Efforts to resolve the escalating conflict between Dangote Refinery and oil workers’ unions collapsed yesterday, deepening concerns of a nationwide fuel supply disruption.
Talks involving the refinery management, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) ended without agreement as both sides refused to shift ground.
While the unions insisted that all refinery staff must be unionised, Dangote management rejected the demand outright.
The stalemate has already triggered disruptions. In Lagos and Port Harcourt, several depots were shut down in compliance with union directives.
In Apapa, Lagos, Nigeria’s busiest petroleum hub loading operations were halted at facilities including Aiteo, NIPCO, 11PLC, Conoil, Ardova Petroleum, and Hensmor.
A similar scenario played out in Port Harcourt, where NUPENG members blocked Bulk Strategic and Shoreline depots. Many filling stations in Ibadan also shut their pumps.
At the heart of the dispute is Dangote Refinery’s alleged resistance to workers joining unions, a stance PENGASSAN and NUPENG condemned as an attack on labour rights.
Both unions accused the refinery of blocking employees from exercising their right to organise, describing the policy as unacceptable and a violation of labour laws.
Adding to the tension, the Independent Petroleum Marketers Association of Nigeria (IPMAN), Western Zone, joined NUPENG in protesting plans by Dangote Refinery and MRS Energy Ltd to bypass existing distribution networks by deploying 4,000 Compressed Natural Gas (CNG)-powered trucks for direct supply of fuel to retailers.
The Federal Government, sensing the risk of disruption, convened a crisis meeting yesterday in Abuja.
The session, initially billed for 10 am, did not begin until 5 pm. The Minister of State for Petroleum, Heineken Lokpobiri, expressed hope for progress before the talks went into a closed-door session.
Labour and Employment Minister Muhammad Maigari Dingyadi, in his opening remarks, appealed for calm.
He reminded all parties that the oil sector was too crucial to Nigeria’s economy to be destabilised by industrial disputes.
“This meeting is to consolidate and negotiate a peaceful settlement between the unions and the Dangote Group,” he said. “The oil industry is vital to our national stability. I urge everyone here to listen, accommodate differing views, and work towards an agreement.”
Despite this call, PENGASSAN signalled it would stand “shoulder-to-shoulder” with NUPENG. Its General Secretary, Lumumba Okungbowa, said the refinery’s stance on unionisation had persisted since inception and would no longer be tolerated. He warned that PENGASSAN could shut down refinery operations if the dispute dragged on.
“This is not only about tanker drivers but all employees at Dangote Refinery and its subsidiaries,” Okungbowa stated. “The right to unionise is guaranteed under international conventions and Nigerian law. Continued denial of these rights will provoke broader action.”
Meanwhile, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) urged restraint. Its Executive Secretary, Olufemi Adewole, warned that any strike would hit ordinary Nigerians hardest, urging dialogue and swift government intervention to prevent fuel shortages.
But other industry groups declared solidarity with NUPENG. The Natural Oil and Gas Suppliers Association of Nigeria (NOGASA), the Petroleum Retail Outlet Owners Association of Nigeria (PETROAN), and the Nigerian Association of Road Transport Owners (NARTO) vowed to back the strike.
NOGASA President, Benneth Korie, warned that members could withdraw services nationwide, saying Dangote’s plan threatened years of investments in depots, trucks, and filling stations. PETROAN President, Billy Gillis-Harry, echoed the concern, arguing that bypassing retailers would wipe out jobs and businesses.
“Dangote Refinery is a national pride, but it must succeed with us, not against us,” Gillis-Harry said. “If this matter is not resolved, our outlets will close down, and distribution to the public will collapse.”
NARTO President, Yusuf Othman, was more direct, listing potential dangers of Dangote’s plan—loss of bank-financed investments, livelihoods destroyed, threats to energy security, national security risks, and eventual consumer exploitation through monopolistic pricing.
Citing Section 212 of the Petroleum Industry Act (PIA), he reminded regulators of their duty to protect fair competition. “This is not a fight against investment,” he stressed. “It is a fight against monopolistic practices that could destabilise the economy.”
On the streets, Nigerians are watching closely. In Ibadan, where some filling stations remained closed, motorists thronged NNPC retail outlets still dispensing fuel.
Commercial driver Alani Adegoke urged quick government intervention: “If this crisis continues, it will make life harder for everyone. We can’t afford prolonged strikes.”
A motorcyclist, Gbenga Oworu, worried about daily survival. “Many of us earn just enough to feed our families each day. We don’t want anything that will make life more difficult,” he said.
For businesswoman Olubunmi Bamigbade, the prospect of the crisis spilling into the school term is daunting. “If this continues when schools resume, it will be a big problem. Government must act fast to resolve it,” she warned.
As tensions rise, all eyes are now on Abuja, where negotiations continue behind closed doors. The outcome will determine whether Nigeria heads into a fuel crisis or finds a fragile peace in its oil sector.
