Remittance of 1% Nigerian Content Levy Remains Mandatory — NCDMB

The Nigerian Content Development and Monitoring Board has reiterated that operators, contractors, and service providers in Nigeria’s upstream oil and gas sector are legally required to remit a one per cent levy to the Nigerian Content Development Fund (NCDF).

In a statement, Executive Secretary Felix Omatsola Ogbe emphasised that covered entities must remit one per cent of the value of every upstream contract into accounts officially designated by the Board. He stressed that the NCDMB has exclusive authority over the management and administration of the Fund.

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Ogbe explained that NCDF resources are used to support indigenous contractors and service companies, finance capacity development and training, provide access to affordable financing for local participation, and drive sustainable growth across the oil and gas value chain.

He clarified that the NCDF is a ring-fenced statutory development fund established by the National Assembly and is not federal government revenue payable into the Consolidated Revenue Fund. Its collection and administration are governed under Section 104 of the enabling Act.

The Executive Secretary warned that any payment made outside the Board’s designated accounts would not be legally recognised. Companies are urged to ensure strict compliance and seek clarification from the Board before making remittances.

In addition, the NCDMB announced that obtaining the Nigerian Content Development Fund Compliance Certificate (NCFCC) has become mandatory for accessing the Board’s regulatory services and approvals. The certificate confirms that a company has met its statutory obligation to remit the one per cent NCDF levy.

The Board noted that without a valid NCFCC, companies will be denied access to regulatory documents, certifications, approvals, and other clearances issued by the NCDMB.