Implementation of Host Community Trust: Akwa Ibom Oil & Gas Communities Demand Engagement with Oil Companies

By Ekemini Simon 

Oil and gas host communities in Akwa Ibom State have demanded to engage with the oil and gas companies operating in their domain in preparation for the implementation of the Host Communities Development Trust (HCDT).

The HCDT which is part of the Petroleum Industry Act assented to by President Muhammadu Buhari in August 2021 gives 12 months timeline from the date of the passage of the PIA for setllors to set up HCDT within their host Communities.  The Act also notes responsibilities of the Settlors before incorporating the HCDT to include making conscious efforts to determine host communities, structure and number of Trust clusters, and call for a meeting with host communities to carry out several measures integral to the setting up of the HCDT.

At a one-day Policy Dialogue on Legal Framework Reviews in the Extractive Sector held in Uyo, the Akwa Ibom State Capital, on Friday August 12, 2022 and organized by the Accountability in Extractive Sector (AES) cluster through Policy Alert and the cluster anchor organization, CISLAC, within the framework of the the Strengthening Civic Advocacy and Local Engagement (SCALE) project with funding support from the United States Agency for International Development (USAID), implemented by Palladium, the indigenous people of Oil Producing Communities in Akwa Ibom State noted that they have not seen indications of preparedness by the oil companies to establish the Host Community Development Trust in line with the provisions of the PIA.

According to the Clan Head of Iko Community in Eastern Obolo, Eteidung Isiaha Thomas Okonko there is need for the companies to urgently meet with the communities in preparation to establish the Trust and its organs so that the people of the area will not be shortchanged.

Eteidung Okonko noted that they as a community will initiate the engagement even as they are poised on holding a community stakeholders meeting, and town hall meetings for sensitization of their indigenes.

On his part, the representative of the Youth President of Unyenge, in Mbo, John Akpanim, said besides pushing for the oil companies operating in their domain to kickstart the process of establishment of HCDT, they as a community will embark on wide sensitization and education of their indigenes on the PIA and the regulatory guidelines.

Also speaking, the youth leader of Ibeno, Martins Asukpa said it is worrisome that ExxonMobil which is operating in their domain has not taken any steps to kickstart the process for Host Community Development Trust rather wants to sell their assets in order to avoid responsibility.

Asukpa said  ExxonMobil must act responsibly by immediately commencing the process of implementing HCDT.

He said on their part, they will speed up advocacy to help in the gazetting of their communities, expand enlightenment and awareness to reach their grassroots, advocate for synergy among elders, politicians and host communities.

The resolve to meet with the companies to begin the process of the HCDT was also expressed by the Woman Leader of Edo Community in Esit Eket, Donor-Rachel Ekpe.

Earlier, the Program Manager of the anchor organisation, Civil Society Legislative Advocacy Centre (CISLAC), Chinedu Bassey charged the communities to be interested and focused in the implementation process of the Host Community Development Trust among other provisions in the PIA.

He said ” The PIA became a full-fledged law last year. Yet, can we look back and say that we have benefited enough as oil communities? With the PI A in place, how do we foster development?

” There is every need for us to focus on development and not violence. If we lend our voice on the implementation of Host Community Development Trust now, we can chart a course so that tomorrow our children would not question what we did during our time when this was going on.

“One day, these natural resources will finish or become reduced and will not bring adequate resources. Do not forget that fossil fuel may become extinct soon especially as the world is going into renewable energy. To survive that time, we must be interested in how we manage our resources now”.

The Lead on Extractives at Policy Alert, Mr. Mfon Gabriel who took in-depth analysis of the Guidelines to the Implementation of the PIA offered insight into the definition, purpose and timelines for the establishment of Host Communities Development Trust; powers of Nigerian Upstream Petroleum Regulatory Commission (NUPRC),  responsibilities of settlors, conditions for incorporation and consequences for non-Incorporation of HCDT amongst other issues.

Gabriel told the meeting that the delineation of Host Communities  include communities under GMOU/MOU before the PIA 2021, communities situated in or belonging to the area of operations/integrated facilities of the settlor, communities along the deep-water area of operation along the Gulf of Guinea of Nigerian shoreline up to about 500m inland, communities along shallow water of the area of operations, communities within the retained area after relinquishment, communities the settlor says are their host, communities recognized by a court of competent jurisdiction or by final appealed judgment and Littoral communities are determined by NUPRC and assigned to the settlor.

Meanwhile, the Accountability in Extractive Sector (AES) cluster anchored by the Civil Society Legislative Advocacy Centre (CISLAC), comprises Better Community Life Initiative (BECOLIN) in Imo state; Community Conciliation and Development Initiative (CCADI) in Port-Harcourt, Rivers state; Connected Advocacy for Empowerment & Youth Development Initiative (Connected Advocacy) in Edo state; Good Governance Team (GGT) Nigeria in Abuja-FCT; Institutional and Sustainable Development Foundation (ISDF) in Abuja-FCT; International Centre for Women Empowerment and Child Development (ICWECD) in Delta state; Policy Alert in Akwa-Ibom state; Social Development Integrated Center (Social Action) in Abuja-FCT/Rivers state; Speak Out Africa Initiative in Abuja-FCT; and Support for Training and Entrepreneurship Program (STEP) in Uyo, Akwa-Ibom state.