NUPRC To Implement Advance Cargo Declaration Regime To Curtail Oil Theft

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said that it has obtained the necessary approvals to implement Advance Cargo Declaration regime in upstream petroleum operations to curtail the export of stolen crude oil.

NUPRC said that this will ensure that Crude Oil and Gas cargoes exported from Nigeria will have a unique identifier that confirms all documentation as regards the exported consignment.

Commission Chief Executive (CCE) NUPRC, Gbenga Komolafe, said this on Friday in Abuja at a stakeholders’ engagement with newsmen while highlighting its initiatives to curb oil theft in Nigeria.

Komolafe said this implied that any cargo that did not have the unique identifier was not legitimately exported from the country.

He said in line with President Muhammadu Buhari’s directive, it evolved additional initiatives to collaborate with oil and gas operating companies (including NNPC) and the top echelon of Nigerian security forces to end the menace.

He said the commission had commenced a full-scale audit of crude oil theft and an assessment of upstream assets integrity audit to establish actual crude oil theft figures in the upstream petroleum industry.

This, he said, was in view of recent controversial figures on theft volumes thrown up by some industry operators, which impacts negatively on Federation revenue.

“This is very important as the nation derives its royalty from net crude oil receipts,’’ he said.

Similarly, he said in line with its statutory duties as a regulator, the commission obtained necessary approvals to ensure the installation of metering equipment (LACT Units) in the upstream petroleum industry, using Original Equipment Manufacturers (OEMs).

He disclosed that this would avert potential manipulation of figures that could result in shortchanging the Federation of oil and gas revenue.

On its reforms, he said that in line with section 314 of the PIA, 2021, it had successfully implemented the delineation of staff between the commission and the Midstream/Downstream Petroleum Regulatory Authority (MDPRA).

Subsequently, he said the commission had commenced manpower audit, job mapping and capacity building programmes tailored toward optimisation of human capital.

“The Commission has completed the unbundling of Enterprise Data Warehouse (EDW) from legacy DPR and implemented automation of the business workflow processes.

“The processes are the Revenue Ledger and Information System (RLIS) portal for companies to submit all local and foreign royalty payments and the National balance of payment portal for reporting inward and outward direct investment associated with crude oil export.

“Others are Development of Asset Management Web Portal (AMWP) for Marginal Fields and petroleum facilities and e-library – providing access to all internal resources, including checklists, SOPs, templates and reference materials,’’ Komolafe said.

The CCE, however, noted that the commission was deliberate in identifying and sanctioning new projects and new field developments, to help boost the national oil production.

“We will continue to work with all stakeholders on the strategic areas and we will, without prejudice to the mid and long-term strategies.

“We will continue to implement some immediate (short term) oil gain strategies in the light of current realities of upward trend in international crude oil prices,’’ he said.