Africa Urged to Copy Nigeria’s Local Content Model

  • Nigeria’s regulatory structure shows how collaboration boosts local content.
  • Africa can strengthen value creation through improved transparency and policy reforms.

The call for African nations to embrace Nigeria’s local content model gained momentum at the 4th CECLA Conference in Brazzaville. The Petroleum Technology Association of Nigeria (PETAN) encouraged governments and industry leaders to deepen public-private cooperation for stronger value creation. The Association argued that collaboration remains the strongest driver of sustainable growth across the continent.

Engr. Kevin Nwanze, who represented the PETAN Chairman, said Nigeria’s local content model demonstrates what is possible when regulation and cooperation align. He noted that the Nigerian Oil and Gas Industry Content Development Act has transformed participation in the sector. The Act, implemented by the NCDMB, strengthened accountability and increased local involvement.

Since 2010, Nigeria’s in-country value retention has risen from five per cent to 56 per cent. Nwanze described this growth as clear evidence of consistent partnership. He added that rising project complexity makes cooperation essential for success across African markets.

He explained that collaboration requires balance. Therefore, regulation must support partnership while encouraging healthy competition. He stressed that Nigeria’s progress stems from a strong regulatory backbone that promotes fairness and transparency. He also argued that similar structures can help other African countries achieve long-term gains.

Across the continent, many large-scale projects rely on international capacity and local knowledge. Because of this, Nwanze warned that weak cooperation leads to delays, cost overruns and reduced benefits for host nations. He also highlighted challenges such as poor policy environments, limited finance, capacity gaps and inconsistent standards.

He urged governments to provide stronger enabling conditions that ease access to finance and simplify procurement systems. Nwanze also called for greater transparency through open procurement, full disclosure of contract awards and improved oversight. These measures, he said, will build trust and support sustainable partnerships.

On technology transfer, he emphasised the role of private companies in developing local suppliers. He referenced successful Nigerian models, including the Egina FPSO consortium, the EnServ–Schlumberger alliance and the Kwale Gas Gathering Hub.

Looking ahead, he advised African nations to invest more in skills, innovation and emerging areas such as energy transition, CCUS and decommissioning. He insisted that progress depends on strong regulations and empowered agencies capable of driving implementation.

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