Stakeholders Push for Transformation in Host Community Trusts at HCDT Roundtable

Senior executives, regulatory officials, and community development specialists have examined the progress and challenges of Host Community Development Trusts’ implementation under Nigeria’s Petroleum Industry Act (PIA).

Four years after the PIA made HCDTs a statutory requirement, the gathering provided a timely opportunity to evaluate what is working, what is not, and what strategic steps are needed to ensure these frameworks go beyond compliance to deliver meaningful development in host communities.

Organised by First Fiduciary Limited and AO2LAW, in partnership with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the roundtable brought together energy sector stakeholders to assess four years of HCDT operations, identifying effective practices and persistent obstacles that require strategic intervention.

Executive Chairman of First Fiduciary Limited, Mr. Bidemi Olumide, opened the forum by stating that HCDT is beyond mere regulatory compliance; it is an instrument for transforming relationships between energy companies and host communities. His remarks highlighted the critical role of transparent trust structures and sustained community impact.

Assistant Director and Head of the Host Community Development Branch at NUPRC, Olatokunbo Karimu, presented comprehensive data on current HCDT performance. His keynote revealed that over $150 million has flowed into HCDT accounts, with automated compliance systems like HostComply now operational, and capacity development programs underway. Despite these advances, Karimu acknowledged persistent challenges in skills development, funding enforcement, and meaningful community participation, areas that require more deliberate and coordinated responses from all stakeholders.

The first session, “HCDT Implementation: Addressing Challenges and Exploring Solutions,” moderated by Managing Director of First Fiduciary Limited, Mr. Oyeyemi Oke, examined operational bottlenecks and real-world execution issues. “The success of the HCDT framework depends not just on compliance, but on credibility, we need to move from ticking regulatory boxes to building systems that communities can trust and engage with. That’s where real development begins,” Oke emphasised during the discussion. The session reinforced the idea that comprehensive needs assessments and inclusive planning are essential to trust sustainability.