Abstract
This article contends that rapid digital transformation has rendered the Nigerian petroleum
technology development framework outdated. This misalignment is adversely affecting the
provision of digital technology services under the local content development regime. As a remedial
measure, the article proposes a re-orientation in the approach to engaging with the Nigerian Oil
and Gas Industry Content Development (NOGID) Act and the Petroleum Technology Development
Fund (PTDF) Act. This re-orientation aims to quickly consolidate and align the provisions of these
statutory frameworks with the current realities of the digital age. The article begins by mapping
the state of digital technology in the Nigerian oil and gas industry, highlighting the global digital
transformation trend and its impact on digital oil and gas technology. It discusses the efficiencies
and benefits introduced by advanced digital technology solutions, such as improved health and
safety, increased marginal operational efficiencies, and optimized oil production. The article also
examines the low level of Nigerian content in digital technology services and the lack of regulatory
emphasis on developing indigenous capacity in this area.
Furthermore, the article explores the general tenor of the Nigerian local content development
policy framework and takes stock of how specific provisions have impacted the implementation of
the NOGID Act, particularly in relation to digital technology service provision. It also tackles
salient aspects of the PTDF Act and how digital technology has fared under the law’s framework.
The article concludes by setting an itemized agenda for the future of digital oil and gas technology
services development in Nigeria. It emphasizes the need for a comprehensive digital technology
roadmap, the establishment of a dedicated Digital Technology Directorate within the NCDMB,
and the introduction of PTDF professorial chair endowments specifically for digital petroleum
technology in major Nigerian universities. The article also calls for the reinstatement of the
NOGTECH Hackathon as an annual event and the creation of incentives for joint ventures between
international digital technology service providers and Nigerian firms.