The Socio-Economic Rights and Accountability Project (SERAP) has gone to court against the Nigerian National Petroleum Company Limited (NNPCL) for not explaining how it spent about ₦5.9 billion on the incorporation and rebranding of NNPC into NNPCL.
The NNPC spent N2.9 billion on incorporation costs from the money made from petroleum products. The National Petroleum Investment Management Services (NAPIMS) also charged N2.9 billion from crude oil revenue for the same purpose. This makes the total spent on the rebranding ₦5.9 billion.
In the lawsuit numbered FHC/ABJ/CS/1248/2026, filed last week at the Federal High Court in Abuja, SERAP is asking the court for an order to force the NNPCL to account for the ₦5.9 billion spent on rebranding NNPC to NNPCL.
SERAP wants the court to make the NNPCL provide a detailed statement that shows all financial transactions linked to the ₦5.9 billion spending. This includes the names of the contractors involved and how the money was used for the rebranding.
Additionally, SERAP is asking the court to order the NNPCL to reveal the names and positions of government officials who approved the release and spending of the ₦5.9 billion. They also want to know if this spending followed the right procurement laws and processes.
In the lawsuit, SERAP argues that there is a real public interest in getting these details. The NNPCL has a legal duty to show whether the ₦5.9 billion spent was worth it and if it followed the law.
SERAP stresses that there should be full transparency about the ₦5.9 billion used for rebranding NNPC to NNPCL. Nigerians have the right to know who approved the spending, who got the money, what services were provided, and if the proper processes were followed.
According to SERAP, knowing the names of the officials involved and the processes used will help the public see if the spending was properly authorized and if it was value for money.
Given how much money is involved and the need for transparency in handling public funds in the oil sector, there is a pressing need for a clear and open account of how the funds were spent.
The lawsuit, filed by SERAP's lawyers, Oluwakemi Agunbiade, Kehinde Oyewumi, and Andrew Nwankwo, states that the claimed spending of ₦5.9 billion shows a serious breach of public trust and violates the Nigerian Constitution 1999 [as amended], national anti-corruption laws, and international anti-corruption commitments.
The failure to account for the ₦5.9 billion spent on the rebranding shows a bigger issue of accountability at NNPCL. This is linked to the company's ongoing failure to maintain transparency and accountability.
The NNPCL's refusal or failure to provide a clear account of the spending goes against the public's right to know how public resources are managed.
The Senate Committee on Public Accounts has expressed serious concerns about the ₦5.9 billion spent, calling it excessive and unjustifiable. They say this needs further investigation and legislative scrutiny for the public's sake.
The change from NNPC to NNPCL happened after the Petroleum Industry Act (PIA) 2021 was passed, which required the corporation to become a commercially focused limited liability company fully owned by the federal government.
Section 13 of the Nigerian Constitution 1999 [as amended] says all public institutions, including NNPC, must follow the rules in Chapter II of the Constitution. Section 15(5) tells public institutions to eliminate all corrupt practices and abuse of power.
Also, Section 16 of the Constitution requires public institutions to manage the nation's resources for the common good.
Articles 5 and 9 of the UN Convention against Corruption require Nigeria to ensure transparency and proper management of public funds.
Article 21 of the African Charter on Human and Peoples’ Rights recognizes the right of people to manage their natural resources. It states that misusing these resources gives the people the right to seek recovery and compensation.
No date has been set for the hearing of the case.
Drop your comment
No comments yet — be the first to drop the gist 👇