NCDMB Partners Senate Committee on Local Content to boost Local Content Implementation
The Nigerian Senate Committee on Local Content and the Nigerian Content Development and Monitoring Board (NCDMB) have forged a significant partnership aimed at bolstering local content implementation in the country’s oil and gas sector, with the overarching goal of job creation and economic stimulation.
Key Highlights:
Meeting Overview: Chairwoman Senator Natasha Akpoti-Uduaghan led the Senate Committee in discussions with NCDMB leadership, focusing on mutual concerns and collaborative opportunities.
• Job Creation Focus: Recognizing the pressing economic challenges and high unemployment rates, the Committee urged the NCDMB to utilize the Nigerian Oil and Gas Industry Content Development (NOGICD) Act to foster employment within the oil sector and associated industries.
• Transparency and Accountability: The Committee requested comprehensive performance reports from the NCDMB, spanning third-party investments, capacity-building initiatives, and expatriate workforce management. Additionally, they encouraged the identification of NOGICD Act sections necessitating revision.
• Attention on International Oil Companies (IOCs): Criticism was directed at IOCs for their limited investments in the petrochemical domain, with a call for more substantial contributions to Nigeria’s economy beyond crude oil extraction.
• Collaborative Approach: The NCDMB, represented by Executive Secretary Engr. Felix Omatsola Ogbe, welcomed the Committee’s collaborative spirit and committed to furnishing requested documentation, aiming for shared objectives.
• Current Performance: Notably, the NCDMB reported a 54% local content achievement in 2022 and 2023, targeting a 70% threshold by 2027 as per the Nigerian Content roadmap.
• Investment Prospects: Despite operational model disparities, the NCDMB spotlighted the Nigerian Oil and Gas Parks Scheme (NOGaPs) as a joint initiative to promote local manufacturing and research endeavors.
• Funding and Transparency: Detailed insights were provided on the Nigerian Content Intervention Fund (NCI Fund) and the Nigerian Content Development Fund (NCDF), managed by the Bank of Industry.
The success of the NCI Fund, characterized by high repayment rates and growth, was underscored, with encouragement for women entrepreneurs to access the Women in Oil and Gas fund. Looking Forward:
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This collaborative endeavor signifies a positive stride towards harnessing the oil and gas sector’s benefits for Nigeria. By addressing concerns, enhancing transparency, and encouraging local industry investment, the Committee and the NCDMB aspire to foster job creation, economic diversification, and responsible natural resource management. Stay tuned for updates on the progression of this initiative and its impact on Nigeria’s oil and gas landscape!
