The Socio-Economic Rights and Accountability Project (SERAP) has called on all 36 state governors and the Minister of the Federal Capital Territory (FCT), Nyesom Wike, to publicly account for the trillions of naira received from fuel subsidy savings since the removal of the policy in 2023.
In a statement issued on Sunday by its Deputy Director, Kolawole Oluwadare, the organisation urged the governors and the FCT Minister to release detailed reports on how the funds have been spent and to outline plans for the use of future allocations derived from the subsidy removal.
SERAP made the demand through a series of Freedom of Information (FoI) requests addressed to the governors and the FCT administration. The group expressed concern that the disbursement and utilisation of the increased allocations from the Federation Account Allocation Committee (FAAC) have been conducted without transparency or public scrutiny.
The rights organisation warned that the absence of accountability creates a high risk of corruption, diversion of public resources, and wasteful spending on luxuries, while millions of Nigerians continue to endure economic hardship, unpaid wages, and inadequate access to essential social services.
According to SERAP, the substantial rise in FAAC allocations following the end of fuel subsidy payments should have produced visible improvements in living standards, but the outcomes so far have failed to reflect the increased inflow of public funds.
The group cautioned that if the governors and the FCT Minister fail to respond within seven days of receiving the FoI requests, it would take legal action to compel compliance, citing the Freedom of Information Act and relevant Supreme Court judgments.
“There is a significant risk of mismanagement or diversion of funds linked to the increased FAAC allocations collected by the states and FCT,” the statement read in part. “The spending details of the money collected have largely been shrouded in secrecy, even as millions of poor and vulnerable Nigerians continue to suffer amid rising poverty.”
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SERAP further alleged that several states may have used portions of the funds to finance extravagant expenditures, including foreign trips and luxury vehicles for political officeholders.
The group noted that the FAAC distributed about N28.78 trillion in 2024, representing a 79 per cent increase over the previous year, with states receiving N5.22 trillion. However, despite these higher revenues, many states still owe salaries and pensions, and citizens remain deprived of basic services.
SERAP maintained that transparency in the management of subsidy savings would promote accountability, curb corruption, and help improve the welfare of Nigerians.
