Oil-producing communities across Nigeria have received a combined ₦358.6 billion under the Host Community Development Trusts (HCDTs) framework established by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The funds are supporting over 536 development projects currently underway in various oil-bearing regions.
According to a statement issued by the Commission’s Head of Media and Strategic Communication, Eniola Akinkuotu, the initiative represents a major achievement under the Petroleum Industry Act (PIA) and underscores the government’s commitment to fostering inclusive growth and reducing tensions in host communities.
The report disclosed that total remittances include ₦122.34 billion in naira contributions and $168.91 million in dollar inflows, translating to a combined equivalent of ₦358.67 billion based on prevailing exchange rates.
These funds are being utilized to finance projects in education, healthcare, road construction, and vocational training, with several initiatives already nearing completion.
The NUPRC stated that the Trust model has improved transparency and accountability in the management of community funds and has significantly strengthened relationships between oil companies and their host communities.
It added that the initiative has also helped reduce incidents of vandalism and crude oil theft in the Niger Delta region.
“The Host Community Development Trusts have established a more stable and transparent framework for managing social investments in oil-producing areas,” the Commission said. “This approach ensures that community development is driven by structured funding, measurable outcomes, and shared accountability.”
The regulator further noted that the success of the Trust framework aligns with the objectives of the Petroleum Industry Act, 2021, which mandates upstream operators to contribute directly to the development of their host communities.
By channeling these funds into tangible infrastructure and social projects, the Commission said, the policy is delivering long-term value and promoting peace in oil-producing regions.
The NUPRC reaffirmed its commitment to ensuring full compliance by all licensees and lessees with host community obligations, adding that it continues to monitor the implementation of projects to guarantee that funds are effectively utilized for the benefit of the communities.