The Federal Government has acknowledged that fuel smuggling from Nigeria to neighboring countries is an issue that cannot be entirely eradicated.
Minister of State for Petroleum Resources, Heineken Lokpobiri, highlighted this challenge at the 2024 Energy and Labour Summit in Abuja admitting that the Nigerian National Petroleum Company Limited (NNPCL) lacks the funds necessary to rebuild the nation’s ageing pipelines, which contributes to the problem.
Lokpobiri pointed out that many pipelines, dating back to the 1960s and 1970s, are corroded and easily vandalised, facilitating illegal fuel transport.
He claimed that as long as NNPCL imports fuel and sells it below the landing cost, smuggling will persist, especially with the complicity of some security agents at the borders.
The minister stressed the need for a public-private partnership to address infrastructure issues, advocating for private sector involvement to rebuild and secure pipelines.
He also underscored Nigeria’s strategic role in ensuring energy security across West Africa, noting that fuel smuggling is a persistent challenge due to Nigeria’s significant energy influence in the region.