Pipeline vandalism in Nigeria severely damages the economy. According to the Nigerian National Petroleum Corporation (NNPC), the latest data showed that there was still no end to vandalism threats. It had registered 340 cases of vandalism for the first five months of 2017. What next should Nigerians expect from vandals? Find out here!
Pipeline Vandalism in Nigeria Today
In a recent update from the Financial and Operations Reports, the NNPC Group General Manager Mr. Ndu Ughamudu talked about the rise of oil and gas pipeline vandalism in Nigeria. He did mention that the situation has slightly improved in comparison with the previous year where the NNPC had 259 cases of vandalism in March 2016.
In addition, the Group General Manager assured that despite these acts of vandalism, the petroleum supply was more than enough for monthly consumption. But regardless, the situation is still not stable.
At the beginning of the year, it was registered sixty cases of vandalism. In February, the number of vandalism actions decreased to 49. However, in March 2017, that number rose up to 94 cases. April 2017 showed a decline to 82 cases. In May 2017, it registered 55 cases of vandalism.
According to the Central bank of Nigeria, the first quarter of the year provided N817.5 billion from the oil industry. It could have been better results if there was no vandalism at all. Nevertheless, the Federal Government policies have shown some results, and the vandalism in the oil industry is declining.
The Vanguard Newspaper disclosed that vandalism in the oil industry is orchestrated by militants. This is most likely as a result of underfunding in this branch of the economy over the years. The second problem for the oil industry in Nigeria is the low oil prices in the world.
History of Pipeline Vandalism in Nigeria
The history of pipeline vandalism in Nigeria is very long, but we will try to concentrate on the 21st century. The hottest point when it comes to vandalism area is the Niger River. According to the census, over 28 million people live alongside this river. The Niger River goes through the following states:
– Rivers;
– Ondo;
– Imo;
– Delta;
– Cross River;
– Bayelsa;
– Akwa Ibom;
– Abia.
The river is home for 40 different groups with 250 languages. These people prefer to fish, farm and cultivate their lands. However, since Black Gold was found in that area, the problems started to arise for these people.
The first oil was found in Nigeria in 1956. During that time, the digging process could only provide 5100 barrels per day. It was the very beginning for the Nigerian oil and gas sector economy. However, the oil industry brought ecological catastrophe to the regions of Niger Delta.
The Federal Government tried to oppose the vandals and created the Petroleum Production and Distribution Act in 1975. People also know it as Anti-Sabotage Act. It created the law to punish the vandals by death or imprison them up to 21 years.
Causes of Pipeline Vandalism
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1. Corrosive pipelines
The corrosive pipelines has increased the changes of leakage of oil products. Therefore, it`s extremely harmful to the environment. In addition, it`s super easy for vandals to use these corrosive pipelines when they need to steal petroleum.
2. Unfulfilled promises from oil companies
It`s clear that oil companies in Nigeria are profit-orientated only. Also, the Federal Government is also responsible for not fulfilling their promises. The Government and the oil companies in the Niger Delta Region should have provided adequate compensations to people living in the oil states. There was almost no work done in this direction. Therefore, the people of these states have to resort to desperate measures to survive.
3. Corrupt Leadership
It`s not a surprise that people have to go to desperate measures in one of the most corrupted countries in the world. The oil sector is perfectly controlled by power groups which have ties to the Nigerian Government. Therefore, it`s a clear monopoly over the oil sector in the country. That causes unequal distribution of oil money in Nigeria.
Effects of Pipeline Vandalism
1. Environmental Destruction
The states in the Niger Delta region are infected with pollution of water, soil, and air. By any international standards, the situation is horrible in those areas. People suffer from various diseases and they do not have fertile land to plant their crops.
2. Fire Outbreak
Due to oil spillages and pipeline vandalism, the soil is highly flammable. When the attacks on the pipelines occur, the local communities become very vulnerable to fire outbreaks. Therefore, the fire outbreaks and explosions leave hundreds of people without homes.
3. Economic Loss
The country feels the economic loss from pipeline vandalism in Nigeria. According to NEITI (Nigeria Extractive Industries Transparency Initiative), due to sabotages of pipeline facilities in 2009-2011, Nigeria lost $10.9 billion. According to the minister of petroleum Dr. Ibe Kachikwu, Nigeria lost about N3.8 trillion in 2016 due to militant attacks.
Pipeline vandalism in Nigeria Conclusion
Even if there is a downfall of pipeline attacks in the last few months, it does not mean that Nigeria should relax. There are a lot of unsolved issues in the oil industry of the country. These issues makes it almost impossible to protect the pipelines from vandals. If the country does not resolve them, then Nigerians should expect a new rise of pipeline vandalism.
READ ALSO: History of crude oil in Nigeria
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