FG Mandates Oil Firms to Prove Local Content Remittances

The Federal Government has directed all upstream oil and gas operators to secure compliance certificates confirming their one percent contributions to the Nigerian Content Development Fund (NCDF), as mandated by law.

The Nigerian Content Development and Monitoring Board (NCDMB) introduced the Nigerian Content Compliance Certificate System during a sensitisation workshop in Lagos to ensure industry-wide adherence to Nigerian Content regulations.

Executive Secretary of the NCDMB, Felix Ogbe, said the certificate provides a clear and objective standard for compliance while enabling the board to enforce regulatory oversight more effectively.

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Ogbe explained that the programme is not just a workshop but a renewed commitment to deepen Nigerian content in the oil and gas sector and improve access to funding for local firms. He also unveiled an upgraded NCDF payment portal to simplify remittance processes and allow for real-time compliance tracking.

He noted that with expected increases in remittances following stricter enforcement, the system upgrade came at the right time.

At the event, oil companies and contractors were also sensitised on the revised Community Contractors Finance Scheme. The scheme, managed by First City Monument Bank (FCMB), offers a ₦50 million loan at 8% annual interest to contractors executing projects in host communities.

Ogbe said the redesign removes access barriers and promotes greater community involvement in the oil and gas value chain.

Speaking on the Nigerian Content Intervention Fund, Ogbe disclosed that the combined $400 million fund managed by the Bank of Industry and the Nigerian Export-Import Bank has so far supported 130 companies. He confirmed that efforts are ongoing to expand access to the fund across the industry and build more indigenous capacity.