NLC Raises Alarm Over Alleged N20 Billion 'Emergency' Procurement Scheme in Transmission Company of Nigeria

 


The Nigeria Labour Congress (NLC) has sounded a strong warning about an alleged plan by certain officials within the Transmission Company of Nigeria (TCN) to expend nearly N20 billion on electricity grid expansion and refurbishment projects, which the union claims is disguised as urgent "emergency" works but appears designed to divert public funds from the already financially challenged power transmission entity.

In a formal letter dated March 1, 2026, addressed to the Minister of Power, Adebayo Adelabu, and signed by NLC President Joe Ajaero, the labour union described the proposed spending as a potential threat to TCN's financial stability and long-term operational viability. The NLC accused a group or cabal operating within the organisation of exploiting the "emergency" label to circumvent standard procurement regulations, bury irregularities in extensive paperwork, and facilitate what it termed a large-scale misappropriation of resources.

Ajaero warned that allowing these procurements to proceed unchecked could plunge the national electricity grid into a perpetual state of crisis—not because of technical deficiencies or lack of expertise, but due to the systematic diversion of funds intended for genuine infrastructure development and maintenance. He emphasised that Nigeria's power sector, plagued by frequent grid collapses, underinvestment, and inefficiencies, cannot afford further financial bleeding at this critical juncture.

To substantiate its concerns, the NLC highlighted several specific expenditure items it deemed questionable and indicative of inflated costs or improper practices. These include a proposed allocation of N191 million for erosion control measures on a single transmission tower, identified as Tower T89, located in Ihovbor near Okada in Edo State. The union questioned the justification for such a substantial sum on what it portrayed as a relatively localised intervention.

Another cited example is the planned N290.65 million for fencing and drainage works at the Biu 132/33KV substation in Borno State. Additionally, Ajaero pointed to an allocation of N226.02 million for remedial work on Tower T27 along the Etsako–Okpella–Ajaokuta transmission corridor, arguing that these figures collectively raise red flags about fiscal prudence and value for money in public spending.

The NLC further alleged irregularities in the procurement strategy for specialised equipment. It claimed there were intentions to acquire the same items—particularly transformers and switchgear—in multiple separate batches from identical suppliers, with prices escalating progressively across the transactions. This pattern, according to Ajaero, suggested deliberate "double-dipping" or efforts to inflate contract values and channel public funds through overpriced deals rather than achieving efficient infrastructure upgrades.

The union also accused some TCN officials of planning to stockpile essential consumable materials, including insulators, conductors, and clamps, at rates far exceeding prevailing market prices. This was purportedly being justified as precautionary stockpiling in anticipation of potential grid failures or emergencies, but the NLC viewed it as another avenue for unwarranted expenditure and possible personal enrichment.

Beyond the core procurement issues, Ajaero brought attention to additional matters requiring scrutiny. He called for an investigation into the reported sale of land situated behind the TCN substation in Katampe, Abuja, questioning the propriety and transparency of the transaction.

Furthermore, the NLC raised concerns over an alleged plan to fast-track the promotion of a staff member—who joined the organisation on September 16, 2021—to the rank of Assistant General Manager by 2026. The union asserted that this move would violate TCN's established promotion guidelines and timelines, potentially setting a dangerous precedent for favouritism or irregular administrative practices.

In light of these serious allegations, the NLC made several urgent demands of the Minister of Power. It called for the immediate suspension of all ongoing "emergency" procurement activities within TCN to prevent irreversible financial damage. The union insisted on the initiation of a comprehensive forensic audit to examine the proposed contracts, expenditure patterns, and related decisions in detail.

Ajaero also urged Adelabu to ensure a thorough probe into the land sale in Katampe and the questionable promotion exercise. The labour leader stressed that decisive intervention was essential to safeguard TCN's resources, restore public confidence in the power sector's management, and prevent further deterioration of Nigeria's electricity transmission network.

The allegations come amid ongoing challenges in Nigeria's power industry, including persistent grid instability, inadequate generation capacity, and debates over funding and accountability in sector entities. The NLC's intervention highlights growing labour sector vigilance over public expenditure in critical infrastructure areas, especially as citizens continue to grapple with unreliable electricity supply that hampers economic growth, productivity, and quality of life nationwide.

As of the latest reports, neither the Minister of Power nor TCN has issued an official response to the NLC's letter and specific claims. The developments have sparked renewed calls for transparency, due process, and anti-corruption measures in the management of Nigeria's vital power transmission assets.

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