The Fuel Supply Disruption and the Strain on National Security
Many Nigerians have voiced strong opposition to the planned disruption of fuel supply nationwide, following a strike declared by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). This action is in protest against the dismissal of some employees at the Dangote Petroleum Refinery. The federal government has since invited the leadership of PENGASSAN and the management of Dangote Refinery to an emergency meeting in Abuja to address their dispute.
Patience Onuobia, the Labour ministry’s spokesperson, stated that Minister of Labour and Employment, Maigari Dingyadi, appealed to the union to reconsider its planned strike, warning that it could have far-reaching consequences for the economy and national security. The minister emphasized that a strike would not only lead to heavy revenue losses but also cause more hardship for Nigerians, negatively impacting economic stability and national security.
The rift between PENGASSAN and Dangote Refinery escalated over the weekend after the union accused the company of terminating the employment of hundreds of staff members who had joined the association. The union claimed that these workers were being victimized for exercising their constitutional right to freedom of association, alleging that the refinery replaced some of the dismissed staff with expatriates.
In a circular signed by its General Secretary, Lumumba Okugbawa, after an emergency National Executive Council meeting on Saturday, PENGASSAN directed members in all oil and gas installations nationwide to down tools from Sunday, September 28. When contacted last night over the strike and the meeting by the FG, Okugbawa said the union would be part of the meeting on Monday but added that the association had made its position known.
Public Reaction and Social Media Discourse
Netizens took to social media yesterday to express their views on the dispute. Ben Owoleke, a power sector expert, argued that PENGASAN does not have any gas, stating that the gas belongs to the Nigerian Government, and those union guys are just employees working for Nigeria to earn their wages. He highlighted that the gas supply to Dangote is not free, and the payment made by Dangote Refinery contributes to revenues used for salaries across states and LGs.
On X (formerly Twitter), @MrGhata suggested that the best way to solve and dispute is by dialogue, not by compounding the problem. @TomolaGroup pointed out that the refinery drama keeps exposing the same problems of half-truths, blame games, and no accountability. @IamSpeacial_Kay expressed concerns about the monopoly held by one refinery, suggesting that when one man controls the market, the people pay the price.
@thekanoblog urged Nigerians to open their eyes, noting that Dangote’s refinery was supposed to bring relief, yet every time the people are close to breathing, forces within the government and their allies rise to frustrate it. @Sizzymirah criticized Dangote for unlawfully sacking staff for joining a union, questioning if they thought of dialogue before taking such steps.
Consumers Forum Alleges Sabotage
The Concerned Nigerian Consumers Forum yesterday asked the federal government and the Department of State Services to investigate the alleged attempts by PENGASSAN to sabotage the Dangote Refinery. In a statement by Olabisi Taiwo and Justice Alikor, the forum expressed concern over PENGASSAN’s threat to picket the refinery due to the alleged mass sackings. It warned that such actions could plunge the country back into scarcity of petroleum products, trigger economic instability, and cause national embarrassment.
The forum questioned who benefits if the refinery fails, suggesting that it is certainly not the Nigerian people but fuel importers and rent seekers who profit from chaos. It called on the government to send a clear message: industrial blackmail will not be tolerated.
Tanker Drivers Hit PENGASSAN
The Petroleum Tanker Drivers (PTD) branch of NUPENG also accused PENGASSAN of overstepping its mandate and attempting to undermine the historic gains of the Dangote Refinery. In a statement by Obi-Dede Wonder on behalf of PTD elders, the drivers described PENGASSAN’s strike threat as “empty, mischievous and irrelevant.”
NUPENG President, Comrade Williams Akporeha, and General Secretary, Comrade Afolabi Olawale, in a statement, said the PTD Elders were unknown to their constitution. They alleged that certain forces, whom they described as “unconscionable capitalists with filthy wealth,” were behind the faceless group to deceive, manipulate, mislead, and create confusion within the oil and gas sector and the wider public.
Legal Perspectives and Industry Warnings
Lawyers have asked Dangote refinery and PENGASSAN to resolve their dispute without impacting the economy negatively. Abeny Mohammed, SAN, suggested that the union’s suggestion to shut down fuel and gas supply is an extreme and punitive measure that could offend the law. He recommended going to court for resolution.
Mike Ozekhome, SAN, emphasized the need for a middle ground between the constitutional right to assembly and the binding agreement between employers and employees. Professor Sam Amadi noted that downing tools or shutting supply stations are part of industrial action where workers primarily operate the facilities.
Long-standing Dispute and Industry Warnings
The dispute had been brewing since September 24 when Dangote Refinery issued dismissal letters to certain employees, citing alleged sabotage that threatened the operational safety of the multibillion-dollar facility. PENGASSAN countered that the company used sabotage as a cover to punish union members, insisting that at least 800 workers were affected.
Dangote Refinery denied carrying out a mass sack, clarifying that only a small number of staff had been released as part of an internal reorganisation to improve efficiency. In a statement, the company insisted that the majority of its workforce remained Nigerians and dismissed claims that thousands of expatriates had been hired to replace locals.
GenCos Decry Nationwide Blackout
On Sunday, the Association of Power Generating Companies (APGC) warned that Nigeria faced an imminent nationwide blackout if gas supply to thermal power stations was cut off in compliance with PENGASSAN’s strike order. The Executive Secretary of APGC, Joy Ogaji, said gas suppliers had already issued notices to thermal plants to shut down, which would leave hydroelectric stations struggling to sustain the national grid.
Industry experts warned that thermal power stations, which account for more than 70 per cent of Nigeria’s electricity supply, cannot be replaced by hydroelectric dams without triggering massive outages and raising the risk of a total system collapse.
Experts Caution Against Disruption
Wumi Iledare, Professor Emeritus of Petroleum Economics, stated that while PENGASSAN has every right to defend the interests of its members, the decision to shut down control room operations, gas supplies, and refinery inputs carries profound economic and social consequences. He noted that in the petroleum industry, a stoppage is not a simple switch-off but destabilizes systems, shrinks government revenue, triggers product shortages, and undermines investor confidence.
Prof. Dayo Ayoade mni, Energy Law expert at the University of Lagos, said the PENGASSAN’s action showed they had turned into a cabal, and their continuous action spells doom to the petroleum sector if left unchecked by the federal government.
NISO Warns of Grid Collapse
The Nigerian Independent System Operator (NISO) has warned that the ongoing dispute between Dangote Refinery and PENGASSAN could jeopardize the stability of the national power grid. In a statement, NISO said gas-fired thermal power stations, which provide the bulk of Nigeria’s electricity supply, were at risk of shutting down following the strike declared by PENGASSAN.
It urged both parties to embrace dialogue and lawful mechanisms of dispute resolution in the interest of the economy and the wellbeing of Nigerians.
NANS Seeks End to Hostilities Against Dangote Refinery
The president of the National Association of Nigerian Students, Olushola Oladoja, urged stakeholders in the oil and gas sector to end hostilities against the Dangote Refinery in the interest of national development. He raised concerns about the continued face-off between various parastatals and sectors and the Dangote Refinery.
TUC Mobilises for Action
The Trade Union Congress of Nigeria condemned the recent anti-worker actions of the management of Dangote Petroleum Refinery, particularly the unjust termination of workers for exercising their constitutional right to freedom of association and unionization. It placed its affiliates nationwide on standby for a general strike if the demands were not met.
Our Refinery a National Asset – Dangote
The management of Dangote Petroleum Refinery stated that the resolve by PENGASSAN to use “bully tactics” could not justify the threat to the lives of persons, including infants and aged persons who need the petroleum products and attendant necessities for their life-support systems in the hospitals, in care homes, and the Nigerian workers whose lives and livelihood are to be put at risk with the strike.
It called on the federal government and its agencies as well as all Nigerians to stare down PENGASSAN and put a stop to the “machinations and blackmail tactics of its oligarchs and sponsors.” It emphasized that Dangote Refinery is a national asset that must be protected by the Nigerian State and its people.
NUPRC Calls for Dialogue
The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Gbenga Komolafe, advised parties in the dispute to embrace dialogue in resolving the issues. He stressed that regardless of the fact that the issues involved are purely mid and downstream affairs, parties should refrain from what will cause disruption in energy supply in the country.
