Delta State Local Content Agency Law

DELTA STATE LOCAL CONTENT AGENCY LAW

1. Short title and Commencement. This Law may be cited as the Delta State Local Content Agency Law, and shall come into force on 16th day of September, 2020.

2. Interpretation. In this Law: "Agency" means the Delta State Local Content Agency; "Attorney-General" Means the Attorney-General and Commissioner for Justice of Delta State; "Company" means any company formed and registered in Nigeria in accordance with the Companies and Allied Matters Act and carrying on operations in State either wholly by itself or through its subsidiaries and or Joint Venture Partner and includes a registered enterprise or business name and includes its Contractors, Agents and persons or Authorities working on its behalf; "Community" means Host and Impacted Communities indigenous to the people of Delta State where a Company carries out its operations in the State; "Government" means Delta State Government; "Governor" means the Governor of Delta State; "House" means ate Delta State House of Assembly; "High Court" means High Court of Delta State; "Local Content" means the value added to or created in the economy of Delta State through the utilization of the resources and services of the indigenes of Delta State in the operations of a company resulting in the conscious development of local skills, technology transfer, use of local manpower, local manufacturing and building of skilled workforce with a competitive supplier; "Pensionable service" means employment and service of a person as a career Public Servant in the Agency; "State" means Delta State of Nigeria.

3. Establishment/offices of the Agency. (1) There is hereby established for the State a body to be known as the Delta State Local Content Agency. (2) The Agency shall be a body corporate with perpetual succession common seal and may sue or be sued in its corporate name, hold, acquire, develop, manage and dispose of any property movable or immovable. (3) The headquarters of the Agency shall be located in the State Capital and there shall be such other branch offices that may be required for the due performance of its functions.

4. Establishment/Composition/Qualification of Members of the Board. (1) There is hereby established a Board for the Agency. (2) The Board shall consist of the following Members: (a) a part time Chairman, who shall be a holder of a degree or its equivalent with at least a minimum of ten (10) years post qualification experience; (b) three Members, one draw n from each of the three Senatorial districts holding a degree or its equivalent; (c) the Director-General of the Agency; (d) a representative of the Ministry of Trade and Investment: and (e) a representative of the Ministry of Justice or a Lawyer with not less than five (5) years post call who shall function as the Legal Adviser to the Board. (3) The Chairman and other Members of the Board with the exception of the ex-officio members shall be appointed by the Governor subject to the confirmation of the House.

5. Tenure of Members. The Chairman and other Members of the Board with the exception of the ex- officio members shall hold office for a term of four years and may be reappointed for another term of four years and no more.

6. Powers of the Board. The Board shall in the discharge of its functions have power to: (a) plan, regulate and co-ordinate the activities of the Agency; (b) enter into any agreement, commitments or other arrangements in respect of the provisions of this Law subject to the approval the Governor; (c) acquire, purchase, construct or maintain any property whatsoever whether moveable or immovable required for the performance of the functions of the Agency; (d) give general Guidelines and Directives to the Director-General for the smooth running and operations of the Agency from time to time.

7. Cessation/Removal of Membership/Dissolution of the Board. (1) Notwithstanding the provisions of Section 5 of this Law, a person shall cease to hold office as a Member of the Agency for inability to discharge the functions of the Office (whether arising from infirmity of mind or body) or for misconduct. (2) The Chairman and Members of the Board may be removed from office by the Governor or the House acting on a resolution a simple majority.

8. Allowance of Members. There shall be paid to every Member of the Agency such remuneration and allowances as applicable to similar Agencies in the State.

9. Secretary of the Board. (1) There shall be appointed for the Board a Secretary from the Public Service of the State not below the rank of Salary Grade level 15. (2) The Secretary shall be responsible for: (a) arranging meetings of the Board and its committees; (b) preparing the agenda and the minutes of such meetings; (c) conveying decisions of the Agency to Members of the Board, an Officer of the Agency or any person to whom it is directed; (d) arranging for the payment of allowances of the Members of the Agency and other related matters; and (e) generally performing such duties as may be assigned to him by the Board from time to time.

10. Qualification/ Functions of the Director-General. (1) There shall be appointed for the Agency, a Director-General who shall be appointed by the Governor subject to the confirmation of the House. (2) The Director-General shall: (a) be the Chief Executive Officer and Head of the Agency with the responsibility to oversee, direct, administer and manage the affairs of the Agency; (b) be responsible for the day to day running and management of the Agency; (c) ensure that the accounting procedure of the Agency is in accordance with the extant financial regulations in respect of Public Procurement and Fiscal Responsibility Law in the State; and (d) be a person of impeccable character who must be a holder of a degree or its equivalent of not less than 10 years experience.

11. Functions of the Agency. (1) The Agency shall exercise the following functions: (a) to in place framework to enhance the ability of local indigenous companies to exploit local opportunities while staying competitive generally; (b) monitor and ensure compliance with the provisions of this law; (c) organize, coordinate and provide capacity building and specialised program and initiate projects including training for entrepreneurship development, start-up, establishment and economic empowerment of Community Contractors and workers; (d) streamline, coordinate and embark on programs to increase indigenous Local Content in the operation of Companies in the State; (e) facilitate the provision of local content job and project partnership, collaboration, cooperation, linkages and networking with local, national and international organizations and agencies as well as private sector bodies, community-based and civil society organizations in the state; (f) monitor and ensure compliance with the terms of any Memorandum of Understanding, General Memorandum of Understanding and Agreements executed between Companies and host and impacted communities within the State; and (g) develop and maintain a data base of Companies operating in the State. (2) The Agency shall subject to the direction and control of the Governor in the performance of its functions and discharge of its responsibilities.

12. Powers of the Director-General. (1) For the purpose of carrying out the functions of the Agency under this Law, the Director-General or any other authorized staff of Agency: (a) shall have the right of access to all records of any Company to whom this Law applies for the purpose of discharging its duties under this Law; and (b) may by in writing, served on any person in charge of any such institution or authority, require that person in authority to furnish information such matters as may be specified in notice. (2) It shall be the duty of any Company or person required to furnish any information pursuant to sub-section (1) (b) of this Section to comply with the notice within days or not more than 14 days.

13. Application of this Law. Notwithstanding anything to the contrary contained in any law of the State, the provisions of this Law shall govern the relationship between Companies and host communities in all areas pertaining to their operations in the State.

14. Percentage of Local Content. As from the commencement of this Law and in order to encourage representation and participation, Companies operating in the State shall maintain at least 70% Local Content participation of the State indigenes in their operations either directly or by outsourcing to local businesses.

15. Development Plan. (1) It shall mandatory for Companies operating in the State to have an effective Development Plan to develop local skills, build contracting capacity, employment, technology transfer and use of local manpower in their operations in the State. (2) The Agency shall ensure the compliance of Companies to the provisions of Sections 13 and 14 of this Law.

16. Memorandum of Understanding/Agreements. (1) Companies operating in the State shall enter into a Memorandum of Understanding (MOU) or Global Memorandum of Understanding (GMoU) and Agreements as the case may be, with their host and or impacted communities specifying the nature of obligations and benefits due to them. (2) All negotiations leading to the execution of a Memorandum of understanding (MoU) or Global Memorandum of Understanding (GMoU) and Agreements shall be facilitated by the Agency.

17. Offences. (1) It shall amount an offence under this Law, for any Company, person or Community to refuse, neglect, hinder, or prevent the negotiations, implementation and execution of a Memorandum of Understanding or Global Memorandum Of Understanding and Agreements between a Company and the host or impacted community. Any company or person or community who commits an offence under this section shall be liable to: (a) one month imprisonment or a fine of N300,000 or both in the case of a person; or (b) a fine of N500,000 in the case of a community; or (c) a fine in the case of a Company. (2) The offender shall be prosecuted by the Office of the Attorney-General at the High Court.

18. Establishment of Department. (1) There shall be established for the Agency the following Departments: (i) Administration; (ii) Monitoring and Compliance; (iii) Finance and Accounts; and (iv) Planning, Research and Statistics. (2) The Agency may, with the approval of the Governor, increase adjust the number of Departments as it may deem necessary to enhance the performance of its functions. (3) The Agency shall have the power to establish and maintain such offices, subsidiary divisions, and sections and make all other administrative arrangements as may, in its opinion, be or expedient for the performance of its functions. (4) Notwithstanding the foregoing provisions of this section, Agency may recruit any of its Officers and servants by way of transfer or secondment from the Public Service of the State with the approval of the Governor.

19. Service in the Agency. (1) Service in the Agency shall be Public Service for the purpose of the Pensions law and accordingly, Officers and other persons employed in the Agency shall in respect of their service in the Agency entitled to pensions, gratuities and other retirement benefits as are prescribed thereunder. (2) Notwithstanding the provision of subsection (1) of this Section, nothing in this Law shall prevent the appointment of a person to any office on terms which preclude the grant of pension and gratuity in respect of any office.

20. Funds of the Agency. (1) The Agency shall maintain and administer a fund from which it shall defray all expenditure incurred in the discharge of its functions and there shall be vested in the Agency all the property and such other assets may be acquired by the Agency. (2) There shall be paid and credited to the fund established in pursuance of subsection (1) of this section: (a) such monies as may be appropriated to the Agency by the State Government or any other organization; (b) all investment or other monies earned or arising from any such investment, property or assets of the Agency; and (c) all other monies from time to time accruing to the Agency in respect of any matter incidental to its powers, rights and duties.

21. Gifts to the Agency. (1) The Agency may accept gifts of land, money or other property, upon such terms and conditions if any, as may be specified by the person making the gift. (2) The Agency shall not accept any gift if the conditions attached by the person making the gift are inconsistent with the functions of the Agency.

22. Annual Estimates, Income and Expenditure. (1) The Agency shall cause to be prepared, not later than six months before the end of each financial year or such other time as the Governor may direct, an estimate of the income and expenditure of the Agency during the next succeeding financial year and include in the report a copy of the audited accounts of the Agency for that year and the Auditor's report thereon. (2) The Agency shall cause to be kept, proper accounts and proper records in relation thereto and when certified by the Agency, such accounts shall be audited as provided in subsection (3) of this section. (3) The accounts of the Agency shall be audited after the end of each financial year by auditors appointed by the Agency in accordance with the guidelines supplied by the Auditor-General of the State and the fees of the Auditors and the expenses for the audit generally shall be paid from the funds of the Agency.

23. Report of the activities of the Agency. The Agency shall, not later than six months after the end of each financial year, submit to the Governor, a report of the activities of the Agency and its administration during the preceding year and shall include in such report the audited accounts of the Agency and the Auditor' s comments thereon.

24. Directives by the Governor. The Governor may give the Agency directives of a general character or relating generally and to particular matters with regard to the exercise by the Agency of its functions, and it shall be the duty of the Agency to comply with the directives.

25. Power to make regulations. The Agency shall have power to regulate its proceedings and make standing rules for the effective performance of its functions.

26. Service on the Agency. Service upon the Agency of any notice, order or other document shall be effected by addressing, sending and delivering it by courier or registered post to the Director-General at the Agency's Office Address.

27. Limitation of Suits. (1) The Public Officers Protection Law shall be applicable to any action or omission done by any authorized Officer or Person under this Law. (2) Where any person is aggrieved, pursuant to any act or omission done under this Law, such an aggrieved person, shall first issue a written complaint about his grievance and serve same on the Agency in order to seek redress of same administratively provided always that where a period of One Month elapses without such compliant being redressed, such person may presume that his compliant is not properly addressed. (3) Before the commencement of any suit against any person or Authority under this Law, one month notice of such an intention stating the cause of action and period it occurred, must first be issued and served upon the Agency.