The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced the incorporation of 137 Host Community Development Trusts (HCDTs) and the disbursement of N200 billion for development projects across these communities.

In a statement from the  Head of Public Affairs and Corporate Communication Mrs. Olaide Shonola, there are currently 198 development projects underway, including those in Akwa Ibom State.

This is in response to reports alleging delays in funding for host communities in Akwa Ibom, the NUPRC clarified that the incorporation of HCDTs has been diligently managed, ensuring significant financial disbursements. Mrs. Shonola stated “We wish to state that the NUPRC is fully committed to the implementation of the Host Community Development Trust in line with Chapter 3 of the Petroleum Industry Act (PIA, 2021), to ensure the objectives of fostering sustainable prosperity within the host communities, as well as the provision of direct social and economic benefits from petroleum operations to host communities are well achieved.”

She also noted that some Trusts, yet to receive funding, are undergoing due diligence and validation processes. Shonola emphasized that “the Commission has been working assiduously to ensure that all host communities that fall within the ambits of the law benefit from the HCDTF and have established mechanisms to safeguard the funds while ensuring accountability and transparency in the disbursement and management.”

Addressing specific concerns, she reaffirmed that the Ibeno, Mbo, and Esit Eket communities are beneficiaries of the HCDTs. “We can confirm that the Ibeno, Mbo, and Esit Eket communities are well covered in the HCDTs implementation process. Relevant Settlors have established Host Community Development Trusts for these communities, ensuring that funds are released and community development plans are actively underway.”

Among NUPRC’s key achievements are the incorporation of 137 HCDTs with over N200 billion disbursed, and the initiation of 198 community development projects focusing on education, healthcare infrastructure, and economic empowerment. The NUPRC has also established alternative dispute resolution (ADR) centers in Bayelsa and Lagos to promote peaceful coexistence between host communities and oil and gas operators.

In addition, the Commission has introduced the HostComply portal, which the Head of Public Affairs and Corporate Communicatio explained as an “industry data automation portal for warehousing all HCDT implementation and operationalization processes and data for ease of access, inclusivity, fairness, accountability, transparency, and compliance with regulation and the law.”

Shonola concluded by encouraging stakeholders to engage directly with the NUPRC regarding concerns about project funding, rather than resorting to public statements that may escalate tensions: “For concerns regarding funding or implementation of projects, we urge parties to engage with us directly for resolution rather than resorting to public statements that may misinform or escalate tensions.”

For further information on the HostComply portal, visit : https://hostcomply.nuprc.gov.ng/.