Oil companies have disbursed N80 billion to Host Communities Development Trusts (HCDTs) over the past two years, adhering to the mandates of the Petroleum Industry Act 2021.
This was revealed by the National Chairman of Host Communities of Nigeria Producing Oil and Gas, High Chief (Dr) Style Benjamin Tamaran-Ebi, during a Town Hall meeting on Friday.
Dr. Tamaran-Ebi reported that approximately 70 out of 167 HCDTs have received part of the 3% contribution, totaling over $150 million for the years 2021-2022. The announcement was made at a gathering organized by the Nigerian Upstream Petroleum Regulatory Commission, HOSTCOM Project Management and Advisory Konsult Ltd, and the Host Communities Development Board of Trustees and Settlors for Akwa Ibom and Abia states.
“We have verified that 70 out of 167 incorporated Trusts have been funded with N80 billion, with a dollar component exceeding $150 million,” Dr. Tamaran-Ebi stated. He emphasized that these funds are directed towards sustainable development in the communities, projecting significant transformation within five years due to the transparency of fund allocation.
Dr. Tamaran-Ebi also mentioned that the funds for 2023 are anticipated soon, encouraging communities to protect ongoing projects to secure further governmental trust and investment.
In his keynote address, the Chief Executive Officer of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Engr. (Dr) Gbenga Komolafe, expressed gratitude to the participants. Represented by Mr. Etukudo Williams, Eket Coordinator of NUPRC, Dr. Komolafe revealed that 167 HCDTs have been approved, with 124 fully incorporated by the Corporate Affairs Commission and 70 accounts already funded.
Mr. Williams also highlighted that the commission has engaged 31 competent fund managers to invest the funds for HCDTs, noting that some Community Trusts have started collaborating with these fund managers.
The event at Watbridge Hotels in Uyo underscored the collaborative efforts of various stakeholders to ensure the effective implementation of the Petroleum Industry Act and the sustainable development of host communities.
