Key stakeholders and lawmakers push for revisions to the Petroleum Industry Act, aiming to boost the host community allocation to 6 percent.

Leaders of oil-producing host communities in the Niger Delta and members of the House of Representatives have agreed to push for changes to the Petroleum Industry Act (PIA) 2021, aiming to increase the allocation to host communities from three percent to six percent.

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This decision was made at the end of a joint retreat held at the Protea Hotel in Owerri, which involved the House of Representatives Committee on Host Communities, the House Committee on Public Petitions, and HOSTCOM Trustees from across the Niger Delta.

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Dekor Dumnamene Robinson, Chairman of the House Committee on HOSTCOM, announced that his committee would sponsor the proposed amendment in the House of Representatives, citing the current three percent provision as inadequate for addressing the development needs of oil-bearing communities.

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According to Robinson, experience gathered over the past five years has shown that the existing allocation is no longer sufficient to meet the pressing demands for infrastructure and social services in the region, including schools, healthcare, roads, and environmental remediation.

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Robinson stated that the initial three percent allocation was a good starting point in 2021, but the past five years have made it clear that this amount is insufficient to meet the critical development needs of the communities, such as youth employment, skills acquisition, and potable water.

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The proposed amendment will follow the standard legislative process in the House of Representatives, with the support and collaboration of HOSTCOM Trustees across the Niger Delta, and will be drafted, presented, and pursued through the legislative process with the backing of host community representatives.

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The retreat called on key stakeholders, including the Federal Ministry of Petroleum Resources, the Nigerian National Petroleum Company Limited, and the Nigerian Upstream Petroleum Regulatory Commission, to support the proposed amendment in the interest of peace, stability, and sustainable development in the Niger Delta.

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S. C. Dike, in his keynote address, described the planned amendment as a significant legislative effort concerning the Niger Delta since the enactment of the PIA in 2021, noting that the current realities have shown the need for a review of the three percent allocation.

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Dike pointed out that while the three percent allocation was seen as a major achievement in 2021, it is no longer sufficient, and increasing the provision from three percent to six percent is a fair and achievable solution that aligns with the spirit and objectives of the Petroleum Industry Act.

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The retreat also resolved to strengthen the HOSTCOM framework by promoting greater inclusion of women, youths, and other stakeholders in the governance structure of host community development trusts.

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Copies of the resolutions will be forwarded to the Speaker of the House of Representatives, the President of the Senate, President Bola Ahmed Tinubu, and other relevant authorities, as stated in the communiqué issued at the end of the meeting.

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Stakeholders at the retreat emphasized that the immediate priority of Niger Delta host communities is to increase the HOSTCOM allocation from three percent to six percent, rather than focusing on the decentralisation of Tantita security contracts.