Angolan companies account for only around 2% of oil contracts, compared to 98% of foreign companies, for a total of 18.2 billion dollars per year, a value recorded in the respective contracts
The fact was revealed by the new president of the Association of Autochthonous Companies for the Angolan Petroleum Industry (ASSEA), Berta Issa. In addition to the non-implementation of the methodology for measuring local content, the source also points out the absence of instructions in the sector to allow payments in kwanza and foreign currency, as well as unfavorable payment deadlines, which he considers to be “imperative to overcome these obstacles that still persist in the sector”.
According to Berta Issa, cited by Angop, of the aforementioned 2%, “there are no significant records of Angolan companies led by women. This discrepancy not only represents an economic injustice, but represents an obstacle to the country’s sustainable growth,” she added.
Faced with this disparity, which worries Angolan companies, ASSEA outlined as priorities the effective implementation of Angolan legislation on local content and the increase in the participation of national companies in the sector, from 2% to 20%. With this challenge, this association plans to strengthen its position in Angola, with a view to the growth of a more competitive oil sector.
Additionally, ASSEA plans to promote diversity, inclusion and sustainability in the energy sector, foreseeing a greater inclusion of companies led by women, through incentives for professional internships for more than 150 young people, by the end of 2024. The president of the association he also mentioned that associated companies should serve as a beacon of hope in creating jobs for young professionals looking for their first job, guaranteeing a prosperous and sustainable future for everyone.
Founded in 2019, with more than 80 associated companies, the Association of Autochthonous Companies for the Oil Industry of Angola is a platform for reflection for Angolan businesspeople, professionals and experts in the oil sector. ASSEA’s fundamental mission is to promote, foster and develop the growth of the Gross Domestic Product (GDP), through the implementation of local content legislation and the active engagement of national companies in the oil sector as the main lever for the diversification of the Angolan economy and strengthening of the national business community.