The Federal Government lost about 13.5 million barrels of crude oil valued at $3.3 billion to theft and pipeline sabotage between 2023 and 2024, the Nigeria Extractive Industries Transparency Initiative (NEITI) has revealed.
NEITI’s Executive Secretary, Dr. Ogbonnaya Orji, made the disclosure in Lagos on Thursday at the 2025 conference of the Association of Energy Correspondents of Nigeria (NAEC).
Speaking on the theme, “Nigeria’s Energy Future: Exploring Opportunities and Addressing Risks for Sustainable Growth,” Orji decried the persistent lack of transparency and accountability in the oil and gas sector, describing it as one of the major obstacles to sustainable development.
He said the lost revenue could have funded an entire year of the federal health budget or provided energy access to millions of households across the country.
His words: “Our data show that crude oil theft and sabotage cost Nigeria 13.5 million barrels in losses, equivalent to $3.3 billion in one year.
“This level of waste is unacceptable, especially at a time when the country is seeking solutions to revenue shortfalls and energy poverty.”
Citing figures from NEITI’s 2021–2022 Oil and Gas Industry Reports, Orji said Nigeria earned $23.04 billion from the sector in 2021 and $23.05 billion in 2022. He added that about N1.5 trillion is still owed to the Federation by some companies and government agencies.
He said: “The funds owed could have financed critical infrastructure, improved healthcare delivery, or supported the development of energy access projects.
“Transparency and accountability are not optional—they are necessary conditions for a sustainable energy future.”
Orji stressed that NEITI remains committed to ensuring that every barrel of crude produced in Nigeria is properly accounted for.
He said the agency’s ongoing reforms have moved it beyond auditing to becoming a governance reform institution.
“Over the past decade, NEITI has institutionalised regular audits of the oil, gas, and solid minerals sectors.
“We are tracking production, payments, and remediation; developed the Beneficial Ownership Register that unmasked the real owners of over 4,800 extractive assets; and launched the NEITI Data Centre to provide real-time access to industry information,” he noted.
He also highlighted partnerships with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), and the Nigerian Content Development and Monitoring Board (NCDMB) to enhance transparency in licensing, metering, and host community trust management.
According to him, NEITI’s newly introduced Just Energy Transition and Climate Accountability Framework will ensure Nigeria’s shift to cleaner energy remains transparent, inclusive, and fair.