Fatai Urges FG to Back Competent Indigenous Oil, Gas Firms to Drive Energy Growth

The Chief Executive Officer of Alpha Designs Nigeria Ltd., Mr Quadri Fatai, has called on the Federal Government to prioritise indigenous oil and gas companies with proven capacity and strong track records to accelerate Nigeria’s energy development.

Fatai cautioned that firms operating mainly as intermediaries would be unable to deliver the country’s long-term energy objectives.

He made the appeal in an interview with the News Agency of Nigeria (NAN) on the sidelines of the 10th Sub-Saharan Africa International Petroleum Exhibition and Conference (SAIPEC) in Lagos.

According to him, Nigeria must move beyond what he described as “paper capacity” and intentionally support homegrown firms that have invested in technology, skilled manpower and operational excellence.

“Nigeria has many indigenous companies with the capacity, technological know-how and drive to deliver complex projects. What we need is targeted government support for companies that create real value, not those that exist only as portfolio service providers,” he said.

Fatai noted that empowering execution-driven local firms would speed up project delivery, reduce operational costs, strengthen local content outcomes and retain more economic value within the country.

While acknowledging that local content policies have increased Nigerian participation in the oil and gas sector, he said there remains a gap in distinguishing between firms that genuinely execute projects and those heavily reliant on subcontracting.

“Real local content is built on assets, technology, trained personnel and a track record of delivery. We must move beyond documentation to measurable performance,” he stated.

He urged government agencies, regulators and industry bodies to adopt clearer, performance-based criteria in procurement and licensing to ensure that incentives and project awards go to competent and sustainable firms.

According to Fatai, such an approach would strengthen indigenous companies, attract investment, create jobs and promote industrial growth.

“At the policy level, government is doing a lot. But many innovative local players at the grassroots remain disconnected from opportunities within the local content framework,” he said.

Fatai cited Alpha Designs’ “Cylindron,” a cloud-based application designed to track and monitor gas cylinders throughout their lifecycle, as an example of indigenous innovation addressing safety challenges.

He explained that while regulatory bodies such as the Standards Organisation of Nigeria conduct conformity assessments before cylinders are imported, most safety incidents occur during daily use.

“There is a disconnect in monitoring cylinders after deployment. Incidents do not happen at the point of importation; they occur during usage,” he said.

The Cylindron platform, he explained, tracks each cylinder, ensures timely certification, flags unfit cylinders and prevents refilling at gas stations if safety standards are not met.

Fatai said the system could significantly reduce accidents, strengthen regulatory oversight and generate employment opportunities.

He also warned against overhyped initiatives that add little value to the economy, urging a stronger focus on solutions that reduce imports, deliver measurable economic returns and enhance Nigeria’s global corporate image.

“Local content should mean products and services Nigerians can deliver competititively, replacing foreign alternatives and creating measurable economic value,” he said.

Citing recent improvements in Nigeria’s passport data integration, Fatai stressed that effective implementation matters more than timing.

“It doesn’t matter if we are late starters. What matters is that we start and do it right,” he said.

He urged authorities to identify and support grassroots innovators contributing meaningfully to industrial growth.

“These companies are not political actors. They are focused on contributing to the industry. Government must connect with them and give them the platform to scale,” he said.

Fatai added that with the right policy direction and incentives, Nigeria could build globally competitive service companies capable of exporting expertise across Africa.

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