Oil & Gas
MOHAMMED Shehu, Chairman, Versatile Energy, has urged the Federal Government to deploy Artificial Intelligence (AI), Internet of Things (IoT), Blockchain technology and drone technology to curb oil theft and pipeline vandalism.
Shehu gave the advice in an interview with the News Agency of Nigeria (NAN) on the sidelines of the stakeholders engagement on“Harnessing the Petroleum Industry Act (PIA) as a catalyst for intervention in Nigeria’s oil and gas sector’’ in Abuja.
The engagement meeting was part of the activities to mark 10th anniversary of the Young Innovators of Nigeria (YIN).
He said the oil and gas sector, in spite being the major source of revenue for the country, had faced challenges like regulatory uncertainty, inefficient management of resources, oil theft, and revenue leakages.
Recalling the enactment of the PIA in 2021 targeted at addressing these challenges, Shehu said that oil theft and pipeline vandalism had persisted, thereby depriving the nation substantial revenue.
“While the PIA provides the legal framework for a more efficient oil and gas industry, technology must be leveraged to combat oil theft and secure the nation’s resources.
“We can engage pipeline surveillance and monitoring systems, implementing state-of-the-art surveillance systems, including drones, satellite imagery, and remote sensors, can help detect pipeline breaches in real-time.
“These technologies enable rapid response to incidents of vandalism and leaks, minimising losses and reducing environmental damage.
“Blockchain technology can be used to create a transparent and tamper-proof record of oil production and distribution. It also helps in tracking every barrel of oil from production to export, reducing the opportunities for illegal siphoning and theft.’’
Other strategies, he added, included IoT which could be deployed across oilfields and pipelines to provide real-time data on the condition of equipment, pressure levels and flow rates.
According to him, AI and machine learning for predictive analytics can help identify patterns and anomalies, security threats and suggest preventive measures.
“Automated metering systems equipped with digital reporting capabilities can provide transparent and accurate data on production volumes, reduces discrepancies and ensures that the government receives its rightful share of oil revenue.’’
According to him, technology can not only curb oil theft and pipeline vandalism but will ensure the country maximises its revenue from the sector.
Shehu said the technology could enhance tax collection and royalty payments, promote data-driven decision making, and with digital platforms, gas infrastructure could be developed to provide data on demand, supply and pricing.
He said that oil theft was not peculiar to Nigeria, adding that it affects many countries, particularly those in regions with weaker governance or higher levels of corruption.
“Combating oil theft required international cooperation, where countries could share intelligence and collaborate on enforcement efforts to disrupt organised crime networks, engage technological advancements and diversify economy to reduce reliance on illegal oil operations.’’
Shehu urged government to address root causes of oil theft, poverty, lack of opportunities and enhance enforcement and legal measures to reduce criminality in the oil and gas sector. (NAN)
A.I
Oct. 19, 2024
Tags: Dr Mohammed Shehu oil theft pipeline vandalism
