PIA: HCDTs Have Reduced Communities, Oil Firms Conflict, Says Senate Committee

Blessing Ibunge in Port Harcourt

The establishment of Host Communities Development Trusts (HCDTs) by International Oil Companies have significantly reduced conflicts between host communities and firms operating in their domain, the National Assembly has said.

Chairman, Senate Committee on Host Communities, Senator Benson Agadaga, made the observation during the inauguration of projects by TotalEnergies EP Nigeria Limited at the Obagi Oilfield Host Communities Development Trust (HCDT) in Ogba/Egbema/Ndoni Local Government Area of Rivers State on Wednesday

Agadagba acknowledged that there was reduced hostility in the oil industry, and also relative peace in the Niger Delta due to the achievements of Petroleum Industry Act (PIA) through HCDT.

He charged the Nigeria Upstream Petroleum Regulatory Commission (NUPRC) to take stringent measures against International Oil Companies (IOCs) that failed to adhere to the PIA provisions on setting up and implementing HCDT.

Agadagba said, “Host communities are no longer as hostile as before because all of us are expecting that the PIA will give us the required dividends and now, we are seeing them.

“There is a pronouncement on the PIA for IOCs to set up the HCDT and where they fail to do so after three months, they will be sanctioned. Those who have not done it will be sanctioned because this is the only hope of peace and stability in the oil producing areas.

“We no longer want disruptions in our productions, we need maximum production; we need to meet up with targets at least, two million barrels per day, so we don’t want any interruptions.”

He challenged other HCDTs, who were yet to implement theirs, to emulate what the Obagi HCDT had done.

Agadagba said, “I call on the host communities that are yet to have projects to be commissioned to do so now, also call on other International Oil Companies, IOCs, to set up their own HCDTs; it is against the PIA if you don’t set up your own community development trust.”

He described the projects as quite significant and urged the youth to own and protect the them.

The projects, which traversed infrastructure, health facilities, agriculture, livelihood support, human capacity development, economic empowerment, among others, were sequel to the establishment of the HCDTs under the PIA 2021 that placed communities at the centre of development planning and execution.

The execution of the projects by TotalEnergies aligned with the implementations of the 17 United Nations Sustainable Development Goals (SDGs).

Deputy Governor of Rivers State, Professor Ngozi Odu, who is from the area, recalled the challenges faced by the people especially, poor infrastructure, before the implementation of the projects.

Odu applauded TotalEnergies and its partners for implementing the PIA and also thanked President Bola Tinubu and members of the National Assembly for creating the enabling environment for achieving such milestones.

Managing Director of TotalEnergies EP Nigeria Limited, Matthieu Bouyer, said within the Community Development Plan (CDP) of the HCDT, a total of 539 projects were identified and approved for implementations across 64 host communities

Bouyer said the seven projects inaugurated were an embodiment of priorities identified by the community as captured in the CDP, and diligently executed by the Board of Trustees and management committee, chosen by the people.

He said TotalEnergies aligned with the spirit and intent of the PIA by incorporating and funding five HCDTs, including the Obagi HCDT.

The managing director said, “We will continue to work with industry stakeholders for effective implementation of the PIA to ensure the sustainable socio- economic development of our host communities in particular and the country at large.”

He commended the Obagi HCDT board of trustees for their dedication, efficiency and accountability in delivering the projects, urging the communities to take full ownership of the projects.

Bouyer stated, “Sustainability depends not just on infrastructure, but on maintenance, protection and responsible use.”

The communities expressed excitement over the projects and applauded TotalEnergies for its commitment to ensuring timely completion of the projects, which they said had made enormous impact on their lives.