HOW PRACTICAL IS THE PRACTICAL NIGERIAN CONTENT FORUM?

The Practical Nigerian Content (PNC) is an annual event that brings together government and industry stakeholders to discuss and debate key issues surrounding local content in Nigeria. The event started in 2010 the year of the Nigerian Content Act, and is delivered in partnership with the Nigerian Content Development and Monitoring Board (NCDMB), the body established by the Nigerian Content Act to enforce the provisions of the Act in the Nigerian oil and gas industry. The primary organiser of the event is CWC Group, a UK based global company that has for over a decade been “providing top-quality information and opportunities for governments and industry players to come together to promote commerce and develop relevant skills”.

While it is not disputable that the event being organised by CWC is an applaudable event, it is pertinent to ask if this event that showcases the extent of the success of the Nigerian Content Act can be organised in violation of the spirit and letter of the Act, in other words, how practical is the Practical Nigerian Content Forum?

It is worthy of note that the Nigerian Oil and Gas Industry Content Development Act was signed into law in 2010, and since then has continued to guide and guard the development of local content in the Nigerian oil and gas industry. Reports from the regulator, and feelers from some of the indigenous oil companies indicate that so far, the Act has been successful in encouraging development of local content, though a lot more has to be done in terms of enforcement. The Act contains elaborate provisions which emphasises on the use of local content in all facets of operations in the oil and gas industry. It is thus ironical that the event to showcase the success of this Act is being organised in stark violation of the provisions of the Act, and more ridiculously, with the solidarity of the body supposed to enforce the provisions of the Act.

First, the said organiser of the event, the CWC Group is not a Nigerian company, it is a UK company with its headquarters in the UK. Secondly, the registration fee for the event (£1,890) is not in naira but in British pounds. Obviously, this money would be paid into a UK based account, contrary to section 52 of the Nigerian Oil and Gas Industry Content Development Act, 2010.

It is indeed unfortunate that the NCDMB itself which ought to enforce the provisions of the Act has been used as a potent tool in this clandestine violation of the Nigerian Content Act and the whole idea of local content in the country’s oil and gas sector. This is most ridiculous and casts a lot of doubt on the ability of the Board to understand and appreciate its mandate as stated by the Act.

Accordingly, I call on the Board to take a look into this and perform its statutory duty as the custodian and enforcer of local content in Nigeria and require the CWC Group to comply with the Nigerian Content Act in all its activities in Nigeria.

Harrison Declan, MCIArb(UK) is an editor of Energy Law Review, and author of the book “Local Content in Africa’s Petroleum States: Law and Policy”.