The Nigerian Content Development and Monitoring Board (NCDMB) has dismissed claims that President Bola Ahmed Tinubu’s Executive Orders on the oil and gas sector weakened or sidelined the Nigerian Oil and Gas Industry Content Development (NOGICD) Act.

Speaking at the Local Content Masterclass during the ongoing African Energy Week in Cape Town, South Africa, the Board stressed that Nigeria’s local content law remains central to the industry’s operations, even as the country aligns with global investment trends.

The session featured NCDMB’s Director of Capacity Building, Engr. Abayomi Bamidele, General Manager for Monitoring and Evaluation, Mr Silas Omomehin Ajimijaye, and General Manager of the Nigerian Content Development Fund (NCDF), Ms Fateemah Mohammed. It was moderated by the Board’s General Manager of Corporate Communications, Dr Obinna Ezeobi.

Bamidele noted that many stakeholders had misinterpreted the Executive Orders, issued in March 2024, as a sign that the NOGICD Act was being pushed aside. He clarified that the directives only mandate full use of existing local capacities and the elimination of middlemen in contracting. “The Special Adviser to the President on Energy has already explained that local content was never set aside. The directives simply streamline processes to ensure efficiency,” he said.

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The three orders include the Presidential Directive on Local Content Compliance, the Directive on Reduction of Petroleum Sector Contracting Cost and Timelines, and the Directive on Oil and Gas Companies (Tax Incentives, Exemptions, Remissions).

According to Bamidele, NCDMB has already restructured its processes in line with the directives, cutting contract approval touchpoints from nine to five, reducing project costs, and shortening contracting cycles. He added that qualified international service firms can now obtain Nigerian Content Equipment Certificates (NCEC) to participate directly in deepwater projects, a move designed to attract investment while remaining consistent with the law.

He further explained that the Board is aligning training programs with in-demand skills for new oil and gas projects, while also pushing ahead with infrastructure such as the Brass Island Shipyard and the Nigerian Oil and Gas Parks in Cross River and Bayelsa States.

Counselling other African nations, Bamidele said local content must be tailored to each country’s realities. “Policy makers need to understand the mindset and skills of their people. Local content only works if it fits the technological, educational, and manpower context of the country,” he said.

Ajimijaye, speaking on compliance, outlined how the Board ensures companies adhere to the NOGICD Act through strict monitoring. He said oil and gas asset transfers to indigenous operators have not weakened compliance, as NCDMB enforces the same protocols with new owners. He also highlighted the Board’s Research and Development roadmap, with six centres of excellence established across Nigerian universities and 15 innovation projects currently supported through the R&D Fund.

On financing, NCDF General Manager Fateemah Mohammed detailed how the Nigerian Content Intervention Fund (NCI Fund) provides single-digit interest loans to indigenous companies. 

She pointed to initiatives like the N50bn Community Contractors Fund, which gives local contractors access to up to N100m to execute oil and gas projects, and the $20m Women in Oil and Gas Fund managed by NEXIM Bank, designed to expand opportunities for women entrepreneurs.

Mohammed said the Board hopes to expand the fund in partnership with other financial institutions, while encouraging other African nations to replicate such models to deepen participation in their own oil and gas sectors.

At the African Energy Week gathering, NCDMB positioned Nigeria as a leader in local content development, balancing efficiency with inclusiveness, and countering any notion that recent reforms have diluted the country’s landmark NOGICD Act.

Meiza Nigeria