Economy under threat as oil workers vow to shutdown Dangote Refinery, other outlets
Economy under threat as oil workers vow to shutdown Dangote Refinery, other outlets
…NUPENG shuns meeting with FG
By John Okezie
Nigeria’s fragile economy is staring at fresh turbulence as oil workers threatened to cripple operations at the multi-billion-dollar Dangote Refinery and other fuel outlets nationwide.
This comes as the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), on Monday, snubbed a meeting convened by the Minister of Labour and Employment, Muhammadu Dingyadi, to avert the looming shutdown, even as fuel depots in Lagos and Port Harcourt have already been locked in compliance with the union’s directive.
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSSAN) and NUPENG are peeved that Dangote Refinery is refusing its workers from joining relevant labour unions.
As NUPENG shunned Monday’s meeting, the federal government was forced to it.
It was learned that as at 10am, NUPENG leadership and other concerned stakeholders were still in Lagos, trying to board a flight to Abuja.
The union prevented loading activities at various depots in Apapa, Lagos which has the largest concentration of petroleum products holding facilities.
Some of affected depots in Apapa included; Aiteo, NIPCO, 11PC, Conoil, Ardova Petroleum and Hensmor. The situation was also the same in Port Harcourt as Bulk strategic and Shoreline depots were prevented from loading by NUPENG members.
PENGASSAN in a statement signed by its General Secretary, Lumumba Okugbawa, on behalf of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), said it remained unwavering and in solidarity with its sister union- NUPENG, in their ongoing efforts to secure the rights of tanker drivers who are currently being hired at the Dangote Refinery.
“We wish to place on record that Dangote refinery management has been resisting potential members of both PENGASSAN and NUPENG from joining the Association since its inception. All diplomatic efforts to persuade the company’s management have so far not yielded the desired result. It is with deep concern that PENGASSAN observe the increasing resistance to unionisation at the Dangote Refinery, as the continued denial of workers’ rights will no longer be tolerated going forward.
“We stand firmly in support of NUPENG’s call for the full unionisation of not just Petroleum Tankers Drivers but all employees of the refinery and its allied companies. This is in accordance with the principles set forth by the International Labour Organisation (ILO) and in line with Nigerian labour laws. The right of workers to organise and collectively bargain is not only a fundamental human right but also essential for promoting fair labour practices, ensuring safety, and upholding dignity in the workplace.”
PENGASSAN warned that, should the ongoing situation persist without a resolution, it will be left with no option but to join in shutting down the refinery operations as a last resort to protect our members’ rights and interests.
“We, therefore, urge all stakeholders to engage in immediate and constructive dialogue to address these pressing issues. Failure to recognise and respect the rights of workers to unionise will have consequences that extend beyond Dangote’s refinery workplace, thereby impacting all facets of our industry.
“In unity, we advocate for the rights of all workers and pledge our support to NUPENG in this vital mission. Together, we will work towards an equitable and just labour environment for all employees at Dangote Refinery”, it said.
Meanwhile, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) has called for calm, dialogue and collaboration among stakeholders in the oil and gas industry.
A statement by the Executive Secretary of DAPPMAN, Mr. Olufemi Adewole, said the association observed with deep concern the rising tension within the downstream oil and gas industry and the possibility of an industrial action that could disrupt national petroleum supply and distribution.
“As responsible stakeholders in this vital sector of the Nigerian economy, we recognize the central importance of industrial harmony to the stability of the industry, the protection of jobs, and the sustenance of revenues accruable to the nation. The potential impact of any strike on ordinary Nigerians, businesses, and government finances cannot be overstated.
“DAPPMAN, therefore, appeals to all parties involved to exercise utmost restraint and embrace constructive dialogue as the most effective means of resolving disagreements. In particular, DAPPMAN calls for the urgent intervention of the Federal Government in addressing the concerns of all aggrieved persons. We firmly believe that engagement at the round-table will yield lasting solutions and prevent avoidable disruptions in the sector.”
He noted that the association’s consistent position has always been to collaborate with government, labour unions, investors, and other critical stakeholders, to create a win-win situation that sustains investment, protects workers’ rights, and guarantees uninterrupted supply of petroleum products nationwide.
“We humbly urge all parties to sheath their swords, avoid actions that could escalate the situation, and allow room for negotiations that will address concerns in a fair, balanced, and sustainable manner.
“The Depot and Petroleum Products Marketers Association of Nigeria remains committed to playing a constructive role in facilitating peace, cooperation, and progress in the oil and gas sector for the ultimate benefit of Nigeria and her citizens”, it said.
NOGASA, PETROAN, NARTO vow to join strike
The Petroleum Retail Outlet Owners Association of Nigeria (PETROAN) and the Nigerian Association of Road Transport Owners (NARTO) have declared support for the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) in its nationwide strike.
Speaking at a joint press briefing in Abuja on Monday, NOGASA President, Mr. Benneth Korie, warned that members of his association would withdraw services nationwide if the issues were not resolved.
“Our members have invested heavily in depots, trucks and filling stations to keep the nation’s petroleum supply chain running. The plan to edge us out of distribution will not only destroy businesses but also threaten energy security. We have no other choice but to align with NUPENG in this struggle”, Korie stated.
The association leader stressed that while NOGASA recognised and supported Dangote Refinery as a landmark national investment, it must not be allowed to monopolise the sector.
He appealed to President Bola Ahmed Tinubu to intervene urgently, warning that suppliers would begin withdrawing services to construction companies, hotels, and telecoms sites from Monday if the matter was left unresolved.
Also speaking, PETRON President, Mr Billy Gillis-Harry, said retail outlet owners shared similar concerns, noting that the refinery’s plan could trigger widespread hardship and undermine sustainability in the sector.
“Dangote Refinery is our pride, but it must succeed with us, not against us. Retail outlets have existed for decades, and any attempt to bypass them will wipe out investments, shut down jobs, and cripple small businesses”, Gillis-Harry said.
The association president maintained that PETRON members would not abandon their workers if NUPENG’s strike goes ahead, declaring: “If this matter is not resolved, our outlet owners will simply close shop. Without our pump station workers, there can be no distribution to the public.”
He urged government regulators, including the Federal Competition and Consumer Protection Council, to urgently convene a stakeholders’ meeting with Dangote Refinery to clarify roles and avert the looming crisis.
On his part, NARTO President, Mr Yusuf Othman, said the association, whose members collectively operate more than 30,000 trucks nationwide, would resist any move to undermine existing distribution structures.
Othman listed five dangers of the Dangote plan, including loss of massive investments financed by banks, destruction of livelihoods, threat to national security, risk to energy security, and eventual exploitation of consumers through monopolistic pricing.
“Any attempt to eliminate the established distribution structure will destroy livelihoods, fuel unemployment, and surrender a critical aspect of national infrastructure to private monopoly control”, Othman warned.
Citing Section 212 of the Petroleum Industry Act (PIA), he reminded the Federal Government and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) of their responsibility to ensure fair competition and protect consumer interest.
The NARTO president further called on the Presidency, security agencies and the Dangote Group to immediately create a forum for dialogue, noting that its fight was not against investment but against monopolistic practices that could destabilise the economy.
Nigerians appeal FG’s intervention
The indefinite strike declared by some major players in the downstream sector commenced on Monday, with many filling stations in Ibadan shut and just a few selling petroleum products.
The Independent Petroleum Marketers Association of Nigeria (IPMAN), Western Zone, and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) had issued directives for their members to embark on strike.
IPMAN and NUPENG declared the strike in protest against plans by Dangote Refinery and Petrochemical Company, alongside MRS Energy Ltd, to commence direct distribution of Premium Motor Spirit (PMS).
A NAN correspondent who monitored the situation reports that while some filling stations under IPMAN and a number of major marketers did not open for business, a few others operated normally.
The impact of the strike had yet to be felt by motorists and commuters as Nigerian National Petroleum Company (NNPC) retail stations were dispensing fuel across the city.
A commercial driver, Mr Alani Adegoke, who purchased petrol at an NNPC station, expressed concern that prolonged industrial action could negatively affect Nigerians.
“We want government to respond to this crisis before it festers and degenerates into a serious issue”, he said.
Similarly, a commercial motorcyclist, Mr Gbenga Oworu, expressed the hope that ongoing discussions to resolve the ongoing impasse would yield a quick resolution.
“We don’t want anything that will make life harder for common people. Many of us, if we don’t go out in a day, cannot eat or provide food for our families”, he said.
A mother and businesswoman, Mrs Olubunmi Bamigbade, said whatever issues there were should be resolved.
“We haven’t felt it yet, but if the school should resume and the issue lingers, then it will be a big problem for Nigerians.
“We want our government to please rise to the occasion and resolve whatever there is so we will have no problem,” Bamigbade said.
Normal activities continued in areas such as Bashorun, Akobo, Ikolaba, Bodija, Ring Road, Oke-Ado, Dugbe and Jericho, as the strike had not disrupted daily life in the city.
