Electricity Privatisation: NUEE dismisses allegations of complicity against NLC president, Ajaero, calls for workers unity

NLC President Joe Ajaero

NLC President Joe Ajaero

By Bimbola Oyesola

The National Union of Electricity Employees (NUEE) has strongly dismissed allegations of complicity in the privatisation of the power sector made against the President of the Nigeria Labour Congress (NLC) and General Secretary of NUEE, Joe Ajaero, describing a recent publication by an online organisation as a “sponsored attack” aimed at discrediting the leadership of the Nigerian labour movement.

The union urged workers across the country to remain united and resist what it called attempts to divide organised labour.

In a statement signed by Acting General Secretary Dominic Igwebike, the union accused a former manager of the defunct Power Holding Company of Nigeria (PHCN) of spreading falsehoods about Ajaero’s role in the power sector privatisation and workers’ welfare.

NUEE described the publication as “a hatchet job from known enemies of Nigerian workers and their heroic leaders.”

According to the union, Ajaero was one of the strongest voices against the privatisation of Nigeria’s electricity sector during the administration of former President Goodluck Jonathan. NUEE maintained that Ajaero consistently warned that the exercise would transfer public assets to investors who lacked the financial and technical capacity to improve electricity supply.

“History has vindicated Joe Ajaero,” the statement said. “He warned that the privatisation exercise was a grand deception, and more than a decade later, electricity generation remains virtually stagnant while Nigerians continue to endure frequent grid collapses and rising tariffs.”

The union argued that the privatisation was never designed to improve power supply but rather to enrich a few private investors. It claimed that despite the transfer of public assets, electricity generation has remained between 4,000 and 5,000 megawatts, with consumers bearing the burden through increasing electricity tariffs.

Responding to allegations surrounding workers’ entitlements, NUEE insisted that the negotiations during the PHCN privatisation involved three recognised unions, NUEE, SSAEC and NUP and not any single individual. It explained that Ajaero served as General Secretary of NUEE during the negotiations, while the presidents of the unions jointly led discussions that secured what it described as the best severance package ever negotiated in any Nigerian privatisation exercise.

The union also rejected claims that labour leaders hijacked the 10 percent equity share allocated to workers. It clarified that the shares were never intended to be distributed free of charge but were to be purchased by workers through a process coordinated by the Bureau of Public Enterprises (BPE). NUEE said this position was communicated to its legal representatives, including Senior Advocate of Nigeria, Femi Falana.

On pension contributions, the union stated that workers had not previously contributed to Pension Fund Administrators before the reforms. It said organised labour compelled the government to make lump-sum contributions into workers’ pension accounts, enabling many retired workers—including the former manager making the allegations—to receive monthly pensions today.

Addressing claims about unpaid salaries and gratuities, NUEE said comprehensive agreements reached in 2012 and reaffirmed in 2019 covered issues including exit benefits, gratuities, salary arrears, death benefits, post-retirement training and equity shares. The union blamed the Bureau of Public Enterprises for repeatedly failing to implement parts of the agreements despite sustained pressure from labour unions.

“The allegation regarding 16 months’ unpaid salaries demonstrates either profound ignorance or willful deception,” the statement said. “The unions consistently fought for implementation, and even threatened industrial action to compel government compliance.”

NUEE further disputed allegations that labour leaders diverted proceeds from the sale of PHCN, insisting that funds realised from the privatisation were used to settle workers’ entitlements. The union said the BPE had publicly disclosed spending about N409.9 billion on severance and death benefits for former PHCN employees.

The union challenged the former manager to disclose the amount he personally received as severance benefits and provide evidence of any unpaid salary arrears. It argued that any aggrieved worker retains the right to petition the Bureau of Public Enterprises directly or through their unions if legitimate claims remain unresolved.

Beyond the dispute over workers’ benefits, NUEE maintained that the real controversy lies in what it described as the enormous public funds committed to sustaining the privatised electricity sector. According to the union, successive governments have reportedly spent trillions of naira supporting private operators while electricity supply has failed to improve significantly.

The union questioned why the former manager remained silent for over 13 years after receiving his exit package before now criticising the labour movement. “When a man who spent his career fighting unions suddenly becomes their defender after 13 years, ask not what changed; ask who paid him to change,” the statement declared.

Calling on workers to remain vigilant, NUEE urged Nigerians not to be distracted by what it described as coordinated efforts to weaken organised labour. “The struggle for justice, fair treatment and the restoration of electricity as a social service continues,” the union said. “We call on all genuine workers to reject attempts to divide the labour movement, remain united in defence of their rights, and continue demanding accountability in Nigeria’s electricity sector.”

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