The Socio-Economic Rights and Accountability Project (SERAP) has instituted a lawsuit against the 35 state governors and the Minister of the Federal Capital Territory (FCT), Mr Nyesom Wike, over their alleged failure to account for about ₦14 trillion realised as savings from the removal of fuel subsidy.

Also joined as a respondent in the suit is the Office of the Accountant-General of the Federation.

SERAP alleged that the governors and the FCT minister had received trillions of naira as increased allocations from the Federation Account Allocation Committee (FAAC) following the removal of fuel subsidy in May 2023, but said the funds had not translated into improved access to quality healthcare, education and other basic services for poor and vulnerable Nigerians.

The suit, marked FHC/L/MSC/1424/2025, was filed last Friday at the Federal High Court, Lagos, according to a statement signed on Sunday by SERAP’s Deputy Director, Mr Kolawole Oluwadare.

In the application, SERAP is urging the court to direct and compel the respondents to disclose full details of how the increased FAAC allocations, described as fuel subsidy savings, have been utilised since mid-2023.

Specifically, the organisation is seeking an order mandating the governors and Mr Wike to reveal details of the spending of the increased FAAC allocations accruing from the removal of fuel subsidy, as well as the nature and locations of projects, if any, executed with the funds.

In arguments contained in court processes filed by SERAP’s counsel, Mrs Oluwakemi Agunbiade and Ms Valentina Adegoke, the organisation stated that FAAC distributed about ₦28.78 trillion in 2024 to the three tiers of government from proceeds of fuel subsidy removal, representing a 79 per cent increase compared to the previous year.

It noted that allocations to state governments reportedly rose by 45.5 per cent to ₦5.22 trillion, while monthly FAAC distributions in 2025 had exceeded ₦1.6 trillion.

SERAP, however, argued that despite the sharp increase in public funds accruing to states and the FCT, millions of poor and socio-economically vulnerable Nigerians had not benefited from the subsidy savings.

The organisation alleged that many states were still owing civil servants’ salaries and pensions, while several others continued to borrow to meet salary obligations.

It further claimed that residents of many states and the FCT were being denied access to basic public services, adding that persistent allegations of corruption, mismanagement of public funds and entrenched impunity had eroded public trust in government at all levels.

SERAP contended that Nigerians have a constitutional and legal right to know how public funds, including fuel subsidy savings, are spent by state governments and the FCT administration.

According to the group, the savings from the removal of fuel subsidy should be deployed exclusively for the benefit of poor and vulnerable Nigerians, who are most affected by the policy.

“Directing and compelling the states and the FCT to disclose details of the spending of fuel subsidy savings would enable Nigerians to scrutinise the expenditures and hold public officials accountable,” the organisation said.

SERAP cited relevant provisions of the 1999 Constitution (as amended), including Sections 13, 15(5) and 16(2), as well as Nigeria’s obligations under the United Nations Convention against Corruption, to support its call for transparency and accountability.

It also relied on a Supreme Court judgment which affirmed that the Freedom of Information Act applies to public records across the federation, including records relating to the spending of subsidy savings by states and the FCT.

No date has been fixed for the hearing of the suit.