A Review of the Nigerian Energy Industry

NNPC records 774 vandalized points between Lagos & Ilorin depot

20 December 2012, Sweetcrude, Abuja – The Nigerian National Petroleum Corporation, NNPC, has decried the unending incidents of pipeline hacking and petroleum products theft, disclosing that it has recorded 774 vandalized points between Lagos and Ilorin depot.

Speaking against the backdrop of the recent line break in Ije-ododo community in Ojo Local Government Area of Lagos State, Andrew Yakubu, the NNPC group managing director said that if left unchecked, the nefarious activities of pipeline marauders could cripple the smooth operation of the downstream sector of the industry.

Yakubu who declared open the 3rd Triennial Delegates Conference of the Petroleum and Natural Gas Senior Staff Association, PENGASSAN, in Abuja noted that less than one week after the vital system 2B was restored after extensive repair work on the ruptured Arepo point, the Corporation has been compelled to shut the line owing to Monday’s attack on the Ije-ododo point.

“We had over 774 break points since August 2012 from Atlas Cove to Ilorin depot. Between Atlas Cove and Mosimi depot, we recorded 181 break points, from Mosimi to Ibadan, we had 421 raptured points and from Mosimi to Ore, we recorded 50 vandalized points. Also between Ibadan and Ilorin we had a total of 122 break points,” the GMD stated.

He disclosed that though the NNPC is working hard to ensure effective distribution of petroleum products across the country through increased trucking, the trucking option comes with enormous cost which is totally unsustainable.

“PIB or no PIB, privatization or no privatization, no industry can survive under this kind of arrangement,” he said.

Records indicate that with the incessant attacks on the nation’s vast artery of pipelines about 70 percent products distribution is through trucking or what is known in the industry parlance as bridging into the hinterlands. This requires massive fleets of petroleum product trucks of up to 1,212 trucks load out from the depots every day to meet the daily estimated national consumption.

At an average vehicle turnaround of about 8-10 days from the South to the North and re-turn, a minimum of 10,000 trucks are required to ply the roads daily.

Despite the challenge posed by the shut-down of the system 2B line as a result of the attack, the GMD remains optimistic that Nigerians would not suffer undue hardship during the yuletide season.

“We have a fallback strategy which we have already activated to ensure un-interrupted supply of products. Don’t forget that we had the worst time when the line was shut completely in August after the Arepo incident but we have restored the lines and it started working and Nigerians felt the impact, only for the vandals to strike again. But we will do our best to sustain supply,” he said.

Yakubu called on Nigerians across board from the community to local government and up to state government levels to embrace protection of pipelines.

“These are critical national assets and we must begin to see them in that light,” the GMD said.

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  • This is one of the negative vices that thrives when the gap between the rich and the poor gets wider – people resort to all manner of survival strategies including petroleum products pipeline vandalism, crude oil theft, kidnapping adulteration of whatever products they can mess with, among others. Government must come alive to its responsibilities.

  • May Allah protect us from these thiefs.

  • 774 points?Each representing the local govts in nigeria. The people are now forcing the hidden wealth into their pockets too,dats govermment closesth to them.

  • Its poverty oh thee Federal govt of Nigeria.Wake up Fed govt. Of Nig. for thy ppl ar going astrey……

  • Yes i agree its poverty , ppl are hungry , no jobs, no money for business , people dieing everyday penssioniers money has not been paid. The nation is seriously overpopulated houses are not available another once available are not afordable . Even the citizens are not helping matters as u find one man marking four wives and each of the wives giving birth five , six, seven children without a job. And even when a man marries one wife they start breeding children like rats. I think that we contribute to the poverty situation in this country, unless we start cutting our clothes according to our sizes poverty remains a very big visitor to this country. Let families being to learn how not to breed children like rats but to give birth to maximum of 3 children ,give the best of education, and they will better people in the society.

  • Attah G-man via Facebook

    that is one point for each local government ba! nonesense

  • every hungry and angry Nigerian is striving for a fair share (in barrels) of the national cake which is oil … abi any palliative from LG, State or FGN ? What economic relief or benefit for the impoverished ppl of this nation ?

  • We thought the days of vandalisation are over. What’s going on in Naija?

  • We poor we dont need 2 hear any thing related 2 our natural resourses we left them God is able.

  • …..SAD…!!!! They should just ….Shot down the PIPES FOR A WHILE……and use super tankers….Over NIGHT…!!!

  • E go better