NCDMB to sanction oil firms for non-compliance with local content Act

Stiff sanctions await oil companies that default or fail to comply with the Human Capacity Development provisions contained in the Nigerian Oil and Gas Industry Content Development Act, the Nigerian Content Development and Monitoring Board (NCDMB) has said.

The Executive Secretary of the Board, Simbi Wabote, made this known recently while delivering a keynote address at the second edition of the virtual stakeholder’s workshop for Human Capacity Development in the Nigerian Oil and Gas Industry.

Speaking on ‘Human Capacity Development: The Pillar for Nigeria’s industrialisation’, the NCDMB boss warned that the Board would enforce periodic forensic audits for HCD programmes and companies found violating the NOGICD Act 2010 and the Ministerial Regulations in executing cost intensive capacity development initiatives as mandated by the Act would be sanctioned.

He said: “It has come to the attention of the board that some operating companies and services companies are reluctant to implement the HCD programmes as directed by the board. Most of the companies are testing the mettle of the Board and I want to use this opportunity to inform erring companies that the board will meet appropriate sanctions to them as prescribed by the Act.”

He added that the board is mandated to ensure that the industry derives maximum benefits from huge investments and also ensure beneficiaries of the HCD training programmes find gainful employment in the industry.

Stressing the importance of human capacity development, Wabote added: “With the rapid advancement in technologies used in the oil and gas industry, our industry will continue to be manned by foreigners and ex-pats, if we do not keep pace with the spate of technological development by developing the human capabilities required for the challenges of modern industrial technologies.

“It is with a view to developing the Nigerian workforce capable of leading and advancing technological developments in the oil and Gas industry and supporting the attainment of Nigerian local Content aspirations that the proponents of the NOGICD Act deemed it necessary to include clauses that mandate Employment and Training in the Act.”

He commended the efforts of some operating companies and services companies that comply with the directives of the Board, noting that the future of the industry will be at risk without adequate investment in Human Capacity Development. He reiterated that Nigeria is leading Africa in Human Capacity Development in the oil and Gas industry.

“I can proudly say that we have the skilled workforce to lead and sustain the development of oil fields in Africa for the foreseeable future. All the major and serious oil and gas operating and service companies have Nigerians in very senior leadership positions and we are beginning to export our workforce across the world”, he added.

The Nigerian Content Boss further revealed that the Board has trained over 13,000 workforces in different skill areas and over 5,000 are gainfully employed in the industry.

This year’s edition of the Human Capital Development (HCD) workshop is aimed at revamping training and development in the Oil and Gas industry in a post-COVID-19 world while raising compliance with the new HCD Learning & Development plan.