Pipeline surveillance: NASS backs Tantita as Nigeria oil output hits 1.8mbpd

ABUJA — The National Assembly Joint Committees on Petroleum Resources have dismissed three petitions challenging the pipeline surveillance contract, passing a vote of confidence in Tantita Security Services, security agencies, and the Nigerian National Petroleum Company Limited (NNPCL).

The decision followed a motion moved by the Chairman of the House Committee on Petroleum Resources (Midstream), Henry Okojie, during a one-day parliamentary roundtable on pipeline security and strategies to curb crude oil theft.

The committees said the surveillance arrangement has significantly boosted Nigeria’s oil production, which has climbed to about 1.8 million barrels per day as of April, up from roughly 900,000 barrels per day in 2022 when the contract commenced.

Okojie stated that available data shows that Tantita and security agencies have recorded substantial success in protecting oil infrastructure, reducing vandalism, and increasing national revenue.

Speaking at the event, Speaker of the House of Representatives, Abbas Tajudeen, underscored the importance of securing Nigeria’s oil sector amid global energy uncertainties.

He cited geopolitical tensions such as the Russia-Ukraine conflict and instability in the Middle East as major factors driving volatility in global energy markets, noting that crude oil remains the dominant energy source, especially in transportation.

Tajudeen observed that disruptions, including the closure of the Strait of Hormuz, have contributed to price spikes and supply challenges with direct implications for Nigeria’s economy.

He explained that the pipeline surveillance contract was introduced to address persistent challenges in the Niger Delta, where agitation, weak enforcement, and economic hardship had fuelled vandalism, oil theft, and illegal refining.

“At a point, Nigeria was losing between 10 and 30 percent of its crude oil production to theft, costing billions of dollars annually and undermining its credibility,” he said.

The Speaker noted that the engagement of private security firms and host communities has strengthened protection of oil assets, with community participation playing a critical role in the recorded gains.

He said collaboration among stakeholders has led to the dismantling of illegal tapping points, improved production levels, and increased crude supply to export terminals.

“Today, largely due to these efforts, Nigeria’s oil production has climbed to about 1.8 million barrels per day from previous lows,” he added.

Beyond economic benefits, Tajudeen said the initiative has created jobs for thousands of youths in the Niger Delta, many of whom were previously involved in agitation and illegal activities.

Despite the progress, he acknowledged ongoing concerns around transparency, accountability, and operational efficiency, noting that reports of continued oil theft highlight the need for sustained reforms and stronger oversight.

He reaffirmed the National Assembly’s commitment to legislative and oversight actions to strengthen the sector, referencing the Petroleum Industry Act, which prescribes stricter penalties for vandalism and promotes community participation through Host Community Development Trusts.

Under the Act, host communities risk losing benefits if vandalism occurs in their areas, thereby encouraging collective responsibility in safeguarding oil infrastructure.

Tajudeen added that the 10th National Assembly has intensified oversight of the Act’s implementation, conducted investigative hearings, and approved funding for pipeline security.

He emphasised that crude oil theft must be treated as both an economic crime and a national security threat requiring coordinated action.

Describing the roundtable as an avenue to consolidate progress and address gaps, the Speaker urged stakeholders to position Nigeria as a reliable global energy supplier.

“The world is searching for energy security, and Nigeria must present itself as a credible alternative. We cannot afford internal sabotage. Our message is clear: Nigeria is securing its assets, stabilising production, and remains open for business,” he said.