Strong indications emerged on Friday that the power sector reform of President Goodluck Jonathan may have stalled following unresolved matters with the labour unions in the sector.
It was learnt that the National Union of Electricity Employees and the Senior Staff Association of Electricity and Allied Companies on the one hand, and the top representatives of the Federal Government on the other, have lingering disagreements threatening the power reform.
An investigation by our correspondent showed that the Federal Government and the representatives of the workers of the Power Holding Company of Nigeria are in disagreement on three core issues expected to be tabled for resolution on April 16, 2012 when the suspended negotiations would resume.
The April 16 negotiations, it was learnt, might be the last round of meeting between the FG and electricity workers, no matter the outcome.
But the General Secretary of NUEE, Mr. Joe Ajaero, said on Friday that it would not be appropriate for anybody to say that the April meeting would be the last one as crucial issues had not been resolved.
In February, negotiators of the PHCN and the FG delegation could not strike a compromise due to the workers’ insistence on increased remuneration in line with the recent wage increase in the public sector.
The FG team had insisted that the government did not have the funds to take care of the workers’ demand.
Findings showed that the situation would not change, even when negotiations resume in April.
The three core issues are the workers’ demand for a 53.7 per cent salary increase for public servants, the issue of the N18,000 minimum wage and the call for a re-negotiation of an expired agreement with the workers.
It was learnt that a collective agreement reached with the PHCN workers in 2009 expired in August 2011 and was due for renegotiation this year.
On Thursday, Ajaero said that the issues must form the crux of the negotiation since a decision had been taken to liquidate the PHCN.
The labour leader said that it would be inconceivable and foolhardy for representatives of electricity workers to ignore the core issues since there would be no opportunity to treat such issues in future with the imminent liquidation of the PHCN.
He said, “It will not be appropriate for anybody to say that April would be the last date for the negotiation.
“The main issues that have to do with workers’ welfare are the issue of the 53.7 per cent salary increase for workers, the N18,000 Minimum Wage and the collective agreement of 2009, which expired in August 2011.
“These are clear issues that cannot be pushed away since PHCN is undergoing liquidation; we cannot put them aside; it would be foolhardy for any labour leader to do that.”
The workers are of the opinion that the Minister of Power, Prof. Barth Nnaji, is in a hurry to liquidate the PHCN because of an ulterior motive.
Ajaero explained that if the corporate headquarters of the company is no more, there would be no need to go through the process of liquidation since the company might have lost the power to sue or be sued.
The suspicion of the minister is said to have been aggravated by the transfer of 1,000 workers of the PHCN corporate headquarters to the ministry and some successor companies without payment of 42 days in lieu of hotel accommodation and transfer expenses.
It was learnt that the minister’s pronouncement that the PHCN had been liquidated when the process of liquidation had not been completed had made customers to shy away from transacting business with the electricity workers in PHCN.
NIt is also the belief among representatives of the workers that the minister is allegedly undermining the process of negotiation because of his vested interest in the sector.
naji is said to be the owner of Geometrics Power Ltd and Aba Power Ltd, which were said to be major competitors of the PHCN before his emergence as the minister of power.
The minister is being accused of appointing an employee of one of his companies, the Geometrics Power Ltd, as the bulk trader, which is said to have pushed the purchase and allocation of electric power to the firm.
But the minister denied the allegation in strong terms.
Also, the workers are querying the employment of 20 casual workers in August 2011, who are being paid N20,000 every month in the Enugu district when others are being laid off.
It was learnt that the workers were employed contrary to a deadline set for the capture of biometric data for casual workers, which was December 2009.
It was learnt that the face-off between the minister and the electricity unions had created the impression among investors that the reform process was devoid of transparency.
It was learnt that some persons were urging investors to shy away from bidding for the Enugu Distribution Company because of perceived interests in the company.
But Nnaji dismissed the claim by the workers and their allies as untrue and cooked-up stories and indeed a move to stall the reform process.
He expressed shock at the allegation that his loyalists were reserving the Enugu Distribution Company for a company owned by him.
He explained that he used to work for the company in question and had since resigned his appointment with the company.
Nnaji dismissed the claim that he appointed an employee of his company as the bulk trader.
The minister explained that the Presidency appointed the bulk trader based on his credentials and not because of his relationship with him.
He described the bulk trader as a thoroughbred professional with a master’s degree in Business Administration from Yale.
He said the appointed bulk trader worked with Constellation Energy in the United States for several years.
He was emphatic that he was the best the country had for the offer.
The minister, who confirmed the April 16 date for the expected negotiation, hinted that the FG might not accede to the demands presented by the workers’ representatives.
According to him, it was inconceivable for the FG to increase the salaries of electricity workers by 50 per cent last year and then accede to another demand for salary increase by 53.7 per cent this year.
He said that any minister who accepted such an outrageous demand should be fired.
He insisted that the representatives of the workers were making impossible demands because they did not want the reform to succeed.
He said that while the PHCN workers were in support of the moves by the government to actualise a successful execution of the reform agenda of the government, their representatives described as non-PHCN workers were out to scuttle it.
Nnaji said the FG would be left with no better alternative than to give the workers a package in the event that the negotiations did not go as planned.
He said the government would make the planned package voluntary to all PHCN workers.
He said, “You have to understand that these issues are cooked. How on earth will something be reserved for me? I mean for what? I used to work for the company and I have resigned. I no longer work for the company.
“You see, the Presidency appointed a thoroughbred professional, an MBA holder from Yale. He worked for a foremost power firm in the United States, the Constellation Energy for several years.
“That somebody is associated with the minister does not mean that he is not qualified. It is pitiable that we will have the situation we have.
“He is the best we have in this country and you people will have to help us to make sure that this thing works. It is totally untrue.
“Last year, we increased salary of workers. Electricity workers had their salaries increased by 50 per cent; then this year, somebody walks in again and asks for 53 per cent. If you were in my position, would you agree? If I did, won’t you have me thrown out? Somebody has to stand to defend this country.
“These people simply do not want the reform to work. And the people stalling the process are not the workers of PHCN. They don’t want the thing to progress that is why they are placing abnormal demands.
“If we accept their demands, the whole process would grind to a halt.
“The government will offer a package and it will be voluntary; it will not be compulsory. The people will decide whether to accept it or not.”
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