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SERAP urges Tinubu to probe N94.4bn petroleum funds allegedly unaccounted for – EnviroNews
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The Socio-Economic Rights and Accountability Project (SERAP) has urged President Bola Tinubu to direct an urgent investigation into over N94.4 billion in public funds reportedly diverted, unremitted, unaccounted for or irregularly spent by the Midstream and Downstream Gas Infrastructure Fund (MDGIF) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
SERAP made the demand in a letter dated October 3, 2026, signed by its Deputy Director, Kolawole Oluwadare, following findings contained in the 2024 (Volume 2) Annual Report of the Auditor-General of the Federation, published on August 7, 2026.
The organisation called on the President to direct appropriate anti-corruption agencies to investigate the reported financial infractions, prosecute anyone found culpable where sufficient admissible evidence exists, and recover and remit all affected public funds to the Treasury.
SERAP also urged Tinubu to direct the MDGIF to submit and publish its audited financial statements for 2022, 2023 and 2024 and ensure that the documents are forwarded to the Public Accounts Committees of the National Assembly, as recommended by the Auditor-General.
According to SERAP, the audit findings raise serious questions about the transparency and effectiveness of the management of Nigeria’s petroleum revenues and gas-flaring penalties.
Among the findings highlighted by the organisation is the alleged failure by MDGIF to remit N26.549 billion in revenue from the sale of petroleum products between January 2022 and December 2024.
The Auditor-General reportedly expressed concern that the funds might have been diverted and recommended their recovery and remittance to the Treasury.
The MDGIF was also reported to have failed to remit and report N12.480 billion in gas-flaring penalties for 2023, while NUPRC allegedly failed to remit N38.610 billion in gas-flaring penalties collected and due to the MDGIF.
SERAP said the Auditor-General warned that failure to remit gas-flaring penalties could create shortages of funds required for environmental remediation and potentially contribute to civil crises arising from the non-remediation of environmental hazards.
The organisation further cited an allegation that MDGIF engaged and paid a consultant N3.518 billion to recover gas-flaring penalties without presidential approval, with the Auditor-General reportedly finding no evidence of due process or due diligence in the engagement and expressing concern that the money may have been diverted.
In another finding, MDGIF allegedly failed to collect and account for N12.940 billion in revenue from 2024 natural gas sales. The Auditor-General reportedly expressed concern that the funds might have been diverted and recommended their recovery and remittance.
The audit also identified other expenditures of concern, including N261.852 million allegedly spent on Transaction Advisors without evidence of work executed, as well as N65.8 million paid to Transaction Advisors in August 2024 without due process.
According to SERAP, the Auditor-General recommended that the Executive Director of MDGIF account for the latter expenditure, while noting that the procurement process may have violated public procurement procedures.
SERAP said the reported failure to account for petroleum-product revenues, natural-gas sales revenues and gas-flaring penalties could undermine public confidence in the management of the country’s petroleum resources.
It stressed that the issue was particularly significant because some of the funds involved are gas-flaring penalties intended to support lawful public purposes, including environmental remediation and the protection of communities affected by environmental degradation.
“Every naira identified in the Auditor-General’s report must be properly accounted for, and any oil funds found to have been diverted, misapplied, improperly spent or otherwise unaccounted for must be fully recovered and remitted to the Treasury,” SERAP said.
The organisation also called for the MDGIF and NUPRC to publish detailed schedules showing the amounts due, collected, remitted and recovered, as well as transaction dates, responsible institutions or officials and the accounts into which the funds were paid.
SERAP argued that the President’s position as Minister of Petroleum Resources gives him particular responsibility for ensuring effective oversight, transparency and accountability in the management of petroleum-sector revenues.
It said the reported failure to submit and publish audited financial statements for three consecutive financial years also undermined legislative oversight and public scrutiny of MDGIF’s financial management.
“There is a legitimate public interest in ensuring justice and accountability for these grave findings,” the organisation said, adding that the findings raised “fundamental questions about the integrity, transparency and effectiveness of the management of Nigeria’s petroleum revenues and gas-flaring penalties.”
SERAP gave the government seven days from receipt or publication of the letter to take the requested measures, warning that it would consider legal action and other lawful measures if the authorities failed to respond.
The organisation further invoked Nigeria’s constitutional obligations on accountability and the fight against corruption, as well as the country’s commitments under the United Nations Convention against Corruption and the African Union Convention on Preventing and Combating Corruption.
SERAP maintained that transparent investigation and accountability were particularly important where public funds included petroleum revenues and gas-flaring penalties that should be available for environmental remediation and the protection of affected communities.
