NLC Threatens Nationwide Strike Over Nigeria’s Electricity Crisis

NLC Threatens Nationwide Strike Over Nigeria’s Electricity Crisis

  • The Nigeria Labour Congress has threatened nationwide industrial action over recurring grid collapses
  • NLC called for a comprehensive review and greater state involvement in the electricity sector
  • The federal government has proposed a multi-trillion-naira subsidy plan covering 2026 to 2028

Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.

The Nigeria Labour Congress (NLC) has warned of a possible nationwide industrial action over the recurring collapse of Nigeria’s electricity grid, criticising more than a decade of power sector privatisation.

The Nigeria Labour Congress (NLC) has threatened a possible nationwide strike over the recurring collapse of the electricity grid in Nigeria, accusing power generating companies of depriving Nigerians electricity.
The union criticised power sector privatisation and rejected further tariff increases. Photo: NLC, Presidency.
Source: Twitter

NLC President Joe Ajaero issued the warning on Sunday while speaking at the National Union of Electricity Employees (NUEE) Annual Conference of Women and Youth in Abuja.

NLC rejects tariff hikes, threatens action

Ajaero stated that organised labour will resist any further electricity tariff increases or policies that worsen hardship without improving supply.

He described the classification of electricity consumers into Bands A, B and C as exploitative, alleging that it places heavier financial burdens on citizens without guaranteeing improved service.

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The labour leader said over 10 years after the unbundling and sale of the defunct Power Holding Company of Nigeria (PHCN), electricity generation has remained between 4,000 and 5,000 megawatts — levels similar to those recorded before privatisation despite rising population and industrial demand.

He argued that the current output reflects stagnation in the sector and called for a comprehensive review of the power industry.

Call for sector overhaul

Ajaero maintained that the privatisation exercise failed to deliver expected improvements, alleging that many operators lack the financial and technical capacity to manage electricity assets effectively.

He further claimed that distribution and generation companies acquired the assets through heavy borrowing from Nigerian banks, thereby straining domestic credit.

The NLC president also questioned reports of a proposed multi-trillion naira subsidy or bailout plan for power firms, arguing that public funds should not be used to support private operators that have not met performance expectations.

He called for the state to resume a leading role in the power sector, describing electricity as a social service essential for national development rather than a purely profit-driven venture.

According to him, while the new Electricity Act allows states to participate more actively in power generation and distribution, decentralisation alone will not resolve systemic bottlenecks without a clear national roadmap.

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The Congress demanded a national stakeholders’ summit involving labour unions, manufacturers and industry experts to develop a new strategy focused on affordable and stable electricity supply.

Industry operators respond

Nigeria’s electricity crisis has long been a challenge, with frequent grid collapses and inadequate supply affecting households and businesses.

Although the country has an installed capacity of about 12,522 megawatts, daily generation averages roughly 4,200 megawatts.

The federal government has introduced reforms, including a $2.5 billion plan aimed at addressing sector debts, upgrading infrastructure and promoting market-reflective tariffs.

The Nigeria Labour Congress has threatened nationwide industrial action over recurring grid collapses in Nigeria, pointing accusing fingers at bothe the government and power generating firms.
NLC called for a comprehensive review and greater state involvement in the electricity sector. Photo: NLC.
Source: Facebook

Power operators blame liquidity constraints

Meanwhile, power generation companies have pushed back against claims of exploitation. Under the umbrella of the Association of Power Generation Companies (APGC), operators said the sector is grappling with severe liquidity constraints that have affected operations.

APGC Chief Executive Officer, Joy Ogaji, recently urged the Federal Government to extend its proposed N3.6 trillion subsidy payment framework beyond 2028.

She acknowledged the government’s plan to provide subsidy support between 2026 and 2028 but questioned whether a three-year timeline would be sufficient to resolve the industry’s financial challenges.

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According to Ogaji, expectations of a sudden turnaround after 2028 may not be realistic without sustained financial support and structural reforms.

The NLC, however, reiterated on Sunday that it is prepared to mobilise workers and the public against what it described as policies that deepen hardship in the name of electricity reform.

Tension as NLC declares war on Wike’s FCTA

Legit.ng earlier reported that the NLC directed workers of the Federal Capital Territory Authority (FCTA) to mobilise for a significant court appearance after declaring an indefinite strike.

Ajaero accused the FCTA leadership of wage abuse and called for solidarity among diverse stakeholders. He said the court premises should be “filled with the dignified presence of the working class” to show unity and resolve.

Meanwhile, the workers have since resumed work even though the NLC has not called off the strike.

Source: Legit.ng

Authors:
Oluwatobi Odeyinka avatar

Oluwatobi Odeyinka (Business Editor) Oluwatobi Odeyinka is a Business Editor at Legit.ng. He reports on markets, finance, energy, technology, and macroeconomic trends in Nigeria. Before joining Legit.ng, he worked as a Business Reporter at Nairametrics and as a Fact-checker at Ripples Nigeria. His features on energy, culture, and conflict have also appeared in reputable national and international outlets, including Africa Oil+Gas Report, HumAngle, The Republic Journal, The Continent, and the US-based Popula. He is a West African Digital Public Infrastructure (DPI) Journalism Fellow.

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