Agency nets N16.2 billion from oil firms

The Nigerian Content Development and Monitoring Board (NCDMB), says it realised $45 million (about N16.2 billion) revenue between January and April this year under the Nigerian Content Intervention Fund (NCIF).

Obinna Ofili, the General Manager, NCIF Board, Stated this at a capacity building workshop for Energy and Finance correspondents in Lagos on Monday.

According to Mr Ofili, NCIF is being funded from one per cent deductions from contracts awarded by operating International Oil Companies (IoCs) in the country.

He said the board would also be saving about N5 million for the federal government annually, beginning from 2018 after exiting appropriation from the national budget.

Mr Ofili said that about 157 operators were presently contributing to the fund, adding that more than $72 million came into the fund in 2017.

According to him, the board is presently operating on self-sustenance as it no longer receives subvention from government.

He said by so doing, the board was saving N5 million for the government every year which represents its operating costs from the national budget.

Mr Ofili also said the board had been able to retain $5 billion annually in-country from yearly $20 billion spent on the oil industry.

“The board targets to achieve about 70 per cent which translates to $14 billion retention in the next ten years,’’ he explained.

Mr Ofili said besides the 45 million dollars realised by NCDMB, it had $200 million, adding that the fund would help increase indigenous participation in the oil and gas industry.

According to him, it will also promote growth and development of the Nigerian Content activities connected with sectors of the industry.

“The fund will also deepen the creation of linkages to other sectors of the national economy and boost industry contributions to growth of National Gross Domestic Product (GDP), among others.

The NCIF is a pool of funds made available by NCDMB, and managed by the Bank of Industry (BoI).

The aim of the fund is to tackle funding needs of indigenous manufacturers, service providers and other key players in the oil and gas industry.

(NAN)