Nigeria fuel crisis deepens as meeting ends in deadlock

A high-stakes meeting between the Nigerian Federal Government, Nigeria Petroleum and Natural Gas Workers (NUPENG), Dangote Group, and other key stakeholders ended without a resolution on Monday. The meeting, initially scheduled for 3pm on Tuesday but delayed until after 5:00pm, aimed to address the ongoing dispute between NUPENG and Dangote Group.

The federal government had convened the meeting to resolve the face-off, which stemmed from Dangote’s plan to introduce 4,000 compressed natural gas trucks for petroleum products distribution nationwide. NUPENG president, Williams Akporeha, had accused Dangote Group of anti-labour activities, alleging that the policy would enslave workers. Dangote Group, however, insisted on implementing its policy.

Minister of Labour and Employment, Muhammad Dingyadi, emphasized the importance of the meeting, stating that it was an attempt to reconcile labour unions in the oil industry and employers in Dangote Group. Despite the meeting’s significance, no official details of the outcome have been made public by the parties involved.

According to industry sources, the details of the meeting are still unclear, but it appears that no agreement has been reached. The National President of the Independent Petroleum Marketers Association of Nigeria, Abubakar Maigandi, stressed the need for a sustainable resolution, citing the potential impact on all Nigerians.

In response to the dispute, NUPENG enforced a strike on Monday, shutting down major depots and some filling stations in Lagos and Warri. The strike has already led to increased transportation costs in Warri, and there are concerns that petrol scarcity may set in, with prices potentially rising. Other industry associations, including the Petroleum Products Retail Outlets Owners Association of Nigeria and the Nigerian Association of Road Transport Owners, have threatened to mobilize their members to down tools, further exacerbating the situation.

As the situation unfolds, fuel prices in parts of the Federal Capital Territory remain unchanged, ranging from N885 to N910 per litre. However, with the potential for widespread shortages and price increases, the dispute between NUPENG and Dangote Group takes on increased significance, highlighting the need for a swift and sustainable resolution to avoid disrupting the nation’s petroleum products distribution.

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