In a groundbreaking move to strengthen Nigerian content, Shell Petroleum Development Company of Nigeria Ltd (SPDC) has announced a new initiative to reserve contracts for host communities in the Niger Delta. This plan, unveiled on Friday during the 13th Practical Nigerian Content Forum in Yenagoa, aims to boost local services in the oil and gas sector, empowering communities and creating long-term development opportunities.
Olanrewaju Olawuyi, SPDC’s General Manager for Nigerian Content, explained that the initiative is part of a broader strategy to enhance local capacity and skills within Nigeria’s oil and gas industry. Olawuyi, speaking at a panel session on “Nigerian Content from the Grassroots: Community Capacity Development,” revealed that the company has signed Community Content plans with key communities, including Bonny and EA, and plans to finalize a third agreement next year.
“SPDC has been in Nigeria for over 60 years, pioneering the oil and gas industry,” Olawuyi said. “We are now taking deliberate steps to develop Nigerian content in our operations by creating opportunities for host communities to supply services and goods. These communities will not only supply boats and other basic items but will grow to provide services that meet industry standards.”
The initiative is designed to provide host communities with more than just entry-level jobs. It focuses on building long-term capabilities that will allow local businesses to thrive and compete with international oil companies. SPDC’s strategy also seeks to promote mutual growth by supporting these communities as they develop their processes to meet global industry standards.
“We’re not just giving opportunities to supply boats and other basic things; no, we are moving beyond that,” Olawuyi emphasized. “We’re talking about how communities can provide services, and together, we will build the capabilities needed to succeed in the oil and gas industry.”
The Community Content plans are not just a business initiative for SPDC; they represent a concerted effort to transform the socio-economic landscape of the Niger Delta. By giving these communities the opportunity to provide services to SPDC, the company hopes to create a sustainable path to economic empowerment. Olawuyi noted that communities would not only supply services to SPDC but would be well-positioned to engage with other international oil firms as well.
“This is a mutually rewarding relationship,” Olawuyi said. “We are committed to building community capabilities, and we see a great future where these communities continue to be partners in progress.”
Olawuyi also highlighted the importance of human capital development in the Nigerian Content strategy. Shell’s focus on education and skills development is evident through several initiatives, including scholarship awards, the NCDMB/Shell/PETAN program, and SAP internships. These programs aim to provide young Nigerians with the tools they need to succeed in the energy sector.
“The testimonies of the individuals involved in our programs are transformational. They touch and melt any heart,” Olawuyi said, reflecting on the impact these initiatives have had on the lives of many Nigerians. “Their lives have been touched, and their fortunes have changed.”
The 13th Practical Nigerian Content Forum served as a platform for further discussions on how the oil and gas industry can collaborate with local communities to achieve mutual growth. The panelists stressed the importance of early engagement with professionals, youths, and community stakeholders in the implementation of these projects. This approach ensures that the goals set by both the companies and the host communities are effectively achieved.
