The Socio-Economic Rights and Accountability Project (SERAP) has initiated a significant legal challenge against the Minister of Power, Adebayo Adelabu, and the Nigerian Bulk Electricity Trading Plc. (NBET), over the alleged failure to account for N128 billion in public funds. These funds are reported to be missing or diverted from the Ministry of Power and NBET, as detailed in the latest annual report of the Auditor-General of the Federation, published on September 9, 2025.

The lawsuit, designated FHC/ABJ/CS/143/2026, was filed at the Federal High Court in Abuja, following findings in the 2022 audited report by the Auditor-General. SERAP contends that these grave allegations of financial mismanagement within the power sector are a direct contributor to Nigeria's persistent electricity failures and frequent national grid collapses, including the first grid collapse of 2026 which plunged large parts of the country into darkness.

In its action, SERAP is seeking several orders of mandamus. Primarily, the organization aims to compel Minister Adelabu and NBET to fully account for the alleged N128 billion. Furthermore, SERAP demands the disclosure of comprehensive details regarding the expenditure of these funds, including specific dates of disbursement, the identities of purported beneficiaries or contractors who received the money, along with their registered business names and addresses. The lawsuit also seeks to compel the respondents to reveal the full names, official designations, and offices of all public officers who authorized, approved, or participated in the release of these funds within the Ministry of Power and NBET.

SERAP argues that transparency and accountability in the management of public funds are paramount for addressing Nigeria’s chronic power challenges and preventing further grid collapses. The organization emphasizes that Nigerians continue to suffer the consequences of widespread corruption in the electricity sector, enduring darkness while being subjected to exorbitant electricity bills. Granting the reliefs sought, SERAP maintains, would be instrumental in combating corruption, improving transmission line reliability, and ensuring regular and uninterrupted electricity supply for citizens. These alleged financial irregularities, according to SERAP, constitute a grave violation of public trust, the Nigerian Constitution 1999 (as amended), and international anti-corruption standards, including Article 26 and 30 of the UN Convention against Corruption.

The Auditor-General's report outlines numerous instances of alleged financial misconduct. For the Federal Ministry of Power, the report cites a failure to account for over N4.4 billion transferred to project accounts for Mambilla, Zungeru, and Kashimbilla, with fears that the money may have been diverted. Over N95 billion was reportedly paid to contractors for various projects without proper documentation or evidence of execution. Additionally, more than N33 million was paid for foreign travels, including attending the World Utilities Congress in Abu Dhabi and the Huawei innovation land exhibition in Dubai, without the necessary approvals from the Secretary to the Government of the Federation or the Head of Civil Service. Further allegations against the Ministry include unaccounted expenditure of over N230 million on the GIGMIS platform and more than N282 million paid as non-personal advances to staff for procurement, exceeding statutory limits.

The Nigerian Bulk Electricity Trading Plc. (NBET) faces an even broader array of allegations. These include the irregular award of contracts totaling over N427 million without evidence of advert placements in the procurement journal, raising concerns about the competence of contractors. NBET is also accused of transferring over N7.6 billion into unauthorized sub-accounts of unnamed beneficiaries, contrary to financial regulations. A payment of more than N9.3 billion to Egbin Power Plc as outstanding payments under the Power Sector Reform Programme lacked authenticating documentation, suggesting potential diversion. Over N8 billion was paid to unspecified beneficiaries without being recorded in payment vouchers or vote books, and more than N420 million was awarded to eleven ineligible consultants for services like power plant capacity testing, with no evidence that the services were rendered or that due process was followed.

Other allegations against NBET include unaccounted payments of over N45 million for contingency, logistics, and security charges on contracts without contractor requests or approvals, and an expenditure of over N61 million from the capital vote on consultancy services without budgetary provision or virement approval. A contract worth over N39 million for a video conferencing system lacked evidence of work done and was subsequently re-awarded to another contractor without competitive bidding. The report also highlights the payment of over N49 million for three Toyota Corolla vehicles without any Bureau of Public Procurement (BPP) approval, tenders board minutes, or technical and financial evaluation reports. Legal fees exceeding N8 million were paid to a practitioner without the approval of the Minister of Justice and Attorney General of the Federation. Furthermore, over N8.9 million was irregularly paid for a professional development program as a reimbursement of a course fee balance, and more than N1 billion was spent as extra-budgetary funds without approval from the Minister of Finance and the National Assembly. Finally, NBET allegedly paid over N110 million to companies and retail supermarkets for staff items and promotion packages for Easter and Salah between 2021 and 2022, entirely without documentation.

As of now, no specific date has been fixed for the hearing of this comprehensive lawsuit.