Local Content

As well as through direct employment, Eni is involved in the development of the countries in which it operates also by strengthening, in agreements with local governments, the industry connected to subsidiary petroleum activities. Eni promotes the maximisation of local content starting from an evaluation of the local potential of the countries where it is about to begin operations.
The development objectives for local content are defined at corporate level following specific guidelines, the Guidelines for the Preparation of Procurement Strategy, and pursued on the various projects according to local peculiarities, as well as often being regulated in the context of existing agreements according to well defined parameters. In most of the countries in which Eni operates, the percentage of local procurement is more than 50%, reaching over 90% in some, such as in Nigeria, Gabon and the Russian Federation. Along with other companies, Eni, also participates in international discussions on the issue; in particular, since 2010 it has been part of the National Market Participation Initiative organised by the WBCSD which aims to identify best practices in the area of local content.With the implementation of a Vendor Management System, Eni offers local companies support and training, in order to reach increasingly high standards and performance levels that can allow them to obtain new supply contracts and internationally recognised certification. Training is also involved in the way in which the companies operate, with sustainability and, in particular, human rights, being the object of cross-platform training, monitoring and controls that enable suppliers and sub-contractors to improve their management and therefore be more competitive. Special attention is given to geographical areas considered to be at risk, such as Iraq, Pakistan and Algeria. Information and training programs have been developed aimed at the manager of contracts in the operating line (mostly local people) in order to monitor respect for human rights, as well as the specific monitoring of suppliers that are not compliant with Eni standards in 4 foreign sites (including Algeria and Angola) and one Italian site.