The bill seeks to amend sections of the extant Act while introducing new sections with the aim of bringing the provisions of the Act into congruence with industry best practices. The bill proposes to amend the extant Act by:
Giving Nigerian companies first consideration in the award of oil blocks, oil field licences, oil lifting licences and in all projects for which contract is to be awarded in the Nigerian oil and gas industry subject to the fulfilment of such conditions as may be specified by the Minister;
Requiring an operator bidding for a licence, permit or interest in the Nigerian oil and gas industry to submit a Nigerian Content Plan to the Nigerian Content Development and Monitoring Board (the Board) demonstrating capacity to comply with the Nigerian content requirements;
Giving the Minister of Petroleum the power to review the minimum target level for Nigerian content set in the schedule where the level is considered beyond the capacity of Nigerian companies by the board;
Requiring operators provide the Board for approval, advertisements, pre-qualification criteria, technical bid documents, technical evaluation criteria and the proposed bidders lists for any proposed project, contract, subcontract and purchase order in the Nigerian oil and gas industry estimated by an operator to be in excess of $1,000,000 (USD) for contracts denominated in US Dollars or ₦100,000,000 for contracts denominated in Naira; and
Requiring operators submit a list of all contracts, subcontracts and purchase orders exceeding $1,000,000 (USD) for contracts denominated in US Dollars or ₦100,000,000 for contracts denominated in Naira, which will be bided or executed in the upcoming quarter at least thirty (30) days prior to the first day of each quarter.
The bill went through second (2nd) reading at the Senate and was subsequently referred to the Committee on Local Content for further consideration.