Agitations for a direct share of the 13 percent oil derivation fund resurfaced over the Weekend as host communities in the Niger Delta urged state governors to remit part of the allocation to community-based trusts, even as the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced the incorporation of 155 Host Community Development Trusts (HCDTs) under the Petroleum Industry Act (PIA).

The demand formed the highpoint of a town hall meeting between the NUPRC, host community representatives and oil companies in Rivers State.

National President of Host Communities of Nigeria Producing Oil and Gas, Dr. Benjamin Style Tamaranebi, accused state governments of politicising the 13 percent derivation fund, arguing that oil-bearing communities have not received commensurate benefits from the resources extracted from their lands.

“Thirteen percent derivation was not meant for state governments alone. It was meant for the development of host communities,” he declared.

“Now that the PIA is on board, we are calling on governors to release part of that fund to the Host Community Development Trusts to complement what the law has provided.”

Tamaranebi linked past struggles in the Niger Delta to the creation of interventionist frameworks such as the Niger Delta Development Commission (NDDC) and the Presidential Amnesty Programme, insisting that the current call is part of a broader push for resource justice and inclusive development.

He, however, warned trust executives against violating statutory spending limits under the PIA, stressing that only five percent of HCDT funds is earmarked for administration, while 75 percent must go to projects and 20 percent to investments.

“If we tamper with the 75 percent meant for projects, we are depriving ourselves of development,” he cautioned.

NUPRC Highlights Progress, Admits Challenges
Earlier, the NUPRC disclosed that 155 HCDTs have been incorporated across the Niger Delta since the implementation of the PIA, with 79 already funded through the mandatory three percent operational expenditure (OPEX) contributions from oil companies, known as settlors.

Representing the Commission Chief Executive, Mrs. Oritsemeyiwa Eyesan, an Assistant Director, Mr. Success Ikpe, said the Commission is currently superintending about 663 projects being executed by various trusts.

He added that the Commission has deployed a digital reporting platform, “HostComply,” to monitor trust activities in real time and strengthen compliance with regulatory standards.

Despite the milestones, the Commission admitted to lingering concerns over governance, accountability, bureaucratic delays and internal disputes within some communities.

To tackle these issues, the NUPRC outlined measures including capacity building for trust board members, improved stakeholder engagement, structured dispute resolution mechanisms and independent monitoring frameworks.

“The success of the HCDTs requires collective commitment from government, oil companies, traditional rulers and the communities themselves,” the Commission said, urging stakeholders to see the PIA as an opportunity to drive sustainable and inclusive development.