Stakeholders in the Niger Delta have called for stronger oversight, transparency and accountability in the management of Host Community Development Trusts (HCDTs), warning that gaps in PIA implementation could undermine the benefits expected from the Petroleum Industry Act.
The concerns were raised during a one-day town hall meeting in Port Harcourt titled “Maximizing the Benefits of Host Community Development Trusts in the Niger Delta.” Participants urged government agencies, trust administrators and community leaders to strengthen monitoring systems and ensure that allocated funds deliver measurable development outcomes.
The Petroleum Industry Act established Host Community Development Trusts as a framework for directing benefits from oil and gas operations to host communities. The initiative was designed to promote development, reduce conflicts and improve relationships between energy companies and local populations. However, stakeholders at the meeting said several challenges continue to affect the effectiveness of the programme across the region.
Country Director of Stakeholder Democracy Network (SDN), Mrs. Florence Ibok-Abasi, said some communities have recorded meaningful progress under the trust framework. She noted, however, that greater transparency and stakeholder engagement are necessary to achieve the full objectives of the scheme. According to her, proper monitoring mechanisms must be put in place to guarantee that resources allocated to communities are used for approved projects and long-term development goals.
Ibok-Abasi emphasized that civil society groups are not working against stakeholders but are focused on supporting accountability and improving PIA implementation. She added that effective management of community resources is becoming increasingly important as Nigeria gradually shifts from heavy dependence on oil revenues.
Chairman of the House of Representatives Committee on Host Communities, Hon. Dumnamene Dekor, expressed concern over the slow pace of PIA implementation despite the establishment and funding of about 140 trusts across the Niger Delta. He said many host communities have yet to experience the expected benefits due to leadership disputes, internal conflicts and ongoing legal challenges.
Dekor warned that the committee would intensify its oversight activities beginning in July 2026. He stressed that trust administrators would be required to account for how funds are managed and spent. The lawmaker further stated that the National Assembly would deploy all available legislative measures to ensure compliance with the provisions of the Act and improve PIA implementation across the region.
The event featured the presentation of an SDN report evaluating the performance of Host Community Development Trusts. The study highlighted achievements, governance gaps and operational challenges affecting the trusts. SDN also launched an Independent HCDT Monitoring, Evaluation, Accountability, Reporting and Learning Platform, a digital system designed to track projects, improve transparency and strengthen real-time reporting across host communities.
