The Nigerian Upstream Petroleum Regulatory Commission has officially incorporated 155 Host Community Development Trusts (across oil-producing areas in the Niger Delta, advancing the implementation of the Petroleum Industry Act.
NUPRC’s Chief Executive, Mrs. Oritsemeyiwa Eyesan, revealed this during a town hall meeting with HCDTs and settlors in Rivers State, held at Voyage Hotel, Port Harcourt.
Represented by Success Ikpe, an Assistant Director at the Commission, Eyesan noted that NUPRC has introduced a digital reporting and monitoring platform, HostComply, to track HCDT activities and ensure adherence to PIA regulations.
She added that since the PIA’s implementation, the Commission has facilitated the incorporation of over 155 HCDTs, provided funding to more than 79 trusts through the mandatory three percent operational expenditure contributions by settlors, and overseen the execution of approximately 663 ongoing projects aimed at enhancing infrastructure and livelihoods in host communities.
Eyesan noted that, despite the progress made, challenges persist, including gaps in governance and accountability of HCDT funds, project delays due to bureaucratic bottlenecks, and community concerns over representation and resource distribution.
she recommended strengthening governance structures, promoting full use of the HostComply portal, and enforcing strict standards of transparency and accountability.
“The success of HCDTs requires collective commitment from all stakeholders — government, traditional rulers, oil companies and the communities themselves,” she said, reaffirming the Commission’s dedication to regulatory oversight, policy support and technical assistance to ensure sustainable development in host communities.
The National President of Host Communities of Nigeria Producing Oil and Gas, Dr. Benjamin Tamaranebi, urged state governors to allocate a portion of the 13 percent oil derivation fund from the Federal Government directly to host communities.
He criticised what he described as the politicisation of the fund by state governments, emphasizing that the resources are meant to support development in oil-producing areas.
“The 13 per cent derivation is key and paramount to the lives of host communities. Now that the PIA is on board, we call on state governments to respectfully release part of the derivation to the Trusts to complement their efforts,” Tamaranebi said.
He revealed that the NUPRC has set up a dispute resolution centre in Yenagoa, Bayelsa State, urging communities with grievances against oil companies to utilise it.
Tamaranebi, however, raised concerns that some HCDT committees are trying to exceed the PIA’s five percent administrative cost limit, which designates 75 percent of funds for community development projects, 20 percent for investments, and five percent for administration.
“If we tamper with the 75 per cent meant for development, we deprive ourselves of progress,” he warned.
