sector, particularly the NUPRC, neither attended nor sent representatives,” he said.
Other members of the committee also weighed in on the broader implications of inefficiencies within the petroleum sector.
Hart argued that failure by licence holders to develop oil blocks within stipulated timelines should be treated as economic sabotage, noting that petroleum resources ultimately belong to the Nigerian people.
He also expressed concern over the ongoing divestment by international oil companies, warning that some indigenous firms acquiring the assets may lack the financial and technical capacity required to sustain production in the capital-intensive industry.
Security agencies at the meeting backed the call for stronger legal measures, emphasising that current penalties are insufficient to deter offenders.
Representing the National Security Adviser, Nuhu Ribadu, the Director of Energy Security at the Office of the National Security Adviser, Goodluck Ilajufi, said security agencies have recorded some progress in combating crude oil theft but require legislative support to sustain the momentum.
He noted that while pipeline failures were previously blamed for crude losses, recent experience indicates that organised criminal networks now account for a significant portion of the problem.
Ilajufi criticised the current punishment regime, citing instances where convicted offenders were given the option of paying fines as low as ₦100,000 after costly investigations and prosecutions funded by the government.
According to him, such penalties fail to reflect the severity of the crimes and may even encourage offenders to plead guilty in anticipation of lenient sentences.
He urged lawmakers to amend relevant provisions of the Miscellaneous Offences Act, particularly Sections 107 and 118, to impose stricter sanctions on pipeline vandals and those involved in petroleum product adulteration.
“If these laws are not strengthened, the deterrent effect will remain weak,” he said.
The Nigeria Security and Civil Defence Corps also endorsed the proposal for a specialised court. Assistant Commandant-General (Operations), David Idowu, said weak legislation has continued to frustrate the efforts of security agencies despite numerous arrests.
He recounted a case in which a legal officer became visibly emotional after a court handed down what he described as a disproportionately light sentence to a convicted offender.
Idowu said a dedicated court would help ensure that both direct perpetrators and financiers of oil theft are prosecuted efficiently and punished in proportion to their crimes.
Similarly, the Nigeria Police Force reiterated its commitment to tackling oil theft through inter-agency collaboration.
CSP Idris Abdullahi Mohammed of the Petroleum and Illegal Bunkering Prevention Unit said the police would continue working with relevant stakeholders to curb illegal activities in the sector.
Nigeria has long grappled with widespread crude oil theft, particularly in the Niger Delta region, where organised criminal syndicates tap into pipelines and siphon crude from production facilities.
The consequences have been far-reaching, including significant reductions in oil output, damage to critical infrastructure, environmental degradation caused by oil spills, and the loss of billions of dollars in government revenue.
Industry experts warn that unless decisive action is taken to strengthen legal and institutional frameworks, the country may continue to struggle to meet its production targets and fully harness the economic potential of its petroleum resources.
The proposed special court, alongside broader legislative reforms, is expected to form a key part of efforts by the National Assembly to address the persistent challenge and restore confidence in Nigeria’s oil and gas sector.
