A Review of the Nigerian Energy Industry

Crude oil theft: Don warns of Niger Delta cessation

Drums used for oil theft26 October 2013, Lagos – The increasing theft of crude oil in the Niger Delta may lead to Nigeria having an “alternative rogue economy” which will want to break away to retain and control the enormous funds accruing to it, a law professor has warned.

Yinka Omorogbe, a Professor of Law at the Nigerian Institute of Advanced Legal Studies, Abuja stated this at the Obafemi Awolowo Institute of Government and Public Policy in Lagos.

Delivering the lecture titled; ‘God given wealth, man-made poverty and the rule of law in Nigeria,” Ms. Omorogbe decried the poor implementation of laws in Nigeria with reference to the crude oil theft in the Niger Delta amongst many other “institutional deficiencies” in the country.

Nigeria is estimated to lose about 100,000 barrels of crude oil daily, estimated at about $3.65 billion per annum to oil thieves which allegedly includes government officials, multinationals, and security agents.

“Only the efficient use of the rule of law will enhance the development of our (Nigeria) resources in all its forms… ..but if not, this will lead to the development of an alternative rogue economy,” the don said.

She noted some references in her lecture which claimed that an alternative rogue economy could lead to a group’s cessation from the country so as to keep the rogue economy -stolen crude oil trade- and prevent Nigeria’s forces to maintain law and order.

She added that such cessation will be accentuated by the local community, which will harness the energy and strength of the youth in such rogue economy to sustain its flow.

Nigeria fought a three-year civil war which led to about 3 million deaths when the Igbo ethnic group sought a separate nation (Biafra) in 1967.

Poster child for resource curse.
Describing Nigeria has a poster child for resource curse, Ms. Omorogbe in her criticism of the federal government’s claim of economic development noted that “economic growth and development growth are not the same.”

“The nation’s recessing economy with enormous resources is an indication of resource curse” Ms. Omorogbe affirmed.

– Ayo Okulaja, Premium Times

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