Local Content Critical For Nigeria Economic Development – Senator Adeola

MICHAEL AKINOLA

Senator Solomon Adeola (APC, Lagos West), the pioneer Chairman of Senate Committee on Local Content, has stated that Nigeria has a lot to gain economically by faithful implementation of the Nigerian Oil and Gas Industry Content 
Development Act (NOGICD) Act 2010 relating to the oil and gas industry as well as amendment of the law to embrace manufacturing, construction and communication and information technology sector.

Addressing participants at the opening of 2019 Local Content Stakeholders Retreat with the theme: “Deepening Legislative-Executive Relationship for Better Sectoral Performance” at Transcorp Hilton, Abuja, Senator Adeola said that since the coming on stream of the Act and the operation of the Nigerian Content Development Monitoring Board, NCDMB, many Nigerians are now benefiting from the oil and gas industry in terms of ownership of part of the processes in the industry as well as conscious capacity building for Nigerians who can work not only in Nigeria but all over the world where their skills are needed.

“At present, no major oil and gas contract takes place without capacity building and training for Nigerians built into such contracts. These have created a pool of specialised manpower for the industry that are manning key infrastructure that were formerly handled by foreigners. For instance the Egina Deep Offshore project that is now on stream was able to train about 500 Nigerians in its execution and these included such highly skilled capacity building as sub sea engineers” the Chairman stated.

Senator Adeola stated that based on the numerous benefits of the Local Content Act, it should be one of the agenda of the 9th National Assembly to quickly amend the law to include other sectors like manufacturing, construction and ICT that is still majorly dominated by foreigners adding that the regulatory body of the law, NCDMB should be further empowered particularly in the area of manpower to carry out regulations as many oil and gas companies and International Oil and Gas Companies (IOCs) are still flouting the law in their operations in Nigeria.

“I want to also suggest that the Local Content Fund contributed by stakeholders now at about $200 million should be made accessible to genuine  investors who are contributors to the fund. Nigerians Companies should be able to buy vessel from their manufacturers directly using the fund which will encourage accountability” he stated.

In his own address to the retreat, the Executive Secretary of NCDMB, Engineer Simbi Wabote, said the nation has achieved much in the area of implementation of the law since 2010 with Nigerians playing key roles in the oil and gas industry to the level of heading foreign firms in Nigeria adding that the goal of domiciliation and domestication of value adding activities and not just “Nigerianization” is being achieved creditably.

The Executive Secretary commended Senator Adeola for the strides he has made on the legislative side as in spite of the newness of the Committee in the Senate, he has been able to keep major industry players on their toes by not only relying on NCDMB information on regulations but also prying directly into the activities of the IOCs.

The retreat was attended by Senators Binta Garba Mashi, Baba Kaka Garbai, Sabe Abdullahi, Andrew Uchendu, Albert Akpan, Yahaya Lawan Gumau, Dino Melaye, Abiodun Olujimi And Abdullahi Gumel as well as top management staff of NCDMB.