Account for N14trn fuel subsidy savings or face legal action – SERAP tells Govs, Wike

…Demands public disclosure of FAAC allocations, project details within 7 days

The Socio-Economic Rights and Accountability Project (SERAP) has issued a seven-day ultimatum to Nigeria’s 36 state governors and the Minister of the Federal Capital Territory (FCT), Mr. Nyesom Wike, demanding a full public disclosure of how an estimated N14 trillion in fuel subsidy savings received from the Federation Account Allocation Committee (FAAC) has been spent.

In a Freedom of Information (FoI) request dated October 4, 2025, and signed by SERAP’s Deputy Director, Kolawole Oluwadare, the group urged the governors and the FCT minister to “urgently disclose details and locations of projects executed with the subsidy savings, including their implementation status and completion reports.”

SERAP further requested that the governors “provide plans on how subsequent subsidy savings from FAAC allocations will be spent, including details of any proposed projects.”

The rights organisation also urged the governors to “publicly invite the Independent Corrupt Practices and Other Related Offences Commission (ICPC)” and the Economic and Financial Crimes Commission (EFCC) to monitor the spending of the funds to prevent diversion of public resources into private pockets.

According to SERAP, the funds distributed to states since mid-2023 as part of the subsidy savings have not translated into visible improvements in access to public services such as education, healthcare, and infrastructure, especially for poor and vulnerable Nigerians.

“There is a legitimate public interest for governors and the FCT minister to urgently explain how they have spent the money collected from subsidy savings,” SERAP said in the FoI request.

The organisation noted that the FAAC distributed N28.78 trillion in 2024 from post-subsidy revenue, a 79 per cent increase from the previous year. Of that amount, N5.22 trillion went to state governments, with monthly allocations in 2025 reportedly exceeding ₦1.6 trillion.

Despite this, SERAP lamented that “millions of poor and socially vulnerable Nigerians have not benefited from the savings,” adding that “many states still owe salaries and pensions while continuing to borrow to fund recurrent expenditure.”

The group accused several state governments of “spending public funds, including fuel subsidy savings, on unnecessary foreign trips, luxury vehicles, and extravagant political lifestyles.”

SERAP reminded the governors and the FCT minister that Sections 13, 15(5), and 16(2) of the Nigerian Constitution mandate public institutions to abolish corruption, manage resources for the common good, and conform to constitutional principles.

It also cited Nigeria’s obligations under the UN Convention Against Corruption and the African Charter on Human and Peoples’ Rights, stressing that citizens have a constitutional right to know how their states are spending public money.

“Any failure to account for the spending of money collected from the subsidy savings will amount to a blatant disregard of the Supreme Court judgment, which affirmed that the Freedom of Information Act applies to all states and the FCT,” SERAP stated.

The group warned that if the governors and the FCT minister fail to respond within seven days, it would initiate legal proceedings to compel compliance in the public interest.