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Power privatisation in Nigeria is Grand Deception–Ajaero, NLC President

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By Our Correspondent

The privatisation of power in Nigeria has been described as grand deception of Nigerian people by government according to the Nigeria Labour Congress (NLC), president, Comrade Joe Ajaero.

Speaking at National Union of Electricity Employees’ (NUEE) 2026 annual conference of women and youth in Abuja, the NLC leader accused the government of creating slush funds ahead of the 2027 elections, using the proposed N2tn to N3tn bailout for power generation companies as a ‘ruse’.

Comrade Ajaero, averred that over a decade after the unbundling of the power sector, electricity generation had remained stagnant at between 4,000 and 5,000 megawatts, “the same level as before privatisation.
“A decade after the much-celebrated privatisation, what do we have? Instead of progress, we witness regression. Instead of light, we have darkness.

“The national grid collapses with the frequency of a faulty generator, sometimes plunging the entire nation into blackout. This is not the turnaround we were promised; this is a well-orchestrated robbery of the Nigerian people.”

Ajaero accused distribution companies of persistently rejecting allocated loads from the Transmission Company while Nigerians grappled with frequent grid collapses and soaring tariffs.
The labour leader criticised the privatisation
of the Power Holding Company of Nigeria (PHCN) successor firms as a fraudulent transfer of public wealth to investors who entirely lacked both the technical capacity and financial strength to manage the power assets.

“The so-called investors did not bring fresh capital into this country. They borrowed heavily from Nigerian banks, draining domestic credit and worsening pressure on the naira.
“They acquired DISCOs and GENCOs on a shoestring budget and now expect Nigerian workers to pay for their loans through outrageous electricity tariffs.”

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Ajaero further frowned at the band classification system, which categorises consumers into Bands A, B and C based on hours of supply, saying it had become a backdoor mechanism for tariff hikes.

“Band A consumers pay through their noses but still receive epileptic power supply. This government is asking Nigerians to pay for darkness. Banding is the institutionalisation of extortion.
“Electricity is a right, not a commodity to be auctioned to the highest bidder while the poor are left in the dark.”

On the Federal Government’s plan to pay between N2tn and N3tn to generation companies as subsidy arrears, the NLC said there was no justification for “such a massive bailout to private firms that have failed to deliver.”

“The electricity subsidy claim remains a phantom. That N3tn is another ruse and goes nowhere. We see this as a clandestine move to settle the boys as the 2027 elections approach. Every kobo of the treasury belongs to the workers and people of Nigeria.”

The NLC insisted that electricity must be restored as a social service, arguing that no country had successfully run its power sector purely as a profit-driven enterprise without imposing hardship on citizens.
“It is only the State that can bear the huge capital investment required and the long gestation period for returns. The private sector has failed. It is time to take back the power for the people,” he stated.

While acknowledging the provisions of the new Electricity Act that devolved power generation and distribution to states, warned that decentralisation alone would not solve the structural challenges plaguing the sector.
The labour body called for a national stakeholders’ summit comprising workers’ unions, manufacturers and experts to develop what it termed a “People’s Power Roadmap” focused on affordable and stable electricity, public investment in generation and transmission infrastructure, service-reflective tariffs and a reversal of the privatisation model.
“The Nigerian people cannot continue to pay for darkness. When power is not available, it cannot be affordable. Power must be returned to the people,” Ajaero added.

Energy and Power

1.13 million Customers Abandon Discos Over Rising Energy Costs

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By Isa Abdul, Abuja

Over 1.13 million customers have abandoned various discos due to grievances with power suppliers bordering on unreliable power supply and rising energy costs, findings have shown.

This happened even as the Disco supplied more electricity, generated record revenues and expanded metering in 2025.

The National Bureau of Statistics’ latest report by DISCOs (Q4 2025), compiled from the Nigerian Electricity Regulatory Commission, showed that while operational indicators improved across the sector, the total customer base fell sharply during the year.

According to the report, the number of electricity customers declined from 13.30 million in the fourth quarter of 2024 to 12.16 million in the corresponding period of 2025, representing a year-on-year drop of 8.52 per cent or 1,133,390 customers.

The report stated, “Total customer numbers in Q4 2025 stood at 12.16 million, up from 12.03 million in Q3 2025, representing a 1.11 per cent quarter-on-quarter increase. On a year-on-year basis, the number of customers declined by 8.52 per cent, from 13.30 million recorded in Q4 2024.”

The customer decline comes despite a 6.76 per cent increase in electricity supplied by the distribution companies, which rose from 6,207.85 gigawatt-hours in the fourth quarter of 2024 to 6,627.56GWh in the same period of 2025.
Revenue collection also climbed significantly during the period.

The NBS said total revenue generated by the Discos increased by 23.75 per cent year-on-year to N630.93bn in the fourth quarter of 2025 from N509.84bn recorded in the corresponding period of 2024. On an annual basis, collections rose from N1.69tn in 2024 to N2.32tn in 2025.

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Ikeja Electricity Distribution Company recorded the highest annual revenue of N440.86bn, followed by Eko Disco with N420.57bn and Abuja Disco with N375.95bn.

Metering also improved substantially, with the number of metered customers rising from 6.21 million to 6.97 million within one year, representing a 12.18 per cent increase.

The report noted that the proportion of customers on prepaid meters increased from 46.71 per cent in December 2024 to 57.27 per cent in December 2025, while estimated billing declined by 26.67 per cent as unmetered customers dropped from 7.09 million to 5.20 million.

It stated, “Similarly, the number of metered customers reached 6.97 million in Q4 2025, representing a 4.58 per cent increase from 6.66 million recorded in the preceding quarter. On a year-on-year basis, metered customers increased by 12.18 per cent.

“In addition, the number of estimated customers stood at 5.20 million in Q4 2025… On a year-on-year basis, estimated customers decreased by 26.67 per cent.”

Despite the improvements, several Discos recorded significant losses in customer numbers.

Benin Electricity Distribution Company posted the highest decline, losing 379,616 customers, followed by Kaduna Disco with 341,150 customers and Yola Disco with 311,527 customers.

Ibadan Disco lost 199,409 customers, while Port Harcourt, Kano, Eko and Jos Discos also recorded declines.

However, Enugu Electricity Distribution Company gained 245,129 customers during the period, Abuja Disco added 146,378 customers, while Ikeja Disco recorded an increase of 22,016 customers.

The development comes as households and businesses increasingly abandon the national grid over persistent power outages and high electricity costs.

Reports indicate that 24 bulk electricity consumers secured licences in 2024 to disconnect from the national grid and generate their own power, while another 22 entities obtained off-grid generation permits with a combined capacity of about 289 megawatts.

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Similarly, about 250 manufacturers and tertiary institutions have exited the distribution companies’ networks in favour of self-generation due to unreliable electricity supply.

Recently too, some companies listed on the Nigerian Exchange spent N400.83bn on alternative energy sources in the first quarter of 2026, representing a 3.66 per cent increase from N386.67bn recorded in the corresponding period of 2025.

The firms that separately disclosed electricity expenses recorded an 81.50 per cent increase in power costs, reflecting the combined impact of higher tariffs and continued dependence on diesel, gas and other alternative energy sources.

The Minister of Power, Chief Joseph Tegbe, has however, assured Nigerians that electricity supply would improve significantly before the end of the year, saying the Federal Government was implementing difficult but necessary reforms to address decades of underinvestment and poor management in the power sector.

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Energy and Power

NNPC Advocates Regional Integration, Technology-Driven Energy Growth

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By Musa Aliyu

The Group Chief Executive Officer of NNPC Limited, Engr. Bashir Bayo Ojulari, delivered a keynote address at the Africa Technology Conference (ATC 2026) in Abidjan, Côte d’Ivoire.

Represented by the Managing Director of NNPC Engineering & Technical Company Limited, Salahuddeen Tahir, the GCEO spoke on the theme “Harnessing Innovation and Technology for a Resilient and Sustainable African Energy Sector.”

Ojulari called for deeper collaboration among African governments, national oil companies, investors, and technology partners to drive energy integration and support a just and pragmatic energy transition for Africa.

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Energy and Power

Gov Alia Signs Benue State Electricity Law 2026 to Boost Power, Jobs, and Investment

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New law aims for stable supply, lower business costs, consumer protection, and rural electrification

By Felix Umande, Makurdi

Governor Hyacinth Alia’s signing of the Benue State Electricity Law, 2026 into law has set the legal framework for the state’s power generation, transmission, and distribution.

The state is now geared toward meeting its power needs and depending less on the national grid, towing the line of states like Abia, Imo, Edo and Lagos among others.

The Governor performed the signing ceremony on Monday at the Old Banquet Hall of Government House, Makurdi.

According to government officials, the legislation is designed to deliver multiple benefits to residents and the state’s economy:

The law creates the framework for local electricity generation, transmission, and distribution which will generally increase power supply. Officials expect this will lead to more reliable and stable power for homes, businesses, schools, and hospitals.

Stable electricity is projected to attract investors, encourage new industries and businesses, as well as create more employment opportunities for thousands of Benue residents, especially youths.

With better grid power, businesses will spend less on generators, fuel, and alternative sources. The government says this will lower production costs, increase profitability, and make locally made goods more competitive.

The law similarly provides mechanisms to enforce consumer rights. These include fair billing practices, improved service delivery, quicker resolution of complaints, and greater accountability from electricity providers.

Communities without electricity are expected to benefit from the new initiative. With Benue generating its power, officials are optimistic about improved healthcare delivery, education, agricultural processing, security, and overall better living standards statewide.

See also  1.13 million Customers Abandon Discos Over Rising Energy Costs

In summary, the administration says the Benue State Electricity Law, 2026 will help deliver more reliable electricity, stimulate economic development, protect consumers, create jobs, and improve quality of life. The government says it positions Benue for greater industrialization and sustainable growth.

The signing comes as states across Nigeria increasingly leverage powers granted them by the 2023 Electricity Act to generate, use and regulate their own power sources.

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