The governors, instead, supported five per cent share to the communities.
The governors of Nigeria's southern states have rejected the proposed three per cent share to host communities in the Petroleum Industry Bill recently passed by the House of Representatives.
A communique issued by the governors at the end of their meeting in Lagos , Monday, said the governors, instead, supported five per cent share to the communities.
The governors, however, commended the lawmakers for the passage of the PIB.
After years of stalling, the House of Representatives, last week, passed the bill which also proposed 30% profit on oil to be used for "frontier explorations."
The governors rejected the proposal.
"However, the Forum rejects the ownership structure of the proposed Nigeria National Petroleum Company Limited (NNPC).
"The Forum disagrees that the company be vested in the Federal Ministry of Finance but should be held in trust by Nigeria Sovereign Investment Authority (NSIA) since all tiers of Government have stakes in that vehicle."
The Senate also passed the PIB last week.
Late President Umar Yar'Adua introduced the PIB to the sixth National Assembly but the lawmakers failed to pass the bill.
President Goodluck Jonathan reintroduced the bill to the seventh Assembly in 2012 but it did not get concurrent passage from both chambers