The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has revealed that the Host Community Development Trust (HCDT) fund has increased to ₦373 billion, supporting 536 active development projects in oil-producing regions across the country.
In a statement issued on Monday by its Head of Media and Strategic Communications, Eniola Akinkuotu, the commission explained that the fund includes ₦125 billion and $168.9 million in contributions from oil companies, as stipulated by the Petroleum Industry Act (PIA) 2021.
Under the PIA, oil firms—known as “settlors”—must contribute 3% of their annual operating expenses from the previous year to improve the welfare of their host communities. Each company is also required to form a Board of Trustees in collaboration with the communities and register it with the Corporate Affairs Commission to manage the trust.
The NUPRC clarified that it does not have direct access to the fund but ensures transparency through HostComply, a digital monitoring system that tracks project implementation and fund usage in real time.
According to the NUPRC Chief Executive, Gbenga Komolafe, the initiative is already yielding results. He noted that the commission recently facilitated the commissioning of 10 completed projects and the launch of another 10 under the Obagi Host Community Development Trust, managed by TotalEnergies in Rivers State.
These projects—commissioned between September 24 and 25 in Ogbogu, Ogba/Egbema/Ndoni Local Government Area—include a two-storey classroom block, a renovated 20-bed hospital, an upgraded civic centre, road rehabilitation, and solar-powered boreholes.
Komolafe, represented by Executive Commissioner for Health, Safety, Environment and Community, John Tonglagha, said the projects were aimed at improving education, healthcare, and job creation, while fostering better relations between host communities and oil companies.
Rivers State Deputy Governor, Prof. Ngozi Odu, who attended on behalf of Governor Siminalayi Fubara, commended the transparent handling of the fund, saying the scheme has brought visible progress compared to past community projects.
Similarly, Senator Benson Agadaga, Chairman of the Senate Committee on Oil and Gas Host Communities, said the initiative was helping to maintain peace in the Niger Delta by ensuring that communities benefit directly from oil operations.
TotalEnergies Managing Director, Matthieu Bouyer, said the company has identified over 500 projects in 60 communities, generating over 1,000 jobs and benefiting more than 30,000 residents.
Chief Dike Hopeson Dike, Chairman of the Obagi HCDT Board of Trustees, added that the community had installed 125 solar-powered boreholes, providing clean water to about 70% of residents.
He said the programme is transforming the area “from poverty to prosperity,” while the NUPRC reaffirmed its commitment to ensuring accountability, inclusion, and lasting peace between oil companies and their host communities.
