The panel, which is chaired by the Interim Administrator of the Presidential Amnesty Program, Barry Ndiomu, has seasoned administrators and retired top military and police officers as members, with David Attah as secretary. While inaugurating the panel, Mr. Monguno said that Nigeria was currently facing a monumental loss of revenue that ought to have accrued from the sale of crude oil, being the main source of its foreign exchange earnings.

He said the escalation of acts of vandalism and theft of crude oil had led to a significant decline in production, with an associated impact on revenue. According to him, the enormous losses are caused mainly by oil theft, orchestrated by unscrupulous elements. NSA said that Nigeria had consistently failed to meet its daily production quota of about two million barrels per day, as provided by the Organization of Petroleum Exporting Countries (OPEC.

He added that the country’s current crude production struggles to meet even one million barrels per day, adding that recent interventions by the security agencies had revealed massive illicit platforms of theft ranging from marine evacuations via vessels to load-outs from illegal operations platforms. He added that the extent of the oil and revenue losses threatened the economy, forcing the administration to revert to less popular monetary and fiscal policies to address revenue-side constraints with dire implications. "The government has been briefed on the dwindling economic fortunes, including the inability to replenish foreign reserves and the reduction in revenue, thereby affecting accruals into the Federation Account."

"With the scale of the theft and losses and the alleged complicity of regulatory agencies/officials and security personnel, as well as the involvement of international collaborators, the enterprise is deeply entrenched and would be extremely difficult to exterminate without very stern and decisive action by the government." "The menace of oil theft and losses is completely unacceptable, considering its attendant impact on the economy, national development, and security." "It is an affront to the government and its institutions, which must be tackled without further delay." "It is in this connection that the government, worried by the ugly trend, among other things, directed the setting up of a Special Investigative Panel on Oil Theft and Losses in Nigeria to investigate all aspects of crude oil theft, identify the culprits, and submit its report for necessary action," he said.

Mr. Monguno said the panel was expected to investigate oil theft and losses in all their ramifications and propose a wide array of implementable recommendations to enable this administration to take decisive action to end the criminal enterprise within the shortest possible time. He said members were appointed based on their proven integrity, track record of service, competence, and dedication to the national course. He urged them to collaborate in order to uncover individuals and groups perpetrating national economic crime, regardless of their position.

The Terms of Reference, or ToRs, according to NSA, are to ascertain the circumstances surrounding the illegal insertion into the Trans-Escravos Pipeline, or TEP, around the Yokri area in Burutu Local Government Area of Delta State. "They are to establish the ramifications of crude oil theft and losses in Nigeria; ascertain the causal factors, immediate and remote, of crude oil theft and losses in the country; and ascertain the extent of crude oil theft and losses in the country." "With the widest possible amplitude, identify persons or entities, whether public, private, or foreign, involved in the criminal enterprise and establish the level of culpability of identified persons or entities in the enterprise."

"The panel is to also examine the specific roles of regulatory agencies, security agencies, tiers/arms of government, and international oil companies (IOCs) in aiding and abetting the criminal enterprise. "They are to also assess the efficacy of the security architecture and arrangements in tackling crude oil theft and losses and associated petroleum products and recommend appropriate, commensurate, and sufficiently deterrent sanctions on all those culpable," he said. Mr. Monguno also tasked the panel with recommending steps, procedures, or processes to be taken by the government to eliminate the enterprise in the industry to prevent future occurrences and to make any other recommendations on any other issue incidental to the terms of reference.

He said the panel was expected to commence its assignment with immediate effect and to conclude as well as submit its report on or before Feb. 21, 2023. The Permanent Secretary, Special Services, Office of the Secretary to the Government of the Federation, Aliyu Yerro, said the menace of crude oil theft had greatly impacted the nation’s revenue growth. Mr. Yerro said the challenge had necessitated the setting up of the panel, adding that this was in spite of the huge amount of money spent by the government to secure its maritime domain. He expressed confidence that the panel had the capacity to offer a solution to the issue of crude oil theft in the country. The Chairman of the Panel, Barry Ndiomu, said the expertise of each individual on the panel was sufficient to help them fulfil the objectives of setting up the panel. He said the panel would leave no stone unturned by digging deep to unravel not only the incidences of oil theft and losses but also the predisposition and causal factors as well as the groups and individuals responsible for the criminal enterprise. "We shall work hard to make you proud, not least for the confidence reposed in us," he said.