By Sandra Kenneth
The Socio-Economic Rights and Accountability Project (SERAP) has issued a seven-day ultimatum to President Bola Tinubu to investigate over ₦94.4 billion in public funds allegedly diverted, unremitted, or irregularly spent by two key petroleum regulatory bodies.
In an open letter dated October 3, 2026, signed by SERAP Deputy Director Kolawole Oluwadare, the civil rights group urged the President—who also serves as the Minister of Petroleum Resources—to order anti-corruption agencies to probe the financial management of the Midstream and Downstream Gas Infrastructure Fund (MDGIF) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
Audit Uncovers Massive Financial Irregularities
The organization highlighted that the demands stem from disclosures in the Auditor-General of the Federation’s 2024 (Volume 2) Annual Report, published on August 7, 2026, which audited accounts covering 2023 through December 31, 2024.
According to SERAP, the primary financial infractions identified in the report include:
₦38.61 Billion Unremitted Penalties: The NUPRC reportedly failed to remit ₦38.610 billion ($38.61bn) in collected gas-flaring penalties due to the MDGIF.
₦26.55 Billion Unremitted Sales Revenue: MDGIF failed to remit ₦26.549 billion in revenue from petroleum product sales between January 1, 2022, and December 31, 2024.
₦12.94 Billion Natural Gas Revenue: MDGIF failed to collect and account for ₦12.940 billion generated from natural gas sales in 2024.
₦12.48 Billion Gas-Flaring Penalties: MDGIF failed to report and remit ₦12.480 billion in gas-flaring penalties for 2023, breaching Section 52(8) of the Petroleum Industry Act 2021.
₦3.52 Billion Unapproved Consultancy: MDGIF paid a consultant ₦3.518 billion to recover gas-flaring penalties without requisite presidential approval or evidence of due diligence.
₦327.65 Million Questionable Payments: MDGIF paid ₦261.852 million to Transaction Advisors with no evidence of job execution, alongside an additional ₦65.8 million spent without following statutory public procurement procedures.
Environmental Risks and Legal Threats
SERAP warned that the failure to collect and remit gas-flaring penalties directly starves environmental remediation efforts in host communities, increasing risks of environmental degradation and civil unrest in affected regions.
The advocacy group further criticized the MDGIF for failing to publish its audited financial statements for three consecutive years (2022–2024), stating it severely hampers legislative oversight.
Invoking provisions of the 1999 Nigerian Constitution (as amended), the UN Convention against Corruption, and the African Union Convention on Preventing and Combating Corruption, SERAP called for full public disclosure of all transactions and the immediate prosecution of any responsible officials.
SERAP threatened to initiate legal proceedings against the Federal Government, MDGIF, and NUPRC should the administration fail to take action within the seven-day deadline.
