Main Article Content
Oil theft and its effect on National Revenue in Nigeria, 2015-2022
Abstract
The menace of oil theft has caused drastic economic consequences for the Nigerian government in the past seven years. This study focuses on the activities of oil theft in the Niger Delta region of Nigeria from 2015 to 2022, with a view to determining its consequences on the National revenue within the same period. Within that period, government expenditure on the provision of public services, and in meeting other financial expectations was reduced by a significant percentage due to reduced revenue inflow, where oil revenue accounts for more than 85% of total national income. This study adopts a mixed-method approach using both quantitative and qualitative data with focus on descriptive analysis. The study argues that oil theft was the biggest threat to National revenue between 2015 to 2022. The study findings show that the year 2016 was the highest hit at 101.05 million barrels loss representing 15.3% of crude oil production and translated to N1.1591 trillion loss in national revenue at an average price of $44.1 USD per barrel. Throughout the period under review, the percentage crude oil losses stood at an average of 7.6%. Amongst other recommendations, the study recommendsan enhanced state capacity to protect the oil installations through amendment of the legal framework guiding the oil industry