FG: Fuel Subsidies and Oil Theft Consumed N29tn.

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According to the Federal Government, N13 trillion was spent between 2005 and 2021 subsidizing Premium Motor Spirit, or gasoline, while N16.3 trillion was lost to oil theft between 2009 and 2020. Nigeria spent more than N13 trillion ($74 billion) on fuel subsidies between 2005 and 2021, according to NEITI’s most recent policy brief, “The cost of fuel subsidy: A case for policy review.”

Regarding crude oil theft, t information from industry reports and the NEITI policy brief “showed that Nigeria lost 619.7 million barrels of crude oil between 2009 and 2020 (12-year period), valued at $46.16bn or N16.25tn.”

According to Orji, the amount of crude oil lost amounted to a daily loss of more than 140,000 barrels,  adding that between 2009 and 2018, Nigeria also lost 4.2 billion litres of petroleum products from refineries valued at $1.84bn.

Therefore, the oil swap policy dialogue was designed to provide a platform to share data and analytical insights on Nigeria’s crude swaps, identify gaps and weaknesses in the swap deals, and highlight corruption red flags or risk areas.

Punch.

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