Amanze Chinonye
The Nigerian Content Development and Monitoring Board (NCDMB) has dismissed claims that the three Executive Orders issued by President Bola Tinubu in March 2024 weakened the Nigerian Oil and Gas Industry Content Development (NOGICD) Act.
Speaking during a Local Content Masterclass at the ongoing African Energy Week in Cape Town, South Africa, NCDMB officials said the directives were designed to strengthen efficiency in the oil and gas sector rather than erode the provisions of the Act.
Engr. Abayomi Bamidele, Director of Capacity Building, explained that some stakeholders had misinterpreted the directives to mean that compliance with the NOGICD Act was no longer mandatory.
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“The Special Adviser to the President on Energy clarified that the directives did not set aside local content. They only mandated that existing capacities must be patronized and middlemen excluded from the contracting process,” he said.
The Executive Orders cover Local Content Compliance, Reduction of Petroleum Sector Contracting Costs and Timelines, and Oil and Gas Companies (Tax Incentives, Exemption, Remission).
Bamidele noted that NCDMB had collapsed its contract approval touchpoints from nine to five, helping to shorten contracting cycles, cut project costs, and stimulate new investments.
He also revealed that qualified international service companies can now obtain Nigerian Content Equipment Certificates (NCEC) to participate in deepwater operations, in line with both the Act and the Presidential directives.
The Board, he added, is also pursuing major capacity development projects, including the Brass Island Shipyard with NLNG support and the completion of Oil and Gas Parks in Cross River and Bayelsa states.
Other NCDMB executives highlighted ongoing initiatives. Silas Ajimijaye, General Manager Monitoring and Evaluation, said the transfer of assets to indigenous operators had not weakened compliance with the Act. He stressed the Board’s continued monitoring of projects and its commitment to supporting research and development, noting that six centres of excellence have been established across Nigerian universities.
On financing, Fateemah Mohammed, General Manager of the Nigerian Content Development Fund (NCDF), said the intervention fund provides single-digit loans to service companies, contractors in local communities, and women entrepreneurs in oil and gas. She cited the ₦50 billion Community Contractors Fund and the $20 million Women in Oil and Gas Fund as key drivers of inclusivity and economic growth.
Panelists urged other African oil and gas-producing nations to design local content strategies suited to their domestic realities, stressing that effective policies must align with local manpower, skills, and technological capacities.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
