Niger Delta: Attacks cost NPDC N1.5trn in 2016 — NNPC

The crisis in the Niger Delta region has taken a significant toll on the Nigerian economy since the beginning of the year as the Nigerian Petroleum Development Company (NPDC), the exploration and production subsidiary of the Nigerian National Petroleum Corporation (NNPC), yesterday, stated that it lost N1.5 trillion to attacks on its facilities from January till date.
The amount is 24.8 per cent of Nigeria’s budget estimates of N6.06 trillion for the 2016 fiscal year.
Speaking at the 2016 NNPC Security Awareness Week in Abuja, Group Managing Director of the NNPC, Mr. Maikanti Baru explained that the NPDC alone recorded 59 security incidents resulting in crude production shut down/deferment and revenue loss of over N1.5 trillion.
Baru lamented the rising spate of criminality in the society at large and in the oil and gas industry in particular leading to loss of much-needed revenue.
“At industry level, we are all conversant with the seriousness and frequency with which national assets, in form of pipelines, flow stations etc. are vandalized and crude oil and white products stolen with impunity,” he lamented.
He urged all Nigerians to do everything possible to help protect the national assets, adding that governments at various levels were doing much to fight criminality and that success can only be achieved when all stakeholders imbibe the consciousness that security was a task for everyone.
“At corporate level, you are all aware that the first item on my 12 Focus Areas is security. This is in recognition of the imperative that without assurances of safety, NNPC, the oil and gas industry, and indeed the country cannot achieve appreciable growth to assure citizens of decent and productive lives”, he stated.
Baru also used the opportunity to launch the NNPC’s ‘Kidnap for Ransom Policy’ to raise staff awareness on the need to avoid actions that predispose them to being kidnapped, especially at a time like this when kidnapping for ransom has become very rampant.
He charged staff to participate actively in the activities of the Security Awareness Week to imbibe ideas that could help them not only in personal security, but also in the protection of national assets.