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Senate Vows to Punish Violators of Local Content Laws

Nathaniel irobi by Nathaniel irobi
July 25, 2025
in News
Easter Message: CAN, Kukah, Kaigama Advocate for Struggling Nigerians as Leaders Call for Unity
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. Opens probe

By James Adamu

The Senate has warned violators of the country’s local content laws, saying that it will bring its full legislative weight to ensure they are punished.

Companies, contractors and other players have been noted to largely observe the laws more in breach than in compliance with the provisions.

The Senate Committee on Local Content, while issuing the warning during its session with stakeholders in Abuja, disclosed that it was “currently reviewing complaints submitted by local operators in the Oil and Gas sector as well as local operators in the Non-Oil sector, regarding poor compliance with Local Content requirements by various organisations.”

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The Chairman of the committee, Sen. Joel-Onowakpo Thomas, said provisions of the Nigerian Oil and Gas Industry Content Development (NOGIC) Act 2010, the Presidential Executive Order No. 5 (2018), as well as the Nigeria First Policy (2025) on Local Content, were being largely violated.

He noted, “These complaints relate to the award and execution of contracts, programme implementation, project delivery, technology transfer obligations, and local workforce development. We are also reviewing Nigerian Content Plans submitted by Oil and Gas companies, Non-Oil and Gas companies, and Government agencies regarding their contract awards, projects and programmes, technology transfer commitments, human capital development, local equipment sourcing, and local manufacturing.

“Additionally, we are investigating issues of delayed development of local capacity in fabrication, engineering, marine operations, research and development, manufacturing, underinvestment in local workforce training and job creation, as well as missed opportunities for domestic advancement in engineering and technology.

“We have noted with concern the slow implementation and enforcement of Local Content policies, which has placed Nigeria at a disadvantage in achieving self-reliance, inclusive growth, and industrialisation.

“This undermines our ability to create jobs, retain value within the country, and build competitive local capacity. We are now more ready than ever to correct these abnormalities wherever they exist. The Senate Committee on Local Content is more determined than ever to ensure full compliance with Local Content requirements in Nigeria.

“We are undertaking a comprehensive review of all current waivers, content plans, and compliance frameworks.

“We are engaging with relevant agencies, companies, and stakeholders to assess impact and ensure alignment with national development priorities, and to enforce sanctions where necessary against organisations, companies, and officials who have been negligent or complicit in violating the Local Content laws and regulations.

The committee urged Nigerians with relevant information to avail it as much as possible to fast-tract the investigation.

Senator Thomas added, “Therefore, the general public, local contractors, and all stakeholders in both the Oil & Gas and Non-Oil sectors are encouraged to submit information and reports on Local Content violations and assist the Committee in its constitutional duty and oversight function to defend national economic interests and protect opportunities for Nigerian citizens. “

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