NLC Raises Alarm Over Alleged ₦20bn Emergency Contracts at TCN
The Nigeria Labour Congress has petitioned the Federal Government over what it described as a planned ₦20bn “emergency refurbishment” contract within the Transmission Company of Nigeria, warning that the move could drain public resources and further weaken the country’s already fragile electricity transmission infrastructure.
In a letter dated Sunday and addressed to the Minister of Power, Adebayo Adelabu, the labour union accused some officials within the state-owned utility of allegedly orchestrating a large-scale procurement arrangement disguised as urgent infrastructure repairs.
Nigeria’s electricity sector is structured around three main segments: generation, transmission and distribution. TCN operates the transmission segment, managing the national grid that moves electricity from generating plants to distribution companies that supply homes and businesses across the country.
The transmission network has long been regarded as one of the weakest links in the power value chain, frequently blamed for recurring grid disturbances and system collapses that have disrupted electricity supply nationwide.
The petition from the labour union was titled “Stop the bleeding in TCN before it collapses” and was signed by the NLC President, Joe Ajaero.
The letter alleged that ongoing plans within TCN involve the award of contracts worth nearly ₦20bn under what has been described internally as an emergency refurbishment programme. According to the union, the proposed contracts could amount to what it termed “double-dipping of the highest order” and potentially convert public funds into private gain.
“The plan to spend nearly ₦20bn from TCN coffers on the so-called emergency refurbishment looks more like a contrivance to fleece a company that is already saddled with fiscal challenges,” Ajaero wrote in the petition.
The union listed several projects it described as excessively priced and questionable. Among the examples cited was a proposed ₦191m expenditure to control erosion at a transmission tower identified as T89 Ihovbor in Okada.
The NLC also raised concerns about a planned ₦290,654,361 contract for fencing and drainage works at the Biu 132/33KV Substation, as well as ₦226,024,555 earmarked for work on Tower T27 at Etsako, Okpella Ajaokuta. Another project referenced in the letter carried a projected cost of ₦239,498,443.75.
According to the union, such figures raise concerns about adherence to principles of fiscal discipline and value for money within the public power utility.
“For example, there is no other way to explain the plan to spend ₦191m to control erosion on one tower – T89 Ihovbor, Okada; ₦290,654,361 only for fence and drainage at the Biu 132/33KV Sub-Station; ₦226,024,555 for just one Tower T27 at Etsako, Okpella Ajaokuta; and ₦239,498,443.75, etc., but that they are all very questionable,” the letter stated.
Beyond the refurbishment programme, the labour union also alleged that there were plans to purchase the same category of equipment, particularly specialised transformers and switchgear, in multiple batches from the same supplier at escalating prices.
“This is not procurement; this is money laundering disguised as grid expansion,” the NLC said in the petition.
The union further warned of what it described as a scheme to overstock grid consumables such as insulators, conductors and clamps at prices allegedly far above market value. According to the NLC, such purchases could be justified internally under the argument of preparing for possible grid collapses, yet the materials could end up stored indefinitely or never delivered.
The petition alleged that funds allocated to such procurements could potentially be diverted among officials and contractors involved in the process.
The labour organisation warned that the use of emergency procurement procedures could allow individuals involved to bypass standard public procurement regulations.
“The cabal within TCN is hoping to use the cover of emergency to bypass due process and bury these crimes in a blizzard of paperwork,” the letter stated.
The NLC also cautioned that if the procurement plans proceed without scrutiny, the transmission company could face long-term operational consequences.
“If these procurements proceed, TCN will not only be poorer, but its operational capacity will be crippled for a decade. The grid will become a permanent patient in the emergency room, not because we lack the technology, but because the funds meant to heal it were stolen,” the union said.
Nigeria’s electricity transmission system has repeatedly faced structural challenges over the past decade. Data from the Nigerian Electricity Regulatory Commission and the System Operator of Nigeria show that the national grid has experienced numerous disturbances and system collapses in recent years, often attributed to ageing infrastructure, inadequate maintenance and operational constraints.
Industry reports indicate that Nigeria’s installed electricity generation capacity exceeds 13,000 megawatts, but the actual available transmission capacity remains significantly lower, limiting the amount of power that can be reliably delivered across the network.
Within this context, investment in transmission infrastructure has long been seen as critical to improving electricity supply stability.
In its petition, the NLC insisted that the alleged procurement activities represent a serious threat to the integrity of the power sector and the welfare of workers in the industry.
“The Nigeria Labour Congress refuses to stand by and watch our members, the engineers, the linemen, the core staff of TCN, and indeed Nigerians become victims of this avarice,” Ajaero wrote.
The labour union urged the Minister of Power to immediately intervene and halt the proposed procurement activities pending a comprehensive review.
Specifically, the NLC called on the Federal Government to suspend all ongoing emergency procurement processes within TCN and conduct a full forensic audit of the company’s financial and procurement records.
The union also requested that anti-corruption agencies, including the Economic and Financial Crimes Commission and the Independent Corrupt Practices and Other Related Offences Commission, be invited to investigate the transactions referenced in the petition.
In addition, the labour body asked that the head of procurement and members of TCN’s management team be investigated if they are found to be connected to the alleged activities.
The NLC further raised concerns about the reported sale of land located behind the TCN substation in Katampe, Abuja, which it suggested could form part of broader governance issues within the company.
Another issue highlighted in the petition relates to what the union described as an irregular personnel development within the organisation. According to the NLC, there should be an investigation into an attempt to promote a staff member employed on September 16, 2021, to the position of Assistant General Manager by 2026, a move the union argued would violate established employment rules and promotion timelines within the company.
Responding to enquiries on the matter, TCN spokesperson Ndidi Mbah said the company had not yet seen the NLC’s petition but would review it before issuing an official response.
“I haven’t seen the letter yet. We will investigate the matter, identify the relevant departments or personnel involved, and get back to you,” she said.
The labour union concluded its petition by urging the Federal Government to act swiftly to prevent further damage to the electricity transmission system.
“We await your urgent response and action. The patience of Nigerian workers is not an unlimited resource, and we believe that a stitch in time saves nine,” the letter stated.