The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has issued a 48-hour ultimatum to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to dissolve a disputed Host Community Development Trust over allegations of improper constitution and flawed local representation.
The directive was delivered during an investigative hearing conducted by RMAFC’s Investment Monitoring Committee into the operations of Sterling Oil Exploration and Energy Production Company (SEEPCO) and its compliance with the Petroleum Industry Act (PIA).
Addressing regulatory officials on Thursday at the commission’s headquarters, Committee Chairman and Federal Commissioner representing Anambra State, Ekene Enefe, condemned SEEPCO’s repeated failure to attend proceedings and vowed to hold operators accountable.
“We are going to give you 48 hours to dissolve that host community development trust,” Enefe declared to NUPRC representatives, adding regarding SEEPCO, “We are going to write them and we are going to give them an ultimatum to pay up what is owed the host communities.”
The decision followed sharp objections from legal counsel representing the affected oil-producing communities, Peter Chukwudi, who rejected NUPRC’s defence that the trust was legally incorporated and properly funded. Chukwudi argued that recognised representatives lacked community approval, genuine consultations were never conducted, and tangible development remains absent despite years of oil extraction.
While echoing these concerns, Anambra State Commissioner for Petroleum and Mineral Resources, Professor Charles Ofoegbu, urged tighter collaboration between state authorities and the NUPRC to verify genuine community representation and ensure transparent accounting of statutory contributions.
NUPRC Director of Host Communities, Ufondu Ejiro defended the regulator and maintained that the agency had strictly adhered to the law, presenting records of statutory contributions, governance structures, and consultation documents.
However, RMAFC Chairman Mohammed Shehu insisted that the agency would fulfill its constitutional mandate “without fear or favour” to ensure host communities receive their rightful benefits under the law, characterising the oversight exercise as “an important national service and a critical national responsibility.”
The committee confirmed it will submit its final findings to relevant authorities once the probe concludes.