Promoting the Implementation of Extractive Reforms (NG0052)

Thematic Area: Extractive Transparency

Commitment: Promote the implementation of extractive reforms in Nigeria (PIA 2021, Solid Mineral Act and the 2011 guidelines and other relevant laws)

Brief Description of Commitment: This commitment strengthens transparency in Nigeria's oil, gas, and mining sectors. The commitment will improve public access to key information: Host Community Development Trust funds, Community Development Agreements, sector contracts, licenses, permits, and revenue data. A gap analysis of current laws will be conducted to identify weaknesses. This commitment will translate complex regulations into plain language that communities can understand. It will create community scorecards so citizens can track company performance, educate host communities about their rights under new extractive laws and establish a central data disclosure platform where anyone can access extractive sector information. These actions will give communities the knowledge and tools to hold government and companies accountable.

General Problem/Challenge Addressed by the Commitment: Nigeria's oil, gas, and mining sectors operate with limited transparency. Communities hosting extractive activities cannot access basic information about revenues, contracts, licenses, or permits. Host Community Development Trust funds exist on paper, but communities do not know how much money they should receive or how it gets spent. Companies sign Community Development Agreements behind closed doors. Extractive sector laws and regulations use technical language that ordinary citizens cannot understand. No central platform exists where the public can find extractive sector data. This information gap leaves communities powerless. They cannot track what companies promised versus what they delivered. They cannot verify if their statutory benefits reached them. They cannot hold government agencies or companies accountable for failures. Without access to clear information, host communities remain excluded from decisions that directly affect their land, environment, and livelihoods.

Specific OGP Issue(s) in Focus:
• Transparency
• Accountability
• Participatory Governance

Rationale for the Commitment: Nigeria passed new extractive sector laws, including the Petroleum Industry Act 2021 and amendments to the Solid Mineral Act. These laws contain strong transparency provisions. But passing laws is not enough. Most government officials do not fully understand the new requirements. Companies are not complying. Host communities do not know their new rights. No one is tracking whether the laws deliver their promised benefits. We need to measure where implementation stands today. We need to identify what is blocking progress. We need to close the gap between what the law says and what happens on the ground. This commitment creates the systems to monitor implementation, educate stakeholders, and make extractive sector information accessible to everyone who needs it.

Main Objective: To promote the implementation of extractive reforms in Nigeria (PIA 2021, Solid Mineral Act and the 2011 guidelines and other relevant laws)

Anticipated Impact: Communities will access real-time data on extractive sector revenues, contracts, and development funds. Government agencies and companies will face public scrutiny on their compliance with transparency laws. Host communities will use scorecards and rights education to demand accountability. The extractive sector will operate with greater openness, reducing corruption and ensuring benefits reach the people who bear the costs of oil, gas, and mining activities.

Expected Outcomes / Milestones (Performance Indicators):
1. Legal framework gaps identified and addressed
• Gap analysis report published covering PIA 2021, Solid Mineral Act, and related regulations
• Number of identified gaps with recommended solutions
• Number of regulatory agencies that adopt gap analysis recommendations
2. Host communities understand their rights and can track performance
• Number of host communities trained on extractive sector rights
• Number of community scorecards completed and published
• Simplified versions of key regulations published in multiple Nigerian languages
3. Extractive sector data accessible to the public
• Data disclosure platform launched and operational
• Number of datasets published (contracts, licenses, permits, HCDT allocations, revenues)
• Number of monthly users accessing the platform
• Percentage of extractive companies submitting required disclosures

Planned Activities | Start Date | End Date | Expected Output(s) | Output Indicator(s)
1. Review/gap analysis of relevant extractive laws/regulation | December 2025 | November 2029 | Gap Analysis Reports, Simplified Reports of identified gaps, Infographics, Factsheets | Number of gap analysis review reports on the extractive laws/regulation produced
2. Simplification, production and dissemination of extractive sector laws and regulations | December 2025 | November 2029 | Simplified laws and regulations, Infographics | Simplified extractive sector laws and regulations produced, Number of simplified extractive sector laws disseminated
3. Facilitate scorecard development on HCDT, CDA | December 2025 | November 2029 | Database, HCDT & CDA Scorecards, Videos and pictures of meetings | Number of scorecard development workshop held, Number of HCDTS participated, Number of CDAs participated, Number of Engagement reports produced
4. Awareness creation and rights education campaign for Host Community | December 2025 | November 2029 | Town halls, Workshops, Reports from meetings, Infographics, Media engagements | Number of town halls meetings held for host communities, Number of workshops held for host communities, Numbers of meeting reports produced, Number of media mentions
5. Establishment of extractive sector data disclosure centre | December 2025 | November 2029 | Database, Data centre | Data disclosure centre established for the extractive sector.
Source(s) of Funding: Government, Donors, Partners, etc.