A concerned consumer advocacy group has called on the Federal Government and the Department of State Services (DSS) to immediately probe claims that the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) is orchestrating a plan to undermine operations at the Dangote Petroleum Refinery, a move which, they warn, could jeopardize Nigeria’s fledgling energy independence.
Recall the dispute stemed from recent mass layoffs at Dangote Refinery, where more than 800 Nigerian workers were reportedly dismissed in what the union says was retaliation for unionization efforts. In response, PENGASSAN issued a directive ordering its branches in major oil and gas firms to halt crude and gas supply to the refinery, and to stop vessel loading operations for the facility.
Dangote’s management immediately condemned the move, characterizing it as “economic sabotage”, “criminal”, and “lawless.”
The company maintained that PENGASSAN lacks any legal basis to interfere with existing contractual arrangements for crude and gas supply.
Alarmed by the potential fallout of a refinery shutdown, the consumer group accused PENGASSAN of engaging in sabotage that could inflict widespread hardship on Nigerians. They argued that the union’s directive not only threatens the integrity of fuel supply chains but also undermines Nigeria’s progress toward energy self-sufficiency.
The group urged:
Federal Government (FG) agencies to step in, assert oversight, and hold accountable anyone found culpable.
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DSS should launch a thorough security intelligence investigation into whether the action constitutes a coordinated plot aimed at destabilizing the energy sector.
It also urged Regulators and law enforcement to collaborate in safeguarding the refinery as a strategic national asset.
If PENGASSAN’s directive is fully implemented, several serious risks loom:
Crude and gas supply disruptions : The refinery depends on steady upstream feedstock, and cutting flows would hinder production.
Fuel scarcity and inflation: A shutdown in refining capacity could cascade into shortages of petrol, diesel, jet fuel, kerosene, and cooking gas.
Revenue losses: The Dangote Refinery is positioned to contribute significantly to national and sub national revenues; disruption could dent fiscal expectations.
Investor confidence: Perceived instability could dissuade foreign and local investment in Nigeria’s oil and gas sector.
However, the Dangote Refinery responded forcefully, stating that PENGASSAN’s move is a “brazen display of lawlessness,” and reiterated that the union has no authority to disrupt contractual gas or crude supply agreements.
In the face of the stalemate, the House of Representatives has directed its Petroleum Resources (Downstream) Committee to mediate in the dispute. To this end, the committee called on the union to withdraw its directive and submit to negotiation mechanisms provided by labour law.
In same vein, some civic groups, including the Stand-Up South South Security Group, have cautioned against any sabotage or escalation in the face of rising tension.
According to keen industry watchers, to avert a full-blown fuel crisis, the following steps are vital:
Return to negotiation: PENGASSAN and Dangote must engage under oversight from the FG, with third-party mediation as needed.
Legal review:
The FG and legal authorities should assess whether union actions breached national laws or constitute sabotage.
Regulatory assurance: Agencies like NMDPRA (or its successor) should reinforce investor protections and clarify the boundaries of union interference.
Security monitoring: The DSS and intelligence agencies should monitor attempts to weaponize energy infrastructure for political ends.
If handled judiciously, this crisis could serve as a test case: will Nigeria protect strategic national assets and enforce the rule of law, or allow labor disputes to spiral into threats on energy stability?
