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SERAP demands full breakdown of FAAC allocations since 2023
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Says funds meant for the poor have been diverted to luxury and waste
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Warns of court action if details are not made public 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, to publish details of how they have spent the estimated ₦14 trillion fuel subsidy savings received from the Federation Account Allocation Committee (FAAC) since mid-2023 — or face legal action.
SERAP Demands Full Transparency
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In a Freedom of Information (FoI) request dated October 4, 2025, and signed by Kolawole Oluwadare, the group’s deputy director, SERAP demanded full disclosure of all projects funded with the savings, including their locations, implementation status, and completion reports.
The organisation accused the governors and FCT minister of “shrouding the spending in secrecy” despite collecting huge allocations that have failed to improve citizens’ access to quality education, healthcare, and other basic services.
“The savings from the removal of fuel subsidy ought to be spent solely for the benefit of poor and vulnerable Nigerians who are bearing the brunt of the removal,” SERAP stated.
“Transparency in the spending of the money would help avoid a morally repugnant result of double jeopardy on these Nigerians.”
Call for EFCC, ICPC Oversight
SERAP also called on the governors and Wike to invite the EFCC and ICPC to monitor the spending of the funds to prevent diversion into private accounts.
The organisation alleged that many states are using public funds — including subsidy savings — to finance luxury trips, purchase exotic vehicles, and sustain the extravagant lifestyles of political elites, while millions of Nigerians continue to languish in poverty.
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Supreme Court Ruling Cited
Referencing a landmark Supreme Court judgment, SERAP reminded the governors that the Freedom of Information Act applies to all public institutions, including state governments, and that failure to disclose the details would amount to “a blatant disregard of the Court’s ruling.”
“The judgment sends a powerful message that state governors can no longer escape accountability for how they spend public funds,” SERAP said.
“We would be grateful if the recommended measures are taken within seven days. Otherwise, we shall consider appropriate legal actions to compel compliance in the public interest.”
FAAC Figures Under Scrutiny
According to SERAP, FAAC distributed ₦28.78 trillion in 2024 following the fuel subsidy removal — a 79 percent increase from the previous year. Of this, states reportedly received ₦5.22 trillion, while monthly disbursements in 2025 have surpassed ₦1.6 trillion.
Despite these figures, the group noted that many states still owe salaries and pensions, while poverty and underdevelopment persist nationwide.
Legal and Moral Obligation
SERAP reminded the governors that Sections 13, 15(5), and 16(2) of the Nigerian Constitution, alongside the UN Convention against Corruption, compel public institutions to ensure accountability and transparency in the management of public resources.
“Nigerians have the right to know how their states and the FCT are spending the savings from the removal of fuel subsidy as part of their human right to information,” SERAP said.
