Business News of Sunday, 27 July 2025

Source: www.punchng.com

Electricity Act amendment: Labour rejects proposed ban on industrial action

Nigeria Labour Congress Nigeria Labour Congress

The Nigeria Labour Congress, Trade Union Congress of Nigeria, and National Union of Electricity Employees, on Thursday, resisted the ban on industrial actions by power sector workers as contained in the proposed Electricity Act (Amendment) Bill, 2025.

The Federal Government, in the proposed Electricity Act (Amendment) Bill, 2025, before the National Assembly, will no longer tolerate blackouts orchestrated by labour unions under the guise of protests or strikes, if the bill is passed.

In a sweeping reform aimed at stabilising Nigeria’s electricity sector, the government plans to bar trade unions in the power industry from embarking on strikes or picketing activities without a formally negotiated Minimum Service Agreement.

A draft amendment to the Principal Act, seen by The PUNCH, also declares the generation, transmission, and distribution of electricity in Nigeria as essential services, effectively placing restrictions on industrial actions by workers in the power sector.

The prohibition is part of a wide-ranging amendment to the Electricity Act, which now designates the entire Nigerian Electricity Supply Industry as an essential service, effectively outlawing any form of industrial action that could disrupt generation, transmission, or supply of electricity.

According to Section 228(H) of the new provisions, no employee or trade union may engage in strike actions unless specifically allowed under an approved agreement. Violators risk a fine of up to N2m or imprisonment for five years, or both.

The proposed Electricity Act (Amendment) Bill, 2025, also drew condemnation from the Forum of Commissioners of Power and Energy, which warned that it could trigger a constitutional conflict between the Federal Government and the states.

A copy of the amended act read, “Restriction on industrial actions: 228(H)(1) Notwithstanding any provision in the Labour Act, Trade Unions Act, or the Trade Dispute Act, no employee or trade union in the Nigerian electricity supply industry shall embark on any strike, lockout, picketing or other industrial action that would disrupt or cease generation, transmission, system operation and supply of electricity, except as provided for under a duly negotiated and approved Minimum Service Agreement.

“Any person who contravenes the provisions of subsection(1) of this section commits an offence and shall, upon conviction, be liable to a fine of N2,000,000.00 (Two Million Naira) or imprisonment term of up to five years or to both such fine and term of imprisonment.”

Labour reacts

Reacting to the proposed amendment bill on Thursday, the President of the Nigeria Labour Congress, Joe Ajaero, declared that the NLC was not comfortable with the proposed bill, stressing that the bill, if passed, would be violated immediately, describing it as unrealistic.

He said, “We are not comfortable with the proposed bill. Nigeria is a signatory to International Labour Organisation Conventions 87 and 98, which protect the right to organise and undertake collective bargaining. This proposed amendment violates those conventions. It also attempts to override the Trade Union Act, something the Electricity Act has no jurisdiction to do. The Electricity Act is a sectoral law. It cannot claim supremacy over the Trade Union Act, which is the appropriate legal framework for addressing labour-related matters. The legislature has overreached its mandate with this proposal, and it appears to be influenced by interests seeking to weaken labour rights.

“While it is true that the power sector is classified as an essential service, the Trade Union Act already makes adequate provisions to reflect that status. It requires trade unions in essential sectors like electricity, oil and gas, and banking to issue a mandatory two-week notice before embarking on any industrial action. Additionally, the Act empowers the Minister of Labour to proactively intervene, even at the mere hint or rumour of a brewing crisis, through a process known as ‘apprehension.’ This system ensures issues are addressed before they escalate.

“However, banning workers from acting entirely is akin to beating a child and telling them not to cry. It’s unrealistic. If passed, this law will be violated immediately because it is unjust and unworkable. You can’t expect employees to remain silent if their wages are withheld or their conditions worsen. That’s a human rights issue.”

The NLC president asserted that the proposed bill, if passed, would not be respected.

He said, “The day it’s passed is the day it will be violated. Employers will become emboldened, refusing to pay salaries, denying tools for work, because workers would have been stripped of their right to react. There is no society in the world, not even under the most draconian regimes, where the right to strike is entirely banned. Let me be clear, this is not a labor reform. The 2023 Electricity Act was about deregulating the power sector, allowing states to set up their own electricity markets, and pushing renewable energy integration. That’s its purpose, not labour control.

“Lawmakers must understand that the Electricity Act is not a labour law. If they want to legislate on labour matters, they must go through the proper framework, consulting all relevant stakeholders, including labor unions, through public hearings. But that didn’t happen here. No consultations, no engagement; this was done in bad faith. The existing Trade Union Act already provides comprehensive guidelines on how labour actions should be carried out in essential sectors. It’s improper to insert labour restrictions into a sectoral law like the Electricity Act. This move is ill-advised, poorly thought out, and it simply will not stand.”

On its part, the Trade Union Congress of Nigeria vehemently rejected the proposed ban on power sector industrial action as enshrined in the proposed amendment bill.

The Secretary-General of the TUC, Nuhu Toro, who spoke in an interview with one of our correspondents, said such a proposition violated the treaties ILO 87 and 88, which give fundamental rights to protest for aggrieved workers. According to Toro, Nigeria is a signatory to the said treaties.

He said, “The TUC, under the leadership of Comrade Festus Osifo, is strongly opposed to this bill. This rule is not only unconstitutional but also undermines the principles of democracy.

“The right to strike is a core component of collective bargaining. Nigeria is a signatory to ILO 87 and 98, which allows the right to protest. Government should address the root causes of labour unrest. We urge the National Assembly to withdraw the bill and focus on strengthening labour rights.”

The Secretary-General of the National Union of Electricity Employees, Dominic Igwebike, said the proposed amendment is clearly aimed at crippling trade unions in Nigeria.

He said, “This proposed amendment is clearly aimed at crippling trade unions in Nigeria. It attacks the right to protest, to picket, and to speak out against the poor conditions of workers. These are the very rights that empower unions to negotiate for better welfare and fair treatment. It’s an unacceptable attempt to silence workers and strip them of their voice.

“This isn’t just about electricity workers; it’s about every Nigerian worker. If this amendment passes, it means even you, as a journalist, could be denied the ability to voice concerns through collective action. It undermines the fundamental role of labor in nation-building. Labor creates wealth, and we must have the power to demand justice and equity.

“We intend to strongly resist it. Our approach is to counter the amendment by proposing our own version via a paper presentation, one that protects workers’ rights. This bill is still in its proposal stage, and we’ll mobilize to ensure it doesn’t stand unchallenged. We’ll engage lawmakers, galvanise public opinion, and push for its rejection. What they are proposing is unjust, and it must be scrapped. It is an assault on dignity, freedom, and the rights of the Nigerian workers.”