The Host Communities of Nigeria Producing Oil and Gas (HOSTCOM), says litigations is delaying the Host Community Development Trust (HCDT) Fund creation and implementation.

HOSTCOM said pending issues by host communities in choosing members and chairman of the Board of Trustees (BoT), also delayed the implementation of the HCDT funds.

Dr Benjamin Tamaranebi, National President, HOSTCOM, gave the clarifications on Thursday in Abuja, while reacting to claims on the Host Community Project Funding in Akwa Ibom.

The HCDT is responsible for managing and distributing oil company funds to the host communities, ensuring that resources are used effectively for community development projects.

Host communities in Akwa Ibom had decried delayed release of funds by oil companies to HCDT, alledging that it hindered projects implementation outlined in their respective development plans.

Community representatives from HCDT in Ibeno, Eket, Mbo, Esit Eket, Uruan and Ikot Abasi LGAs, chided the Nigerian Upstream Petroleum Regulatory Commission’s (NUPRC), for its inability to enforce statutory sanctions on defaulting oil companies.

However, Tamaranebi dismissed as “unfounded,” alleged delays in funding development projects in host communities in Akwa Ibom.

“We must state clearly that some of the delays of HCDTs creation are caused by community members and litigations over who wants to be a member and chairman of the Board of Trustees which has nothing to do with NUPRC.

“So, we advise communities to conduct themselves properly for the benefit of the HCDT funds,” he said.

He said the NUPRC initiated the HCDTs Forum to meet with community representatives through its HCDT trustees, to address broader issues and grievances ensuring continuous dialogue between host communities and the operators.

The national president said the forum had promoted transparency and accountability towards ensuring that community voices are heard at a higher level.

Tamaranebi said there was registration of reputable 34 asset/fund manager to invest 20 per cent of the three per cent Operating Expenses or Expenditure (OPEX) on behalf of the trusts.

“Some of the trusts are already benefiting from the dividend of this investments.

“These achievements underscore the commitment of the NUPRC and Settlors to the sustainable development of host communities.

“We encourage all stakeholders, including community members and operators, to maintain open lines of communication with the HOSTCOM or NUPRC,” he said.

On project implementation, Tamaranebi urged parties to engage with HOSTCOM directly for resolution rather than resorting to public statements that may misinform or escalate tensions.

He said HOSTCOM was actively monitoring the situation in Akwa Ibom and other states, to advocate for the rights and developmental needs of local communities. (NAN)(www.nannews.ng)

Edited by Chijioke Okoronkwo