NCDMB unveils framework for local content policy monitoring
The Nigerian Content Development and Monitoring Board (NCDMB) has unveiled seven ministerial regulations that will provide a proper framework for monitoring the implementation of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act.
The regulations were approved by the Minister of State for Petroleum Resources, Timipre Sylva in April 2021 and were publicly unveiled at the Nigerian Content Seminar held at the recently concluded 2022 Nigerian Oil and Gas Conference in Abuja.
The Executive Secretary of the NCDMB, Simbi Wabote explained that the regulations were made in line with section 40 of the NOGICD Act, which empowers the Minister to make them establish the minimum standards in facilities, personnel, and technology for training in the oil and gas industry.
He noted that the Regulation on Training in the Nigerian Oil and Gas Industry provides for the minimum standards, facilities, personnel, and technology for training in the oil and gas industry and modalities for involving operators and service providers as partners in training and development, while the regulation for the further growth of indigenous capacity sets out targets to ensure full utilisation and steady growth of indigenous companies engaged in the exploration, seismic data processing, reservoir studies and other facilities.
He added that the regulation for the further growth of Indigenous capacity reinforces the principle of first consideration for Nigerian-made goods and services and details compliance waiver management and the deployment of Capacity Development Initiatives (CDIs) as a tool for the growth of indigenous capacity.
Wabote also explained that the third regulation, which borders on the Registration of Oil and Gas Professionals with Nigerian Professional Bodies stipulates the requirements for any operator or company or professional employee, including expatriates, engaged in any professional service within the industry to register with relevant professional bodies.
Similarly, he explained that the Regulation for the Establishment of Operations in Nigeria 2021 requires an operator to set up facilities or other operations within Nigeria to carry out services otherwise imported into Nigeria.
This particular regulation, he said, “is meant to fully involve the operators in the eradication of importation of goods by jointly developing CDIs to close identified gaps and stipulates the procedure for securing tax and other fiscal incentives for compliant operators.”
The Executive Secretary further explained that the Regulation for Nigerian Oil and Gas Industry Technology Transfer promotes the development of technology in the Nigerian oil and gas industry through the transfer of technology to Nigeria and establishes guidelines, standards and methods for such technology transfer.
Speaking in a panel session on the implementation of the Enforcement and Compliance Regulation, the Head Legal Services Directorate NCDMB, Naboth Onyesoh explained that regulations are subsidiary legal instruments made by the executive arm of government or by its ministries, departments, and agencies (MDAs) to support the implementation of their enabling law. He added that Nigerian Content regulations have direct nexus with sections of the NOGICD Act and are designed to support the Board in the implementation of key sections of the Act.