Dangote Refinery vs NUPENG: Fuel Supply Disruptions Deepen as Labour Dispute Escalates
Nigeria’s oil sector is facing fresh tension as talks between Dangote Refinery and labour unions—NUPENG and PENGASSAN, ended in deadlock on Monday. The unions insist that refinery staff must be allowed to unionise, but Dangote Management has strongly resisted, sparking protests that have already disrupted fuel distribution in major cities. The standoff has now become a national concern, raising fears of possible fuel scarcity if the crisis drags on.
The impact of the dispute was immediately felt in Lagos and Port Harcourt, where NUPENG members shut down several fuel depots, including those operated by Aiteo, Conoil, NIPCO, and Ardova. In Ibadan, many filling stations also closed their gates, leaving motorists worried about looming shortages. The unions are also protesting Dangote Refinery’s plan, alongside MRS Energy, to bypass marketers by directly distributing Premium Motor Spirit (PMS) with 4,000 Compressed Natural Gas (CNG) trucks.
At the centre of the storm is a clash of interests between Dangote Refinery’s drive for direct control of distribution and existing industry stakeholders, including IPMAN, PETROAN, and NARTO, who argue that the move could wipe out long-standing investments, jobs, and small businesses. Association leaders warn that the refinery risks creating a monopoly that threatens energy security and fair competition. They have vowed to align with NUPENG if their concerns are ignored.
The Federal Government has stepped in, with the Ministers of Petroleum, Labour, and Employment holding late-night talks in Abuja. Both sides were urged to exercise restraint, as officials warned that the oil industry is too vital to Nigeria’s fragile economy to be destabilised by prolonged strikes. Despite these interventions, union leaders maintain that unless workers’ rights to unionise are recognised, further action—including a full shutdown of refinery operations—remains on the table.
Meanwhile, Nigerians are anxiously watching the situation unfold. While NNPC retail outlets continue to dispense fuel in some cities, many commuters and small business owners fear that a prolonged strike could worsen living conditions. “We want government to respond quickly before it makes life harder for ordinary people,” said Olubunmi Bamigbade, a mother and trader in Ibadan. For now, hopes rest on urgent dialogue to prevent the crisis from snowballing into a nationwide fuel shortage.
Source: The sun