Protect Nigeria against pervasive influence of IOCs, Agbakoba tells petroleum minister

A former President of the Nigerian Bar Association (NBA), Olisa Agbakoba has raised serious concerns over the Nigerian government’s plans to install meters at flow stations across the country.

These flow stations, pivotal in the measurement of crude oil destined for export, have become the focal point of a heated debate over transparency and national sovereignty in the management of Nigeria’s oil resources.

Agbakoba expressed skepticism over the federal government’s initiative, suggesting it reflects deeper issues within Nigeria’s oil sector governance. “The announcement by the FG that it will provide 186 meters at our flow stations is very curious and needs explanation from the Minister of Petroleum,” Agbakoba remarked.

He highlighted the crucial role of these meters in accurately measuring crude oil production, likening their absence to buying petrol without a meter at a fuel station. “How do you determine how much has been sold to you?” he questioned.

Read also: NNPC boss, Kyari, denies Dangote allegations, vows to punish staff involved in overseas petroleum plant

Drawing attention to the operational dynamics, Agbakoba pointed out that international oil companies (IOCs) currently oversee the management and operations of these flow stations and pipelines. This arrangement, according to Agbakoba, implies that the accurate measurement of Nigeria’s crude oil output is largely dependent on these companies.

“If the FG wants to place meters at these flow stations to know how much crude we produce for export, it follows that nobody, apart from the IOCs, can actually say what amount of crude oil we export on a daily basis,” he emphasized.

Ripples Nigeria reports Nigeria has been struggling with meetings its OPEC production quotas, while the pervasive issue of oil theft has been partly blamed for it. The country’s inability to meet its OPEC production targets has also partly been blamed on discrepancies in reported production figures.

Agbakoba’s comments highlight a growing sentiment that without reliable and independently verified metering systems, Nigeria’s ability to accurately track its oil production and revenue remains compromised.

Concluding his remarks, Agbakoba called upon the Minister of Petroleum to provide clarity on the government’s strategy and to safeguard Nigeria’s interests against what he perceives as undue influence from IOCs.

“I thank the Minister and urge him to protect us from these oil companies who have appropriated our crude oil resources,” he urged.

As Nigeria continues to grapple with the complexities of its oil industry, the installation of meters at flow stations emerges as a critical step towards enhancing transparency and accountability in the management of one of the nation’s most vital resources.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now