The pioneer Executive Secretary of the NCDMB, Dr. Ernest Nwapa has dismissed speculations that the stringent implementation of local content policy was responsible for the absence of final investment decisions (FIDs) in the country’s oil and gas sector over a period of time.
In a presentation, titled, “Staying the Nigerian Content Course in the Midst of Delivery Challenges,” delivered at the Nigerian Content Academy Lecture Series by the NCDMB, Nwapa stressed that “There are many government policies that are affecting FIDs.”
Nwapa highlighted the growing complexity of the energy landscape, marked by global trends and increased demands for local participation. He warned against undermining local content efforts, stressing that ambiguities in the Presidential Directives of February 2024 had created confusion within the sector and weakened respect for the NCDMB’s authority. “When the Board writes a letter on Nigerian Content, it should stand,” he said.
Tracing the evolution of local content policy, Nwapa noted that while earlier frameworks such as the Petroleum Act (1969), PTDF, and Cabotage Act (2003) aimed at localisation, none matched the impact of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act of 2010. He credited the Act with creating opportunities for young Nigerian engineers and technicians, citing projects like Egina as proof of success.
While acknowledging concerns about high local content costs, he argued that only sustained implementation would reduce them over time. “You either bite the bullet now or lose out completely,” he said, urging project-specific cost assessments and stronger collaboration between the Board and industry players.
He further advised that the Nigerian Content Academy should serve as a think tank for practical solutions to policy and implementation challenges. The weekly Lecture Series aims to deepen awareness of industry trends and empower Nigerians to benefit fully from oil and gas opportunities.
