By Oke Peter

The Nigerian Content Development and Monitoring Board (NCDMB) has reiterated that the remittance of the one per cent Nigerian Content Development Fund (NCDF) levy remains a statutory obligation for all operators, contractors, and service companies in the upstream segment of Nigeria’s oil and gas industry.


In a statement issued at the Nigerian Content Tower in Yenagoa, Bayelsa State, the Executive Secretary, Engr. Felix Omatsola Ogbe, explained that the NCDF was established under Section 104 of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010 as a dedicated fund to promote the development of Nigerian content in the sector.


Ogbe stressed that all entities covered by the Act are required to remit one per cent of the value of every upstream contract, noting that the Board has exclusive authority to manage and administer the Fund.


According to him, proceeds from the NCDF are deployed to support indigenous oil and gas contractors and service companies, fund capacity development and training, facilitate access to affordable financing for local participation, and drive sustainable growth across the oil and gas value chain.


He clarified that the NCDF is a ring-fenced statutory development fund created by an Act of the National Assembly and is not classified as Federal Government revenue payable into the Consolidated Revenue Fund. Its collection and administration, he added, are expressly governed by Section 104 of the NOGICD Act.


The Executive Secretary emphasised that all remittances must be paid strictly into bank accounts officially designated by the NCDMB, warning that any payment made outside those accounts “shall not be recognised as valid payment of the one per cent (1%) NCDF Levy under the Act.”


He urged companies to ensure strict compliance and seek clarification from the Board where necessary before effecting any remittance. Ogbe also assured stakeholders of the Board’s commitment to transparency, accountability, and the effective utilisation of the Fund to deepen Nigerian content in the industry.


In addition, the NCDMB announced that the Nigerian Content Development Fund Compliance Certificate (NCDFCC) is now a mandatory requirement for accessing the Board’s regulatory services and approvals.


The certificate is issued to companies to confirm full compliance with their statutory obligation to remit one per cent of the value of every upstream contract.


The Board stated that without a valid NCDF Compliance Certificate, companies will not be granted access to regulatory documents, certifications, approvals, and clearances issued by the NCDMB, including the Nigerian Content Equipment Certificate (NCEC), as well as project and contract approvals.


Industry stakeholders were advised to regularise their NCDF remittance status, apply promptly for the Compliance Certificate, and maintain continuous compliance to avoid disruptions to their operations.


The Board further disclosed that the application process for the NCDF Compliance Certificate is fully digital and accessible via the NCDMB online portal. Eligible companies are required to submit relevant contract and remittance details, upload evidence of payments, undergo verification and compliance review, and obtain the certificate upon confirmation.


According to the NCDMB, the Compliance Certificate serves as validation of a company’s standing with the Board and reinforces transparency, accountability, and sustainable development of Nigerian content in the oil and gas industry.