— 536 Projects Ongoing Across Host Communities
By Obas Esiedesa, Abuja
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced that the Host Community Development Trust (HCDT) fund has grown to ₦373 billion as of October 13, 2025, with 536 projects currently ongoing across various host communities.
In a statement issued by the Commission’s Head of Media and Strategic Communications, Eniola Akinkuotu, the NUPRC disclosed that the fund comprises ₦125 billion and $168.9 million, set aside by oil companies in line with Section 235 of the Petroleum Industry Act (PIA), 2021.
The Act mandates oil and gas operators (settlers) to contribute 3% of their annual operating expenditure from the previous year to a trust fund benefiting host communities. These funds are held in BBB-rated banks and are used to execute development projects determined through a community-led needs assessment.
The fund is aimed at driving infrastructure development, education, healthcare, environmental protection, and youth empowerment in oil-producing communities, especially in the Niger Delta. This approach is expected to curb pipeline vandalism and foster peace and shared prosperity in these regions.
Each trust is managed by a Board of Trustees and a Management Committee, ensuring transparency and community involvement. While the NUPRC does not control the funds directly, it monitors compliance and progress through a dedicated dashboard known as HostComply, in line with its regulatory mandate.
As part of the implementation of the PIA, the NUPRC recently facilitated the commissioning of over 10 completed projects and the launch of 10 more under the Obagi Host Community Development Trust (HCDT) in Rivers State, operated by TotalEnergies.
The two-day event, held from September 24–25, 2025, at Ogbogu Community in Ogba/Egbema/Ndoni Local Government Area, marked a major milestone in the execution of the PIA’s host community provisions.
Key Projects Commissioned Include:
Construction of two-storey classroom blocks with 18 fully furnished classrooms at Ogbogu.
Remodeling of the Ogbogu Cottage Hospital and construction of a new diagnostic center.
Revitalization and infrastructure upgrade of the 1,200-capacity Ogbogu Ultra-Modern Civic Centre.
Construction of 260m asphalt pavement on Obe Road and 320m reinforced concrete pavement on SDA Road in Oboburu Community.
Establishment of the Amah Bottled Water Factory with a 1,500 bottles/hour capacity and sachet water plant (2,000 sachets/hour).
Procurement of a Gas Skid Plant in Erema Community.
Renovation and re-equipping of Akabuka South and North Primary Schools.
These projects were selected based on needs identified by the communities themselves — a core requirement of the PIA.
NUPRC Commission Chief Executive, Engr. Gbenga Komolafe, represented by Capt. John Roland Tonglagha, lauded the initiative, stating the projects would enhance education, healthcare, and job creation. He urged host communities to take ownership of the infrastructure and support the oil and gas sector’s growth.
Rivers State Deputy Governor, Prof. (Mrs.) Ngozi Nma Odu, praised the Obagi HCDT’s transparency, noting the stark difference from past administrations where community funds were often mismanaged.
Senator Benson Agadaga, Chairman, Senate Committee on Oil and Gas Host Communities, noted that the successful implementation of the PIA is contributing to peace in the Niger Delta, supporting the nation’s goal to exceed 2 million barrels per day in oil production.
TotalEnergies Nigeria MD, Matthieu Bouyer, expressed pride in leading the HCDT implementation. He highlighted that over 500 projects across 60 communities have been identified under the community development plan, creating more than 1,000 jobs and impacting over 30,000 people.
Chairman of the Obagi HCDT Board, High Chief Dike Hopeson Dike, assured continued cooperation with stakeholders. He noted that within one year, the trust had delivered over 125 units of 5,000-litre solar-powered boreholes, solving more than 70% of the community’s water problems.
The NUPRC reaffirmed its commitment to full implementation of the PIA and the transformation of host communities through inclusive and transparent development practices.
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