A civil society organisation, the Nigeria Citizens’ Watch for Good Governance (NCWGG), has rejected calls for the resignation of the Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company Limited (NNPCL), Engr. Bashir Bayo Ojulari, describing the demand as unfounded and politically motivated.

The group said the allegations of opaque security spending levelled against the NNPCL boss were based on a misunderstanding of the company’s operations and ignored the gains recorded in protecting Nigeria’s oil infrastructure and increasing crude oil production.

Speaking at a press conference in Abuja on Monday, the National Chairman of NCWGG, Collins Idowu Eshiofeh, said Ojulari deserved commendation rather than condemnation for leading what he described as a new era of transparency and commercial viability at the national oil company.

He was reacting to a publication calling on the NNPCL chief executive to resign over approximately N7.13 trillion recorded as energy security and pipeline protection expenditure in the company’s 2024 financial statements.

Eshiofeh argued that the expenditure was not a single contract or an undisclosed payment but a comprehensive national security programme aimed at tackling crude oil theft, pipeline vandalism and illegal refining.

According to him, the programme covers aerial and maritime surveillance, deployment of advanced leak detection technologies, community intelligence gathering, logistics support for security agencies and the rehabilitation of damaged pipelines across the country.

He maintained that the investment had delivered measurable results, noting that Nigeria’s crude oil production had risen from about 900,000 barrels per day in 2022 to an average of 1.5 million barrels per day in 2024, with recent production consistently exceeding 1.6 million barrels daily, including condensates.

He said the increase represented an additional 600,000 barrels per day, translating to about $48 million in additional daily revenue at an average oil price of $80 per barrel and over $17 billion annually.

“The return on investment is several multiples of the expenditure being criticised. These are measurable outcomes backed by operational records,” he said.

The organisation also claimed that the security operations had led to the dismantling of more than 6,000 illegal refineries, recovery of hundreds of millions of litres of stolen crude oil and refined products, and the removal of thousands of illegal pipeline connections.

Defending the company’s transparency record, the group dismissed claims that Ojulari’s leadership had become synonymous with secrecy and weak accountability.

It noted that NNPCL had published audited financial statements showing profits after tax and now releases monthly financial and operational reports, while procurement information and contract awards are made available through the company’s transparency portal.

The group argued that all security contracts undergo due procurement processes in line with the Public Procurement Act and the company’s procurement guidelines.

It also rejected suggestions that the security expenditure amounted to a backdoor fuel subsidy, insisting that the spending was strictly for protecting critical national assets and had no connection with the pricing of Premium Motor Spirit (PMS).

“The fuel subsidy was removed in May 2023. Energy security spending is an investment in safeguarding oil infrastructure and cannot be equated with subsidy payments,” Eshiofeh said.

Describing Ojulari as “a man of unimpeachable integrity,” the organisation highlighted his over three decades of experience in the oil and gas industry, including his previous roles as Managing Director of Shell Nigeria Exploration and Production Company (SNEPCO) and Chief Operating Officer of Renaissance Africa Energy.

It added that the NNPCL boss remained committed to implementing President Bola Tinubu’s reforms in the petroleum sector, including fuel subsidy removal and the liberalisation of the downstream market.

The group urged President Tinubu to ignore what it described as “mischievous” calls for Ojulari’s resignation, alleging that those behind the campaign were individuals seeking to reverse reforms and restore the old order in the oil industry.

It reaffirmed its support for the NNPCL Board, chaired by Engr. Ahmadu Musa Kida, and the management led by Ojulari, saying continuity in leadership was essential to sustaining reforms and strengthening investor confidence.

The organisation called on the National Assembly to conclude its ongoing investigation into the expenditure, expressing confidence that the probe would establish that the funds were properly utilised and had delivered value to the country.