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OIL THEFT AND MILITANCY: CORRUPTION’S ROLE IN NIGER DELTA INSECURITY AND ANTI-CORRUPTION MEASURES IN BAYELSA STATE, NIGERIA

CHAPTER ONE

INTRODUCTION

Abstract

This study examines the complex relationship between oil theft, militancy, and corruption in sustaining insecurity in Nigeria’s Niger Delta region, particularly in Bayelsa State from 2019 to 2025. Using a mixed-methods approach that incorporates secondary data analysis of EFCC reports and security incident logs alongside primary interviews with community leaders and security officials, the research demonstrates that corruption among regulatory agencies and security personnel facilitates 70–80% of oil theft activities. This corruption has contributed to the resurgence of militancy and resulted in more than 1,200 insecurity incidents in Bayelsa State alone. Measures to combat corruption, such as the Bayelsa State Oil and Environmental Commission established in 2021 and federal surveillance contracts, have recovered merely 15–20% of the value of stolen crude oil. These efforts are undermined by elite capture and inadequate enforcement. The study concludes that sustainable peace requires integrated, community-driven transparency initiatives to disrupt corrupt networks effectively.

1.1 Background of the Study

The Niger Delta, particularly oil-rich states such as Bayelsa, continues to be a focal point of conflict driven by natural resource exploitation. Oil theft, with estimates ranging from 200,000 to 400,000 barrels per day, fuels an illicit economy valued between $3 and $5 billion annually, perpetuating militant activity and environmental destruction (Osuofa, 2025; Schultze-Kraft et al., 2024). Bayelsa serves as the central hub for illegal bunkering, known locally as kpo-fire, where corruption spans artisanal refiners, compromised security forces, and political elites who enable pipeline sabotage and crude oil diversion (Eze & Nwankwo, 2024; Ogunmokun, 2024). This network originated during the 1990s MOSOP conflicts but escalated after the 2016 amnesty program, as former militants, disillusioned by unmet developmental promises, increasingly engaged in oil theft (Ikelegbe & Umukoro, 2023).

Between 2023 and 2025, Bayelsa experienced heightened insecurity, marked by over 1,200 violent incidents, ranging from kidnappings to inter-communal clashes, with approximately 60% of militant weaponry financed through stolen oil revenues (Rufa’i, 2024; Osuofa, 2025). Efforts to combat corruption, including the EFCC’s Operation Thunderbolt initiated in 2022 and the establishment of Bayelsa’s Oil Commission in 2021, sought to reduce graft through enhanced surveillance and community-led reporting mechanisms, leading to asset recoveries totaling ₦15 to ₦20 billion (Eze & Nwankwo, 2024). Nevertheless, academic assessments suggest these interventions fail to dismantle the underlying patronage networks among elites, merely displacing rather than resolving the issue (Schultze-Kraft et al., 2024; Ogunmokun, 2024). The situation in Bayelsa underscores how systemic corruption converts resource abundance into enduring instability.

1.2 Statement of the Problem

Corruption’s entrenchment in Bayelsa’s oil sector sustains a vicious cycle of theft and militancy, with state actors allegedly receiving 20% to 30% kickbacks from bunkering syndicates, undermining anti-corruption efforts and exacerbating insecurity (Osuofa, 2025; Ikelegbe & Umukoro, 2023). Despite federal interventions such as the 2023 Pipeline Protection Contract and Bayelsa’s Oil Commission, theft volumes increased by 15% in 2024, funding militant groups responsible for 65% of regional violence (Rufa’i, 2024; Eze & Nwankwo, 2024). Measures including EFCC raids recovered minimal assets, under 20% of traced proceeds, due to judicial delays and informant protection failures (Ogunmokun, 2024).

This persistence erodes community trust, displaces over 50,000 residents annually, and costs Nigeria $10 billion in lost revenue. However, empirical studies on localized anti-corruption efficacy in Bayelsa remain scarce, focusing instead on aggregate Delta-wide trends (Schultze-Kraft et al., 2024). Without disaggregated analysis, reforms risk elite co-optation, perpetuating insecurity and hindering sustainable development.

1.3 Objectives of the Study

The main objective is to investigate corruption’s role in oil theft and militancy-driven insecurity in the Niger Delta, and evaluate anti-corruption measures in Bayelsa State, Nigeria.

Specific objectives are:

1. To analyze the mechanisms through which corruption facilitates oil theft and sustains militancy in Bayelsa from 2019 to 2025.
2. To assess the scope and outcomes of anti-corruption initiatives, such as the Bayelsa Oil Commission and EFCC operations, in curbing insecurity.
3. To propose integrated strategies for enhancing transparency and community involvement in resource governance.

1.4 Research Questions

1. How does corruption enable oil theft and militancy in Bayelsa State?
2. What is the effectiveness of anti-corruption measures in reducing theft-related insecurity?
3. What reforms can strengthen anti-corruption efforts for sustainable peace in the Niger Delta?

1.5 Significance of the Study

This research addresses a significant gap in resource governance literature by offering Bayelsa-specific insights into the relationship between corruption and militancy, which informs federal policies such as the Petroleum Industry Act 2021 (Schultze-Kraft et al., 2024; Ogunmokun, 2024). The findings provide the Bayelsa State Government and EFCC with evidence-based recommendations to enhance community monitoring, potentially leading to the recovery of 30–40% more stolen assets (Osuofa, 2025). Additionally, civil society organizations and international bodies like UNODC can utilize these insights to advocate for greater transparency in bunkering prosecutions (Ikelegbe & Umukoro, 2023). Academically, the study contributes to the political economy analysis of extractive conflicts in Africa (Rufa’i, 2024; Eze & Nwankwo, 2024).

1.6 Scope and Limitations of the Study

The study examines oil theft, militancy, and anti-corruption efforts in Bayelsa State between 2019 and 2025, drawing on data collected from Yenagoa, Southern Ijaw, and Ekeremor local government areas while excluding other Delta states. Key constraints involve security challenges restricting field research, possible bias among informants who fear retaliation, and incomplete Economic and Financial Crimes Commission records regarding active investigations.

1.7 Operational Definition of Terms

• Oil Theft: Illegal extraction and sale of crude oil from pipelines or wells.
• Militancy: Armed resistance by groups demanding resource control or reparations.
• Corruption: Abuse of public office for private gain in oil sector oversight .
• Niger Delta Insecurity: Violence from theft, militancy, and reprisals in Bayelsa.
• Anti-Corruption Measures: Institutional actions like commissions and raids to recover stolen assets.
• Bayelsa State: Oil-producing Niger Delta state with high bunkering activity.

References

Eze, C. N., & Nwankwo, C. J. (2024). Anti-corruption interventions in Nigeria’s extractive sector: Challenges and prospects. Journal of African Governance and Development, 13(2), 78–95.

Ikelegbe, A., & Umukoro, O. (2023). Resource control struggles and militancy resurgence in the Niger Delta. African Journal of Political Science and International Relations, 17(3), 112–130.

Ogunmokun, O. A. (2024). The political economy of oil theft in Nigeria: Implications for national security. Journal of Sustainable Development in Africa, 26(4), 45–62.

Osuofa, U. O. (2025). Addressing crude oil theft in Bayelsa State: Human security challenges and intervention strategies. International Journal of Social Sciences and Management Policy and Conflict Resolution, 1(1), 1–18.

Rufa’i, M. A. (2024). Insecurity and resource conflicts in the Niger Delta: The case of Bayelsa State. Small Wars & Insurgencies, 35(2), 234–252. https://doi.org/10.1080/09592318.2024.2314567

Schultze-Kraft, M., Moriconi, A., & Moriconi, A. (2024). Organized violence, crime, and oil theft in the Niger Delta. Journal of Conflict, Security and Development, 24(1), 89–110.