The Nigerian Content Development and Monitoring Board (NCDMB) has launched new contracting cycle guidelines for the Nigerian oil and gas industry.
Director, Project Certification and Authorisation of the NCDMB, Engr. Abayomi Bamidele, who disclosed this during a panel session at the Practical Nigerian Content (PNC) Forum in Yenagoa on Tuesday, maintained that the executive secretary of the board did the commissioning of the guidelines supported by the ministers of state for Petroleum Resources (oil), Prince Heineken Lokpobiri, at the NCDMB tower on Tuesday.
“The Board has launched the new guidelines for the contracting cycle today (Tuesday) in accordance with the executive order issued by President Bola Ahmed Tinubu. This is a milestone that will address the critical hurdle being experienced by operators and contractors in the Nigerian oil industry,” Bamidele said.
Platforms Africa reports that other speakers during the panel themed; “Evaluating Financial Strategies for Increased Local Content Implementation,” eilogised the Presidential Executive Order for its impacts on reducing operational costs.
Stating that there was a need for additional regulatory and policy adjustments, they added that this became necessary to enhance cost competitiveness.
Executive Director – Corporate & Business Development, Forelight Energy Solutions Limited, Lady Gracetiti Fredson, demaded an improvement in the local content funds disbursement process.
Saying that the objectives of the NCDF, NCIF, the Women in Oil & Gas Intervention Fund, and the Working Capital & Capacity Building Fund are being met, Fredson urged the MCDMB to streamline the documentation process for the Women in Oil & Gas Intervention Fund, which she said is now done with about 35 documents.
Managing Director & Chief Executive, Nigerian Export-Import Bank (NEXIM) represented by Hope Yongo, Technical Adviser to the MD/CEO, Nigerian Export-Import Bank (NEXIM), said the operators and contractors in the industry should pay attention to illegal deductions from their transactional funds by commercial banks.
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“This is an aspect that many of you are not given adequate attention to, which if you do, it will save you a lot of losses,” he said.
Executive Director – Finance, Petralon Energy, Adeola Akinrinmade, who moderated the panel session, also demanded the streamlining of the duplication in documentation of requirements for the women in Energy fund.
“This should be done and accompanied by capacity development
“The NCDMB should also help to look into the issue raised that are bothering on the dollar/naira disparity in investment sourcing and transactional cost for gas in the downstream sector.
When one needs to access funds for downstream gas investments, the peg on the NCDMB website is in USD, but the sales of the product will actually be done in Naira. Our plea is that the NCDMB should help us to review this by ensuring that the funding peg too is in Naira,” she said.
Another panelist, Ag. Director – Finance & Personnel Management of NCDMB, Ifeanyi Ukoha, said in a reaction that the Board has addressed many of the challenges raised through consistency in reviewing its policies for the benefit of the industry.
Platforms Africa
