Tension in Delta: Isoko Communities Threaten to Shut Down Oil Operations Over Unpaid Development Funds!

Apparently disturbed over the deplorable state of their various communities as a result of decades of neglect by oil companies operation in these communities,stakeholders in Isoko land are spoiling for shut down of oil operations in their land.

This was contained in a statement jointly signed by Erere Okpako Angela Akpofa For Isoko Grassroot Mobilizers.

In the statement they stated that they are particularly disturbed and disappointed that nearly two years after inauguration of AIO Host Community Development Trust (AIO HCDT) as mandated by the Petroleum Industry Act (PIA) of 2021,nothing has happened.

By the Act,Oil companies are expected to channel three percent of their Operating Expenditure (OPEX) to the HCDTs for the development of the host communities.

Of these funds,75% is earmarked for infrastructure development while 20% and five percent are for investment and administrative purposes respectively.

But as we write this,even the five percent that is to enable a proper take off has not been released let alone those for infrastructure and reserve.

The various communities are visibly disturbed thus calling for a review of any relationship that exists between them and the oil companies particularly the Nigerian National Petroleum Company Exploration and Productions Limited (NEPL) operators of OML 26 and the new players ,Sterling Global saying that unless something urgent is done,operations and activities of these companies may not be guaranteed.

The AIO HCDT has been working without tools,not even office accommodation.

Indeed,so many meetings have been held with the NEPL in Warri and Ozoro with the hope of resolving all grey areas but back and forth have been the ordeal of the HCDT and now the communities say enough is enough.

“We wonder if PIA is a curse or a blessing?” one community leader who declines to be named lamented recently.
Before the advent of the PIA and inauguration of the HCDTs,administration of Community activities were carried out under the Global Memorandum of Understanding (GMoU) as a doctrine of necessity thinking that a more structured PIA will make for easier and better administration but sadly,the situation has not been any way better.

Earlier in October, 2025 NEPL communicated to the AIO Board of Trustees(BOT) Chairman the approval of the five percent administrative budget but as we write this,the bank account has not funded thus creating more complications to operationalising the HCDT activities.

While the agitated communities including the Isoko Youth Assembly spoil for a show down with the oil companies,the BOT of the AIO HCDT is trapped between two difficult sides of the divide.
Insiders at the NEPL however admitted that things are really slow but plead for the communities understanding.

The Isoko stakeholders say the oil companies should not over reach their luck as “we can no longer allow them to take us for granted.We implore the operators to expedite actions to forestall any possible consequences that may result from a shutdown.”

The stakeholders also prevail on government interventions to save the situation and avoid economic losses to all .