NLC energy ministry merger proposal gains attention as union rejects N6 trillion bailout for power firms and calls for sector restructuring

The Nigeria Labour Congress (NLC) has proposed a major restructuring of Nigeria’s energy governance framework, calling for the merger of the Federal Ministry of Petroleum and the Federal Ministry of Power into a single Ministry of Energy, in Abuja, Nigeria, amid renewed debate over the country’s struggling electricity sector.

Also read: FCT Police Block NLC Protest Over Security Threat

The NLC energy ministry merger proposal was made public over the weekend by the union’s President, Joe Ajaero, who argued that the current fragmented structure of energy governance continues to undermine efficiency and worsen the nation’s persistent electricity crisis.

Ajaero strongly criticised the Federal Government’s proposed N6 trillion bailout for electricity generation companies (GenCos) and distribution companies (DisCos), describing the plan as an ineffective measure that only addresses symptoms rather than the underlying structural failures within the sector.

He maintained that public funds should not be used to support what he termed “failed private entities”, insisting that the privatisation of the power sector has not delivered the expected improvements in supply, affordability, or reliability for Nigerians.

The NLC energy ministry merger proposal, according to Ajaero, represents what he described as a “radical structural intervention” aimed at ensuring better coordination, improved investment flow, and stronger state oversight across generation, transmission, and distribution.

He explained that consolidating both ministries would allow the government to adopt a unified approach to energy planning and financing, similar to models used in countries where stable electricity supply has contributed significantly to economic development and poverty reduction.

Also read: Police, Court Advise NLC/TUC to Halt FCTA Protest

The labour leader reaffirmed that the union remains committed to advocating reforms that prioritise public interest, transparency, and sustainable development in Nigeria’s power sector.