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Technology Transfer, Capacity Building, and Indigenous Participation: Navigating the Complexities of Advancing Local Content in Nigeria’s Oil and Gas Sector


Authors : Akunne Philomena Eleje; Oladipupo Ganiyu; Sunday Odo Nwangbo

Volume/Issue : Volume 11 - 2026, Issue 8 - August


Google Scholar : https://tinyurl.com/2ryttnmf

Scribd : https://tinyurl.com/yc2ndp3v

DOI : https://doi.org/10.38124/ijisrt/26aug384

Note : A published paper may take 4-5 working days from the publication date to appear in PlumX Metrics, Semantic Scholar, and ResearchGate.


Abstract : This study investigates the development of local content in Nigeria’s oil and gas sector, emphasizing the interconnected roles of technology transfer, capacity building, and indigenous participation in fostering sustainable growth. Drawing on existing literature and a qualitative approach, the paper explores how local content policies have facilitated partnerships between multinational corporations and indigenous firms, enhancing technological capabilities and production efficiency. Despite these advancements, systemic challenges such as poor policy enforcement, inadequate infrastructure, and corruption continue to hinder the full realization of local content objectives. The study underscores the importance of capacity-building initiatives, highlighting the contributions of the Petroleum Technology Development Fund (PTDF) in human capital development while addressing gaps in skill alignment with industry demands. Indigenous participation, though bolstered by quotas, remains constrained by financial and regulatory barriers. This paper presents a holistic framework for overcoming these challenges through policy reforms, strategic partnerships, and enhanced collaboration between academia and industry. The findings provide actionable insights for stakeholders and contribute to the discourse on economic resilience and sustainable development in Nigeria’s oil and gas sector.

Keywords : Local Content Development, Technology Transfer, Capacity Building, Indigenous Participation, Nigeria Oil and Gas Sector.

References :

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  2. Adedeji, A. N., Sidique, S. F., Rahman, A. A., & Law, S. H. (2016). The role of local content policy in local value creation in Nigeria’s oil industry: A structural equation modeling (SEM) approach. Resources Policy, 49, 61–73. https://doi.org/10.1016/j.resourpol.2016.04.006
  3. Adedeji, A. N., Sidique, S. F., Rahman, A. A., & Law, S. H. (2018). Mediating effects of indigenous oil firms’ participation and backward linkages on the relationship between local content policy and job creation: Insight from Nigeria. Cogent Business & Management, 5(1), 1515576. https://doi.org/10.1080/23311975.2018.1515576
  4. Atsrim, R., Atsrim, C. Y., & Adam, A. M. (2018). Local Content in the Upstream Petroleum Sector of Ghana. How Well Is Ghana Doing So Far? SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3185844
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  11. Ihua, U. B., Ajayi, C., & Eloji, K. N. (2009). Nigerian content policy in the oil and gas industry: Implications for small to medium sized oil service companies. In Proceedings of the 10th Annual International Conference of the International Academy of African Business and Development (IAABD) (pp. 163–170). Kampala, Uganda.
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This study investigates the development of local content in Nigeria’s oil and gas sector, emphasizing the interconnected roles of technology transfer, capacity building, and indigenous participation in fostering sustainable growth. Drawing on existing literature and a qualitative approach, the paper explores how local content policies have facilitated partnerships between multinational corporations and indigenous firms, enhancing technological capabilities and production efficiency. Despite these advancements, systemic challenges such as poor policy enforcement, inadequate infrastructure, and corruption continue to hinder the full realization of local content objectives. The study underscores the importance of capacity-building initiatives, highlighting the contributions of the Petroleum Technology Development Fund (PTDF) in human capital development while addressing gaps in skill alignment with industry demands. Indigenous participation, though bolstered by quotas, remains constrained by financial and regulatory barriers. This paper presents a holistic framework for overcoming these challenges through policy reforms, strategic partnerships, and enhanced collaboration between academia and industry. The findings provide actionable insights for stakeholders and contribute to the discourse on economic resilience and sustainable development in Nigeria’s oil and gas sector.

Keywords : Local Content Development, Technology Transfer, Capacity Building, Indigenous Participation, Nigeria Oil and Gas Sector.

Paper Submission Last Date
31 - August - 2026

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