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NUPRC incorporates 155 host community trusts under PIA

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has officially incorporated 155 Host Community Development Trusts (HCDTs) across oil-producing communities in the Niger Delta, as part of ongoing implementation of the Petroleum Industry Act (PIA).

Mrs. Oritsemeyiwa Eyesan, the Chief Executive Officer of NUPRC, disclosed this during a town hall meeting with host community development trusts and settlors held at Voyage Hotel, Port Harcourt.

Represented at the forum by Success Ikpe, an Assistant Director at the Commission, Eyesan outlined the strides made in strengthening host community engagement and compliance under the PIA framework.

She revealed that the Commission has deployed a digital reporting and monitoring platform, HostComply, to track HCDT activities and ensure strict adherence to regulatory standards.

Since the PIA’s implementation, over 79 trusts have received funding through mandatory three per cent operational expenditure contributions from settlors, while about 663 development projects are currently being executed to improve infrastructure and livelihoods in host communities.

Despite these achievements, Eyesan acknowledged lingering challenges, including governance and accountability issues in fund management, bureaucratic delays in project execution, and grievances over representation and resource allocation.

She emphasised the need to strengthen governance frameworks, fully utilise the HostComply portal, and enforce transparency and accountability across all HCDTs.

“The success of HCDTs requires collective commitment from all stakeholders, government, traditional rulers, oil companies, and the communities themselves,” Eyesan said, reaffirming the Commission’s dedication to regulatory oversight, policy support, and technical assistance to ensure sustainable community development.

Dr. Benjamin Tamaranebi, National President of Host Communities of Nigeria Producing Oil and Gas, urged state governments to allocate a portion of the 13 per cent oil derivation fund to host communities, warning against the politicisation of these funds.

“The 13 per cent derivation is key and paramount to the lives of host communities. With the PIA in place, state governments should release part of the derivation to the Trusts to complement their efforts,” he said.

Tamaranebi also highlighted the establishment of a dispute resolution centre in Yenagoa, Bayelsa State, for communities with grievances involving oil companies.

He cautioned that some HCDT committees were attempting to exceed the statutory five per cent administrative cost ceiling stipulated by the PIA, stressing that 75 per cent of funds must be dedicated to development projects.

In his remarks, James Ugochindu, Permanent Secretary of the Rivers State Ministry of Energy and Natural Resources, commended NUPRC and Hostcom Projects Management and Advisory Konsult Ltd for organising the engagement.

He noted that the initiative complements the state government’s objective of promoting equitable development across oil-producing communities.

The town hall marks a significant step toward transparent, accountable, and community-driven management of oil resources under the Petroleum Industry Act, with stakeholders committed to ensuring measurable progress in the Niger Delta.

 

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