The Nigerian Content Development and Monitoring Board (NCDMB) says it will soon commence a nationwide joint capacity audit.
The board said that it would also introduce a harmonised contractor grading system to eliminate intermediaries and strengthen local content in the industry.
The Executive Secretary of NCDMB, Mr Felix Ogbe, disclosed this while delivering the keynote address at the 25th edition of the 2026 Nigeria Oil and Gas (NOG) Energy Week on Monday in Abuja.
Ogbe, represented by Mr Abayomi Bamidele, NCDMB’s Director, Capacity Building, said the initiative would ensure that only companies with proven technical capacity secured contracts.
He said that it would also ensure that genuine Nigerian manufacturers and service providers had direct access to opportunities in the industry.
“As agreed under the harmonisation roadmap, the next key action is to commence modification of our various certification portals.
“This is in readiness for the joint industry capacity audits of in-country manufacturers and service providers operating within the oil and gas industry.
“The outcome of the in-country capacity audit will provide a detailed understanding of existing capabilities, eliminate intermediaries, improve contracting cycle timelines, and ensure direct patronage of established service providers for business sustainability and growth.
“The findings from the exercise will also enable the board and industry stakeholders to make informed decisions regarding investment priorities, technology partnerships, financing support, and policy interventions,” he said.
He said that the framework was jointly developed by the NCDMB, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), NipeX, the Petroleum Technology Association of Nigeria (PETAN), the Oil Producers Trade Section (OPTS) and other stakeholders.
According to him, it is in line with the Presidential Directive on Local Content Compliance.
Ogbe said the initiative would introduce a harmonised five-class contractor grading system to replace the different classification models currently used by industry regulators.
He said the uniform system would eliminate inconsistencies in contractor classification and provide a single industry-wide standard.
He said the Board would commence the joint capacity audit in the third quarter, to physically verify the facilities and operational capabilities of service providers rather than rely solely on documents submitted online.
According to him, the exercise will expose firms without genuine operational capacity and eliminate middlemen who secure contracts only to subcontract them to companies with the required facilities.
“The audit will also provide government and investors with accurate information on available industrial capacity, support investment decisions and identify areas requiring further development,” he said.
Ogbe said that the reforms had become necessary as Nigeria prepared for major deep-water oil projects expected to boost activities in the petroleum sector.
He said that the board needed to determine the capacity of indigenous firms to execute the projects and identify areas where intervention would be required to bridge existing gaps.
He reiterated the board’s commitment to achieving 70 per cent Nigerian content, adding that the next phase of implementation will focus on expanding local capacity beyond regulatory compliance.
Earlier, the Portfolio and Country Director of DMG Nigeria Events, Mrs Wemimo Oyelana, said Nigeria’s local content policy had become a global reference point.
Oyelana said that the policy had increased indigenous participation in the oil and gas industry from less than five per cent to more than 61 per cent.
She urged stakeholders to move beyond fabrication and assembly into technology development, research and innovation, describing local content as a catalyst for sustainable economic growth rather than merely a compliance obligation.
