Local Content definition?

Asked by keler01 5 years, 2 months ago | 3 Answers

Hello all,

Can anyone provide definition of Local Content please? For the sake of discussion, let's say expats coming from either the US or Europe to an oil/gas country in Africa.

Here’s an example that I’m not sure if it fits local content. If I work for an oil & gas consulting firm that has offices in both the US and Nigeria and I need to hire an engineer who is a Nigerian citizen but lives in the US as a permanent residence, and I will have this person doing works at both locations, US and Nigeria. Does that person being counted as local content? Or it has to be on Nigeria office’s payroll in order to qualify as local content?

Any elaboration is appreciated.


3 Answers

0
bbenoit 5 years, 2 months ago

I hope below response will give some inputs on local content.

Here’s an example that I’m not sure if it fits local content. If I work for an oil & gas consulting firm that has offices in both the US and Nigeria and I need to hire an engineer who is a Nigerian citizen but lives in the US as a permanent residence, and I will have this person doing works at both locations, US and Nigeria. Does that person being counted as local content? No this won’t count as a local content.

Or it has to be on Nigeria office’s payroll in order to qualify as local content? Yes correct, staff should be in Nigeria's payroll in order to qualify as local content.


0
pparrene 5 years, 2 months ago

Local content is counted for good and services provide in that particular country, Nigeria as in your example.

The following will be considered local content:

  •          Nigerian hired in Nigeria by your company
  •          Nigerian trained in Nigeria or USA to work in Nigeria
  •          Nigerian hired in USA by your company and transferred to work in Nigeria on Nigeria payroll

Hope the above help.


0
taddpham 5 years, 2 months ago
Whoever comes to work in a particular country (i.e. Nigeria) or visit more than just a couple of days may be accounted as local content. We generally tend to account national staffs (e.g. Nigeria) abroad (in the US) as local content mainly for trainees. If the guy is experienced and is actually a US-resident, I don’t know if it’s considered local content.