Dare Babalola
The Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, has disclosed that the agency intervened in 2024 to stop a contractor from executing a government power project with fake and substandard transmission materials.
Olukoyede made this known while receiving the Managing Director of the Nigerian Electricity Management Services Agency (NEMSA), Olusegun Adesayo, during a courtesy visit to the EFCC headquarters in Abuja.
According to a statement issued by EFCC spokesperson Dele Oyewale on Thursday, the commission’s investigation revealed that the contractor, engaged by the Ministry of Power, had imported substandard transmission lines for a government project.
“In 2024, we had cause to write to the Ministry of Power to blacklist a contractor after confirming that he imported fake and substandard power transmission lines,” Olukoyede said, noting that the intervention prevented a potential disaster that could have resulted in loss of lives and damage to critical national infrastructure.
He, however, did not disclose details of the contract, including its location, value, or whether any prosecution has commenced.
Olukoyede emphasised the EFCC’s readiness to deepen collaboration with NEMSA to improve regulatory compliance and safeguard the power sector from fraud and sabotage.
“We believe that working together will ensure that all stakeholders comply with the rules guiding the industry. This will ultimately improve power supply,” he said, adding that the commission’s mandate extends beyond financial crimes to include economic sabotage.
He also urged greater scrutiny of procurement processes and contract execution, assuring that the EFCC would support investigations into fraud-related activities in the sector.
In his remarks, Adesayo said NEMSA is seeking stronger cooperation with the EFCC, particularly in intelligence sharing, enforcement of technical standards, and tackling the use of substandard electrical materials.
“We recognise that effective regulation and anti-corruption enforcement are critical to protecting public infrastructure. We seek a coordinated effort to safeguard national assets,” he said.
Nigeria continues to grapple with deep-rooted challenges in its electricity sector, including corruption, weak infrastructure, and poor supply. According to the World Bank, about 85 million Nigerians lack access to grid electricity, while a majority of connected users receive less than 12 hours of power daily.
Despite an installed generation capacity of over 13,000 megawatts, actual output typically ranges between 4,000 and 5,500 megawatts due to gas shortages, infrastructure deficits, and operational inefficiencies.
Corruption has remained a major concern, with several high-profile cases involving public officials. Former power ministers Olu Agunloye and Saleh Mamman are currently facing trial over alleged fraud, while officials of the Rural Electrification Agency are also being prosecuted over the alleged diversion of public funds.
Meanwhile, the Nigeria Labour Congress (NLC) has raised concerns over a proposed N20 billion emergency refurbishment project by the Transmission Company of Nigeria (TCN).
In a letter signed by its president, Joe Ajaero, the union called for an immediate suspension of the procurement process pending a forensic audit. It warned that the proposed spending could lead to contract inflation and misappropriation of public funds under the guise of emergency interventions.
The NLC also urged anti-corruption agencies, including the EFCC and the Independent Corrupt Practices Commission, to investigate the procurement process and ensure transparency.
Olukoyede has repeatedly linked Nigeria’s persistent power outages to corruption, particularly the use of inferior materials by contractors.
He noted that some contractors deliberately substitute approved materials with lower-grade alternatives to cut costs, leading to frequent equipment failures and instability in the national grid.
“If you see some of the investigations we are carrying out in the power sector, you will shed tears,” he said.
He stressed that while asset recovery remains important, preventing corruption is more effective, revealing that the EFCC recovered about N440 billion and significant foreign currency assets within a year.
