Oil Sector: Reps Threatens Sanctions Over Poor PIA Implementation

By Davies Iheamnachor, PORT HARCOURT:

Stakeholders in the Niger Delta have urged closer scrutiny of the accountability mechanisms governing Host Community Development Trusts (HCDTs) as they implement the Petroleum Industry Act (PIA).

They stressed that sustained oversight is essential to ensure that oil‑producing communities fully benefit from the PIA.

The appeal was made during a one‑day town‑hall meeting titled “Maximizing the Benefits of Host Community Development Trusts in Host Communities in the Niger Delta,” held in Port Harcourt.

Mrs. Florence Ibok‑Abasi, Country Director of the Stakeholder Democracy Network (SDN), highlighted that while the HCDT framework has achieved notable successes in some areas, it still requires greater transparency and stakeholder engagement to reach its full potential.

Ibok‑Abasi said, “The HCDT is a very unique model. We have observed significant gains in some states, and some of the projects are remarkable. However, what is extremely important is to have a monitoring process.”

She added that civil society groups are promoting accountability rather than targeting stakeholders, and cautioned that Nigeria’s energy transition makes it crucial for host communities to maximize the opportunities offered by trust funds, as future oil revenues may decline.

Dumnamene Dekor, Chairman of the House of Representatives Committee on Host Communities, expressed concern over the slow pace of implementation, despite funding for about 140 trusts across the Niger Delta.

He stated, “About 140 Trusts have been funded, either fully or partly, but are we having that impact in these communities? The answer is no.”

Dekor attributed the delays to leadership disputes, internal conflicts, and prolonged litigation within some host communities.

The lawmaker warned that the committee would intensify its oversight from July 2026 and would compel trust administrators to explain how funds were being spent.

He affirmed that the National Assembly would employ all available legislative measures to ensure compliance with every aspect of the implementation.

The meeting also featured the presentation of SDN’s study, “Evaluation of the Implementation Status of Host Community Development Trusts in the Niger Delta.”

SDN launched its Independent Host Community Development Trust Monitoring, Evaluation, Accountability, Reporting and Learning Platform—a digital tool designed to provide real‑time information on HCDT implementation.

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