Nigeria Refinery Dispute Sparks Strike Amid Energy Supply Fears

Nigerian govt provides solution to Dangote Refinery, PENGASSAN rift

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has intervened in the dispute between the Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). In a statement, NUPRC’s Chief Executive Officer, Gbenga Komolafe, urged both parties to engage in dialogue to prevent disruption to the country’s energy supply. Komolafe emphasized the need for a resolution that serves the national interest, despite the issues being related to mid- and downstream affairs.

The dispute revolves around the Dangote Refinery’s decision to sack over 800 workers, prompting PENGASSAN to announce a strike on Sunday. The union instructed its members to halt gas and crude supply to the 650,000-barrel-per-day refinery, effective immediately. In response, the Dangote Refinery characterized PENGASSAN’s actions as economic sabotage and called on the Nigerian government to intervene.

The NUPRC’s intervention aims to mitigate the potential impact of the dispute on Nigeria’s energy sector. As the regulatory body responsible for overseeing the country’s petroleum industry, the commission is keen to ensure that the issue is resolved amicably. Komolafe’s statement emphasizes the importance of finding common ground and avoiding actions that could jeopardize the country’s energy supply.

The strike has significant implications for Nigeria’s energy landscape, as the Dangote Refinery is a critical component of the country’s petroleum infrastructure. With a production capacity of 650,000 barrels per day, the refinery plays a vital role in meeting the country’s energy demands. The NUPRC’s intervention is therefore crucial in preventing a potential crisis in the energy sector.

As the situation unfolds, the Nigerian government is likely to face increased pressure to address the concerns of both parties. The government’s response will be closely watched, as it seeks to balance the interests of workers, industry stakeholders, and the broader economy. With the NUPRC’s intervention, it is hoped that a resolution can be found that avoids disruption to the energy supply and promotes stability in the sector.

Scroll to Top