Natasha urges NUPRC to implement policies promoting local content

Chairperson of the Senate Committee on Local Content, Senator Natasha Akpoti-Uduaghan, has challenged the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to enforce policies compelling International Oil Companies (IOCs) to prioritize local firms for project execution.

At a high-profile meeting involving the Senate Committee on Appropriation, the Nigerian National Petroleum Corporation (NNPC), and the NUPRC, the senator raised concerns over the systemic sidelining of Nigerian companies, using Samsung Heavy Industries Nigeria as a case study.

Despite a $272 million investment in a state-of-the-art fabrication facility in Lagos and the training of over 500 Nigerians, Samsung has only been awarded one project since 2013—a situation Senator Akpoti-Uduaghan described as both unsustainable and economically detrimental.

“Local companies like Samsung possess the capacity and infrastructure to execute upstream projects efficiently,” Senator Akpoti-Uduaghan said. “By engaging such companies, we can reduce production costs, shorten turnaround times, and, most importantly, create thousands of jobs for Nigerians.”

She expressed dismay that IOCs continue to outsource contracts to foreign firms, undermining the economic potential of local businesses that have invested heavily in capacity building and infrastructure.

Akpoti-Uduaghan called on the NUPRC to enforce compliance with local content laws, emphasizing that Nigeria’s economic future hinges on inclusive policies that favor homegrown enterprises.

“This neglect sends the wrong signal to foreign investors, who are often lured with promises of local engagement and mutual benefit. It’s time we uphold those promises to foster trust and economic growth,” she added.

Responding to the senator’s concerns, NUPRC Chief Executive Gbenga Komolafe acknowledged the challenges but offered a more optimistic outlook.

He noted an increase in Nigeria’s rig count from 94 percent to 31 percent, attributing it to recent improvements in capital expenditure and policy implementation.

“While these numbers are promising, we recognize the need for deliberate action to ensure local content compliance becomes the standard, not the exception,” Komolafe stated.