Nigeria Registers 172 Host Community Trusts, Boosts Oil Production

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has made significant progress in registering Host Communities Development Trusts (HCDTs), incorporating 172 such trusts across the country, according to its chief executive, Oritsemeyiwa Eyesan.

This development comes as a result of the commission's enforcement of the provisions of the Petroleum Industry Act (PIA) regarding host communities and operating companies' obligations. The NUPRC has put in place regulations and procedures to streamline the process of registering HCDTs, which are required by law for oil and gas companies to contribute 3% of their Operating Expenditure to a Host Communities Trust Fund.

The trusts have been instrumental in funding infrastructure projects such as schools, hospitals, and other essential facilities, contributing significantly to peace and stability in previously volatile communities. As a result, there has been an increase in oil production, according to Eyesan.