US$50M Nigerian Content Research & Development Fund Receives Approval
The Governing Council of the Nigerian Content Development and Monitoring Board (NCDMB) has approved the establishment of a US$50 million Nigerian Content Research & Development Fund (NCR&DF).
The NCR&DF is expected to boost Nigeria’s commitment to research and eradicate over-dependence on foreign technology for critical economic development activities, including oil and gas operations.
The Fund will be applied to four broad Intervention areas, namely-Research (basic and applied), establishment of Centers of Excellence in Academic and Research Institutes, Sponsorship of commercialization of Research and Sponsorship of endowment of professorial chair, the statement read in part.
The Board in a statement on Monday said deployment of the $50million Research Fund for sustainable funding of NCDMB’s mandate on Research & Development received the Governing Council’s approval at a recent meeting chaired by the Minister of State for Petroleum Resources, Chief Timipre Sylva.
It stated that the NCR&D Fund is in support of Board’s mandate on Research & Development as enshrined in Sections 37 to 39 of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act 2010, which empowers NCDMB to superintend over R&D activities in the oil and gas industry.
According to the Board, the approval of the NCR&D Fund represents a major success pillar is closing systemic weakness of inadequate funding architecture for R&D activities in the Oil and Gas industry.
This is especially so as the Board is implementing the Research and Development Roadmap to institutionalize a robust R&D ecosystem that will lead to continuous development of technology, materials and process for industry application from indigenous research efforts.
It hinted that the Fund’s operating model has been designed to ensure transparent and well-focused application of the Fund, adding that it includes a Governance structure to leverage experienced researchers and industry experts in the decision-making process of selecting activities to be funded from the NCDMB R&D Fund.
Adding that “the Fund will be domiciled in a TSA Sub-Account in CBN.”
The Board said it would put in place an outcome focused performance metrics that will measure success in the application of the Fund and form part of the reporting template to the Governing Council on an ongoing basis
Following the Governing Council approval, the Nigerian Content Research and Development Council (NCRDC) held a meeting on June 25 and revalidated the identified focus areas for the utilization of the Fund.
The Fund would also be deployed in developing and implementing a Communication strategy for effective dissemination of NCDMB R&D interventions as part of stakeholder management process.
The NCRDC also approved the institution of a Performance management strategy to track progress and ensure application of the R&D fund in line with the key performance indicators (KPI) approved by the Governance Council.
It also approved the list for distribution of the smart gas leak and smoke detector alarm device for field trial. The product which was conceptualised by Amal Technologies is a research prototype sponsored by NCDMB
It stated that the scope of NCDMB’s R&D regulatory role includes development of capabilities for Research and Innovation in Nigeria including facilities, equipment, personnel and processes, review and approve R&D plans of operating companies, monitor implementation of R&D projects to ensure the execution of Nigerian content requirements of domiciliation within Nigerian R&D Centers.
Other roles include tying R&D spend to addressing industry technology, material, and process challenges and facilitating commercialization of research breakthroughs and Facilitating the deployment of successful products of research in industry Operations.
To achieve its R&D mandate, the Board developed the R&D framework anchored on seven (7) policy thrust, including focus on market driven research, establishment of world class Research and Development (R&D) Centers of Excellence, establishment of Research and Development Council and provision of sustainable funding to support Research and Development.
Other areas of focus include development of stakeholder collaboration matrix for Research and Development (R&D), provision of enablers for commercialization of research breakthrough and facilitation of acceptance and utilization of products of research by end users.