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SERAP Sues NNPC Over Missing $2.04bn, N164bn Oil Revenues

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The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against the Nigerian National Petroleum Company Limited (NNPC Ltd) over alleged missing USD$2.04 billion and N164 billion oil revenues.

According to the SERAP, the suit followed allegations documented in the recently published 2020 audited report by the Auditor General of the Federation that the NNPC Ltd failed to remit the money into the Federation Account.

A statement from the SERAP over the weekend has it that that the money may have been diverted.

In the suit number FHC/ABJ/CS/549/2024 filed last Friday at the Federal High Court in Abuja, SERAP is seeking: “an order of mandamus to direct and compel the NNPC to account for and explain the whereabouts of the missing USD$2.04 billion and N164 billion oil revenues, as documented in report by the Auditor-General.”

The SERAP is seeking: “an order of mandamus to compel the NNPC to hand over suspected perpetrators to the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC) for investigation and prosecution.”

The anti-corruption crusader is also seeking: “an order of mandamus to compel the NNPC to ensure the full recovery and remittance of the missing USD$2.04 billion and N164 billion into the Federation Account.”

In the suit, the SERAP is arguing that: “There is a legitimate public interest in providing the details sought. The NNPC has a legal responsibility to account for and explain the whereabouts of the disappeared money.

“The missing oil revenues have further damaged the already precarious economy in the country and contributed to high levels of deficit spending by the government.

“Without the full recovery and remittance of the missing USD$2.04 billion and N164 billion oil revenues, the dire economic situation may worsen and Nigerians will continue to be denied access to basic public goods and services.”

According to the SERAP, “the Auditor-General has for many years documented reports of disappearance of public funds from the NNPC. Nigerians continue to bear the brunt of these missing oil revenues.”

The suit was filed on behalf of the SERAP by its lawyers, Kolawole Oluwadare and Kehinde Oyewumi, read in part: “The alleged missing oil revenues reflect a failure of NNPCL accountability more generally and are directly linked to the institution’s continuing failure to uphold the principles of transparency and accountability.

“The failure by the NNPC to account for and explain the whereabouts of the disappeared money is a grave violation of the provisions of the Nigerian Constitution 1999 [as amended], the Freedom of Information Act, national anticorruption laws, and the country’s obligations under the UN Convention against Corruption.

“Had the NNPCL and its subsidiaries accounted for and remitted the disappeared public funds into the Federation Account, it is likely that more funds would have been allocated to the fulfillment of economic and social rights of Nigerians, such as increased spending on public goods and services.

“The missing oil revenues have also impeded Nigerians’ ability to enjoy their economic and social rights, and denied them access to essential public goods and services, especially at the time of cost of living crisis in the country.

“Nigerians have the right to know the whereabouts of the disappeared oil money. Ensuring transparency and accountability in the management of oil revenues would advance the right of Nigerians to restitution, compensation and guarantee of non-repetition.

“According to the recently published 2020 audited report by the Auditor General of the Federation (AGF), the NNPC failed to remit over USD$2 billion and N164 billion oil revenues into the Federation Account.

“The Auditor-General fears that the money may have been diverted into private pockets, denying the government the funding needed to carry out its activities.

“The NNPCL reportedly failed and/or refused to remit N151,121,999,966. The NNPCL without any justification deducted the money from the oil royalties assessed for 2020 by the Department of Petroleum Resources (DPR) now Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

“The NNPCL has failed to account for the missing public funds. The Auditor-General wants the money recovered and remitted into the Federation Account.

“The NNPCL also failed to remit USD$19,774,488.15 collected as government revenue into the Federation Account. The Auditor-General wants the NNPCL to account for the money, recover and remit it into the Federation Account, and to hand over those suspected to be involved to the ICPC and the EFCC.

“The NNPCL also reportedly failed to account for USD$2,021,411,877.47 and N13,313,565,786.49 of royalties collected from crude oil and gas sales and gas flare.

“The Auditor-General wants the public funds fully recovered and remitted into the Federation Account and for those suspected to be responsible for the missing public funds to be handed over to the ICPC and the EFCC.

“Despite the country’s enormous oil wealth, ordinary Nigerians have derived very little benefit from oil money primarily because of widespread grand corruption, and the entrenched culture of impunity of perpetrators.

“SERAP notes that Section 15(5) of the Nigerian Constitution 1999 (as amended) requires public institutions to abolish all corrupt practices and abuse of power.

“Section 16(2) of the Nigerian Constitution further provides that, ‘the material resources of the nation are harnessed and distributed as best as possible to serve the common good.’

“Section 13 of the Nigerian Constitution 1999 [as amended] imposes clear responsibility on the NNPCL to conform to, observe and apply the provisions of Chapter 2 of the constitution.

“Paragraph 3112(ii) of the he Financial Regulations 2009 provides that, ‘Where a public officer fails to account for government revenue, such officer shall be surcharged for the full amount involved and such officer shall be handled over to either the Economic and Financial Crimes Commission (EFCC) or the Independent Corrupt Practices and Other Related Offences Commission (ICPC).’

“Nigeria has made legally binding commitments under the UN Convention against Corruption to ensure accountability in the management of public resources. Articles 5 and 9 of the UN Convention against Corruption also impose legal obligations on the NNPCL to ensure proper management of public affairs and public funds. These commitments ought to be fully upheld and respected.”

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

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2027: No New Taxes Under My Gov’t If Elected – Sowore Clarifies

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Omoyele Sowore, presidential candidate of the African Action Congress (AAC) for the 2027 presidential election, has declared that his proposed administration would not introduce new taxes if he becomes Nigeria’s president.

Sowore made the clarification following reactions to his interview on African Independent Television (AIT) on Saturday, October 10, 2026, during which he discussed expanding Nigeria’s tax base and bringing more economic activities into the tax system.

In a statement shared on his X account on Monday, the activist said the headline of the interview had created a misleading impression about his position on taxation.

READ ALSO: Nigeria@66: ‘You Wrecked Livelihoods’ — Sowore Fires Back at Tinubu

“Contrary to the misleading impression created by the headline of my recent @AIT_Online interview, let me state categorically that a #Sowore2027 administration has NO plans to introduce new taxes!” he said.

He added, “Nigerians are already overburdened by economic hardship. Our agenda is to create prosperity, not impose additional tax burdens on struggling citizens.”

Sowore also urged Nigerians to watch the video clip of his interview to understand his position directly.

During the interview, the AAC presidential candidate explained that his proposed approach would involve expanding the tax base rather than introducing new taxes.

“We are not going to introduce new taxes, but we would expand the tax base relative to GDP ratio,” he said.

He argued that Nigeria’s tax collection remained relatively low compared with some other African countries.

“Nigeria is probably a poor tax country,” Sowore said, citing Ghana and South Africa as examples in his discussion of tax-to-GDP ratios.

Clarifying his position on taxation, he said, “No. But you see, no, no, no. I’m not taxing Nigerians. We’re expanding the tax base. Are you getting it?”

He explained that the proposed expansion would cover economic activities that were not adequately captured by the existing tax system, including informal businesses and traders operating in markets and on the streets.

“Yeah, as long as they’re making money, all right? And you are supposed to pay tax and ensure that government can do what it say it would deliver to you,” he said.

The AAC presidential candidate also argued that Nigeria could generate additional revenue by recovering money allegedly owed to the government rather than placing additional tax burdens on citizens.

He questioned the recurring concern over how the government would raise funds to provide public services.

“How do you get money? Because that’s always been the, that’s always been, you know, the question thrown at Nigerians. ‘Ah, where are we going to get the money?’” he said.

Sowore claimed that more than $62 billion in royalties was owed to the Nigerian state by oil operators.

“There are, as I speak to you today, over $62 billion in unpaid royalties to the Nigerian state from people that we gave free oil blocks and are making billions from it. They don’t pay royalties,” he said.

He further argued that royalties should be considered part of the broader system of government revenue collection.

“All these revenues we are talking about, they fall under the category of tax. Are you getting my point? Royalties are taxes too,” he said.

He maintained that the government should ensure that those owing the money are assessed and held accountable.

Sowore maintained that recovering the alleged outstanding royalties could provide resources for public infrastructure and social services.

He proposed using the revenue to fund development projects, including roads and schools, while reducing government expenditure.

“We use it to do what we know, the roads we need to construct, the schools we need to build. And we cut down the cost of governance,” he said.

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NUPRC Sets Revocation Date for Undeveloped Oil Licences

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Licensed Oil and gas operators now have until October 31 to demonstrate compliance with their licence obligations or risk losing their acreages.

The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Oritsemeyiwa Eyesan, made the disclosure at an energy conference organised by the Harvard Business School Association of Nigeria in Lagos on Friday.

She cautioned that the regulator would enforce the drill-or-drop provisions of the Petroleum Industry Act (PIA) against operators that failed to develop their assets.

“Now the PIA has instituted the drill-or-drop mechanism. So, before you take the block, you know whether it’s a gas asset, you know whether it’s an oil and gas asset, and you must come up with concrete plans to unlock your resources,” Eyesan said.

READ ALSO: FG Lacks Capacity to Meet Dangote Refinery Crude Demand

She said the commission had issued a circular directing affected operators to respond before the deadline, warning that those who failed to do so would face regulatory action.

“And as a matter of fact, we’ve issued a circular, and we say by 31st of this month, for those who are not responsive, you can be rest assured that I am coming after you,” she threatened.

Eyesan also explained that operators holding onshore assets were expected to undertake the required work within the stipulated three-year period, warning that the commission would call up assets where companies failed to develop their acreages.

“For those onshore, you have three years. Within three years in the first instance, if you do nothing about those assets, we will call it up,” she said.

The commission’s warning comes as it moves to enforce work commitments attached to licences awarded through recent licensing exercises, with affected operators required to explain delays in executing their approved work programmes and show how they intend to address the challenges.

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Heritage Energy on Ways of Unlocking Oil Industry Investment

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Nigeria reaches 42% Nigerian Content as Oil Industry spends $20.4bn on Fabrication, Engineering

Strategy for unlocking Nigeria’s oil industry investment must focus on access to capital, technology, markets and regulatory certainty, in addition to physical assets.

These views were shared by the Heritage Energy Operational Services Limited (HEOSL) in a goodwill message at the Association of Energy Correspondents (NAEC) Energy Energy Conference 2026, in Lagos, themed: “Access to Assets: Empowering Players and Driving Growth.”

Delivering the message on behalf of the CEO, Ado Oseragbaje, General Manager, Government, Joint Venture & External Relations, Heritage Energy, Ohioze Unuigbe, commended the NAEC for convening what he described as a strategic platform for dialogue on issues shaping Nigeria’s energy sector.

READ ALSO: NCDMB, Renaissance Empower 60 with Oil & Gas Technical Skills

According to him, the conference theme is both timely and strategic at a period when the industry is seeking to increase production and attract investment.

“Access to assets must go beyond physical access to oil and gas resources. It must also include access to capital, infrastructure, technology, markets, skilled talent, regulatory certainty and strong partnerships. These are essential to unlocking investment, increasing production and strengthening Nigeria’s energy security,” he said.

Unuigbe noted that while access to an asset is critical, real value is created by how effectively, safely and responsibly the asset is operated.

He disclosed that Heritage Energy’s Operational Management System (OMS) provides the discipline for responsible operations, by bringing together People, Plans, Processes and Performance to embed operational excellence, strengthen accountability and manage risk.

This, he said, is particularly important in a complex environment such as OML 30, where sustainable performance depends on effective collaboration among staff, partners, regulators, host communities and other stakeholders.

He stressed that sustainable value creation goes beyond production to include safety, environmental stewardship, responsible asset management, local capacity development and meaningful host community engagement, alongside investment in infrastructure, technology and Nigeria’s gas resources.

“No operator can achieve this alone. Government, regulators, investors, operators, partners, host communities and the media all have important roles to play. Trust, transparency and constructive engagement must remain at the heart of these relationships,” he added.

The Heritage Energy GM also lauded the role of the energy media in promoting informed discourse, transparency and accountability, calling for continued collaboration to support accurate and balanced reporting.

“Nigeria’s energy opportunity is significant. Our collective task is to ensure that access to assets translates into access to opportunity, value creation and sustainable growth,” Unuigbe stated.

He reaffirmed Heritage Energy’s commitment to responsible operations, operational excellence and stakeholder collaboration in building a stronger and more sustainable Nigerian energy industry.

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