The Socio Economic Rights and Accountability Project, SERAP, has taken Nigeria’s state governors and the Federal Capital Territory minister to court over the handling of fuel subsidy savings running into trillions of naira.
The lawsuit targets 35 state governors, FCT Minister Nyesom Wike and the Office of the Accountant General of the Federation. SERAP says they have failed to properly explain how about N14 trillion paid to states after the removal of fuel subsidy was used.
The suit was filed on Friday at the Federal High Court in Lagos.
According to SERAP, states began receiving significantly higher monthly allocations after fuel subsidy was removed in May 2023. However, the group says Nigerians have seen little or no improvement in basic services despite the huge inflow of funds.
In a statement by its Deputy Director, Kolawole Oluwadare, SERAP said the subsidy savings have not translated into better healthcare, education or social support for poor and vulnerable citizens.
SERAP is asking the court to order the governors and the FCT minister to publicly account for how the funds were spent. This includes providing details of projects funded with the money, their locations and their current status.
Court documents show that the Federation Account Allocation Committee shared about N28.78 trillion from subsidy savings in 2024 alone. This represents a 79 percent increase compared to the previous year.
The filing also states that allocations to state governments rose to N5.22 trillion, an increase of over 45 percent. Some monthly disbursements in 2025 reportedly exceeded N1.6 trillion.
SERAP argues that despite these figures, many states are still owing salaries and pensions and continue to borrow to cover basic expenses.
The organisation says weak oversight and poor transparency have left millions of Nigerians struggling without access to essential services. It insists that citizens have a constitutional right to know how public funds are spent.
SERAP is urging the court to compel full disclosure and ensure accountability for the fuel subsidy savings.
