• Board plans nationwide capacity audit, new vendor development programme
• Warns firms against withholding statutory local content fund remittances
• Says faster project approvals critical to sustaining industry growth

Nigeria’s 15-year drive to deepen indigenous participation in the oil and gas industry has reached a historic milestone, with local content rising from less than five per cent in 2010 to 61 per cent in 2026, the Nigerian Content Development and Monitoring Board (NCDMB) has announced.

The Executive Secretary of NCDMB, Engr. Felix Omatsola Ogbe, disclosed this on Monday while delivering the keynote address at the 25th Nigeria Oil and Gas (NOG) Energy Week Conference and Exhibition in Abuja.

Speaking on the theme, “Shaping the Next Phase of Local Content Growth,” Ogbe described the achievement as evidence that Nigeria’s local content policy has fundamentally transformed the ownership structure and operational landscape of the petroleum industry.

According to him, Nigerians have progressed from playing marginal roles in the sector to owning strategic assets, executing complex engineering projects and providing critical services across the oil and gas value chain.

Tracing the industry’s journey since the enactment of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act in 2010, he said local participation has expanded from below five per cent to 61 per cent through deliberate policy implementation and sustained industry collaboration.

“Today, Nigerians own assets, provide services, execute projects and contribute significantly across the oil and gas value chain,” Ogbe said.

He, however, stressed that the next phase of the local content agenda must move beyond compliance and participation to focus on industrialisation, manufacturing, technology development, sustainability and global competitiveness.

“The reality is that Nigeria’s energy sector has the capacity to support a vibrant manufacturing ecosystem. Yet, many local manufacturers continue to operate below capacity due to limited market access, technology gaps and financing constraints,” he stated.

To address those challenges, Ogbe announced that the NCDMB, working in collaboration with the Nigerian Petroleum Exchange (NIPEX), the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), NNPC Limited and the Oil Producers Trade Section (OPTS), has developed a harmonised framework for grading in-country capacities under the Presidential Directive on Local Content.

He disclosed that the next phase of the initiative will be a comprehensive industry-wide capacity audit of manufacturers and service providers scheduled for the third quarter of 2026.

According to him, the exercise will provide a detailed inventory of existing industrial capabilities, eliminate unnecessary intermediaries in contracting processes, shorten procurement timelines and encourage direct patronage of qualified indigenous service providers.

“The outcome will provide a detailed understanding of existing capabilities, eliminate intermediaries, improve contracting cycle timelines and ensure direct patronage of established service providers,” he said.

Ogbe explained that the harmonised framework has classified service providers into five categories, with Class Four (Emerging Players) and Class Five (Essential Vendors) forming the foundation of a new vendor development programme aimed at helping indigenous firms evolve into manufacturers and Original Equipment Manufacturers (OEMs).

Under the initiative, he said, participating companies will receive technical partnerships, improved access to financing and guaranteed market opportunities to strengthen local manufacturing capacity.

The NCDMB Executive Secretary also outlined measures introduced to improve the ease of doing business in the industry.

He said the Board has issued new Nigerian Content Equipment Certificate (NCEC) Application Guidance Notes alongside a dedicated escalation email platform to reduce approval delays and improve service delivery.

He added that project certification timelines have also improved significantly amid what he described as a resurgence of major oil and gas projects over the past year.

On human capital development, Ogbe disclosed that more than 20,000 Nigerians have registered for the Board’s Field Readiness Training Programme, which focuses on ten high-demand technical skills required across the petroleum industry.

He further announced that NCDMB, in partnership with the Oil and Gas Trainers Association of Nigeria (OGTAN), has introduced the Nigerian Content Trainers Registration Certificate (NCTRC) to standardise the quality of industry training and strengthen workforce development.

Providing an update on the Back-to-the-Creek Initiative, unveiled during NOG Energy Week 2025, Ogbe said implementation has commenced, with project sites already identified in Bayelsa, Delta and Rivers states, while designs for the proposed learning facilities have been completed.

He also disclosed that the Board recently launched its Cradle-to-Career Programme, which recognised and rewarded 500 outstanding secondary school students from underserved communities in Delta State.

According to him, another 500 beneficiaries will be enrolled under the programme before the end of the current quarter.

Ogbe issued a strong warning to operators over compliance with statutory contributions to the Nigerian Content Development Fund (NCDF), declaring that the Board would intensify enforcement against defaulting companies.

“It is therefore unacceptable for any company to withhold, delay or fail to remit its statutory contributions,” he said.

He stressed that possession of a valid NCDF Compliance Certificate has become a critical requirement for participation in industry opportunities and warned that the Board would not hesitate to deploy all available regulatory measures against violators.

Ogbe maintained that the sustainability of Nigeria’s local content achievements ultimately depends on continuous investment and project execution.

He argued that indigenous capacity, manufacturing and employment cannot expand in the absence of new oil and gas projects.

“No projects; no local content. Capacity cannot grow in isolation. Manufacturing cannot thrive without demand,” he declared.

To accelerate investment decisions, Ogbe proposed the institutionalisation of an annual “Final Investment Decision (FID) Day” during either the Nigeria Oil and Gas Energy Week or the Nigeria International Energy Summit (NIES), where key regulatory approvals could be concluded to unlock major upstream investments.

He said faster project sanctioning would stimulate manufacturing, deepen local content, expand employment and strengthen the contribution of the oil and gas sector toward the Federal Government’s ambition of building a $1 trillion Nigerian economy.