NCDMB Praises Tinubu Oil Sector’s Executive Orders for Strengthening NOGICD Act and SLA
The Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Engr. Felix Omatsola Ogbe, commended President Bola Ahmed Tinubu, GCFR, for introducing three Presidential Executive Orders aimed at incentivizing the Nigerian oil and gas industry. These orders encourage new investments, reduce contracting costs and timelines, and promote cost efficiency in local content requirements.
The Executive Orders are the Oil and Gas Companies (Tax Incentives, Exemption, Remission, ETC) Order 2024; Presidential Directive on Local Content Compliance Requirements, 2024 (EO 41); and Presidential Directive on Reduction of Petroleum Sector Contracting Costs and Timelines, 2024 (EO 42).
Speaking at the Nigerian Content Tower in Yenagoa, Bayelsa State, Engr. Ogbe highlighted that these policy directives reinforce the Nigerian Oil and Gas Industry Content Development (NOGICD) Act and formalize the Service Level Agreements (SLA) introduced by NCDMB in May 2017. The SLAs were initially implemented to expedite approvals for the Nigeria LNG Limited Train 7 project and later extended industry-wide after signing an MoU with NNPC Ltd and five international oil companies in September 2023.
Engr. Ogbe clarified that the Presidential Executive Orders do not diminish NCDMB’s powers or override the NOGICD Act. EO 41 mandates the Board to prioritize local companies with proven capacities for cost competitiveness and timely project delivery. EO 42 reaffirms NCDMB’s duty to streamline approval processes as per SLAs and the NOGICD Act’s section 23, ensuring timely review of project documentation within 10 days.
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He assured compliance with the Executive Orders, emphasizing NCDMB’s pragmatic approach to NOGICD Act implementation and project cost competitiveness.
The objectives of the Executive Orders and SLAs aim to shorten contracting cycles to six months or less, accelerate project development, boost oil production, and enhance the national economy. Engr. Ogbe commended President Tinubu for endorsing these objectives and recognizing Nigeria’s strides in local content development, benefiting the economy and citizens.
NCDMB pledges to maintain its role as a business enabler, acknowledged by PEBEC as the most efficient agency among Federal Government MDAs in 2022 and awarded a PLATINUM rating by the Bureau for Public Service Reforms for self-imposed process reforms.
