Library / Page 1 of 35 MIDSTREAM PETROLEUM HOST COMMUNITIES DEVELOPMENT TRUST REGULATIONS, 2024
Page 1 of 35 MIDSTREAM PETROLEUM HOST COMMUNITIES DEVELOPMENT TRUST REGULATIONS, 2024
Page 17 of 35
Page 17 of 35 (2) The fund distribution matrix shall set out - (a) the basis for proposed allocation of funds to host communities based on equitable and economic principles in accordance with the approved development plan; (b) description of the existing program of host community support prior to the Act, where applicable; and (c) such other matters that the Authority may specify from time to time. PART V-ESTABLISHMENT AND MANAGEMENT OF THE HOST COMMUNITIES DEVELOPMENT TRUST 23 (1) A licensee shall establish a Host Communities Development Trust Fund (the Fund) in the name of the trust. (2). The Fund shall be deposited in a designated account, in a commercial bank duly licensed by the Central Bank of Nigeria with a minimum credit rating of ‘BBB’ issued by at least, two rating agencies, one of which shall be a rating agency incorporated in Nigeria and registered with the Securities and Exchange Commission. (3). The Board of Trustee of the Fund shall maintain in the same commercial bank the following accounts - (a) the collection account, into which the licensee shall pay its annual contribution to the Fund. (b) the capital fund account, into which the 75% of the amount standing to the credit of the collection account shall be paid and utilised in accordance with these Regulations. (c) the reserve fund account, into which 20% of any amounts standing to the credit of the collection account shall be paid and utilised in accordance with these Regulation; and (d) the administrative cost account to be entrusted to the licensee, into which an amount not exceeding 5% of any amount standing to the credit of the Establishment of the Host Communities Development Trust Fund by the licensee
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