Nigerian Content Development Fund
Nigerian Content Development Fund (NCDF)
NOGIC act, section 104.
A Fund to be known as the Nigerian Content Development Fund (the “Fund”) is established for purposes of funding the implementation of Nigerian content development in the Nigeria oil and gas industry.
The sum of one per cent of every contrary awarded to any operator, contractor, subcontractor, alliance partner or any other entity involved in any project, operation, activity, or transaction in the upstream sector of the Nigeria oil and gas industry shall be deducted at source and paid into the fund.
The fund shall be managed by the Nigerian Content Development Board and employed for projects, programmers and activities directed at increasing Nigerian content in the oil and gas industry.
Every entity awarding the contract should deduct 1% and remit to the fund.
22ND APRIL,2010
No
It applies to all contracts without any minimum limit.
Yes, it applies all contracts of any nature in the upstream sector.
Yes, all contracts and contractors irrespective of size of contractor or contract.
Deduction should only be made once by an awarding entity on behalf of its contractor, Any payment made by the awarding entity is recoverable from the contractor.
All variations that escalate contract price
All variations that escalate contract price
The Sub-contractor has the primary obligation to pay the 1% deduction, while the Contractor has the obligation to deduct it and remit to the Board. Will not treat the deduction as a tax which must be passed to the contractor, but a contribution imposed by the law on all contracting stakeholders.
Deduction should be made upon award.
It is a product contract sum before taxes.
Reconciliation procedure is already put in place by the Board to address the issue of refund’s owing to over payments.
All deduction to NCDMB will be receipted by NCDMB.
Yes, [deductions will apply to overseas vendors once the contract was awarded by a Nigerian awarding entity or awarded on its bill by a foreign entity.
Deductions shall apply to all upstream contracts awarded within the territory of the Federal Republic of Nigeria including its Territorial waters, Exclusive Zones and Free Trade Zones?
Key Thrusts of the NOGICD Act of 2010
- Integrate oil producing communities into the oil and gas value chain.
Foster institutional collaboration. - Maximize participation of Nigerians in oil and gas activities.
- Link oil and gas sector to other sectors of the economy.
- Maximize utilization of Nigerian resources i.e. goods, services and assets.
- Attract investments to the Nigeria oil and gas sector (service providers, equipment suppliers etc)
To be the catalyst for the industrialization of the Nigerian Oil and Gas Industry and its linkage sectors.
To promote the development and utilization of in-country capacities for the industrialization of Nigeria through the effective implementation of the Nigerian Content Act
Patriotism, Passion, Professionalism, Integrity, Creativity and Team Spirit
Latest News
NCDMB Receives $1m Return on Investment from NEDOGAS
The Nigerian Content Development and Monitoring Board (NCDMB) on Monday received a cheque of $1 million from Nedogas Development Company
Presidential Council Hails NCDMB for Transparency, Efficiency, as Board Seeks Sensitisation of Petroleum Industry
The Nigerian Content Development and Monitoring Board (NCDMB) was on Monday in Abuja commended for maintaining first position among ministries, departments
NCDMB Carries Out LNG Train 7 Monitoring Visit in S/Korea
The Nigerian Content Development and Monitoring Board(NCDMB) is currently carrying out an onsite out-of-country monitoring visit to South Korea to inspect facilities fabricating Pressure Vessels,
NCDMB to Sustain Push for STEM Education, Rewards Schools at Science Quiz Close-Out
The Nigerian Content Development and Monitoring Board (NCDMB) on Wednesday at the Nigerian Content Tower (NCT), Yenagoa, marked the close-out
