Nigeria Faces Fuel Scarcity as Oil Workers Strike

‎A nationwide strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has brought operations at major oil and gas institutions, including the Nigerian National Petroleum Company Limited (NNPCL), Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), to a standstill.

‎The industrial action, which began at midnight, protests the alleged dismissal of over 800 Nigerian workers at Dangote Petroleum Refinery for joining the union, with claims that they were replaced by over 2,000 Indian expatriates.

‎The strike has halted crude and gas supplies to the refinery, raising fears of fuel shortages and economic disruption.

‎Impact on Terminated Workers

‎The sudden termination of approximately 800 skilled workers—mostly engineers and senior staff—has left families grappling with severe financial and emotional distress in Nigeria’s challenging economy, where unemployment stands at 33%.

‎These workers, instrumental in operationalizing Africa’s largest refinery (650,000 barrels per day), lost salaries, health benefits, housing allowances, and pensions overnight.

‎PENGASSAN alleges the sackings, which occurred just 24 hours after workers joined the union, violate Section 40 of the Nigerian Constitution and International Labour Organisation (ILO) conventions on freedom of association.

‎One affected engineer shared anonymously, “We poured years into this project, only to be labeled saboteurs and replaced by foreigners.”

‎Many face immediate risks of eviction, inability to pay school fees, and loss of healthcare access, exacerbating Nigeria’s inequality crisis.

‎Dangote Refinery denies mass sackings, claiming only a “small number” were let go for efficiency, with over 3,000 Nigerians still employed.

‎PENGASSAN demands unconditional reinstatement, a public apology, and an investigation into the refinery’s labor practices.

Strike’s Impact: Hardship or Hope for Nigerians?

The strike, achieving near-100% compliance, has locked gates at NUPRC and NMDPRA headquarters in Abuja, stranding employees and visitors. By halting crude and gas supplies to Dangote’s facility and petrochemicals, PENGASSAN aims to pressure management, with directives to ramp down production at international oil companies (IOCs).

‎The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), impacted by PENGASSAN’s withdrawal of critical approvals, has been rendered idle, further disrupting fuel distribution.

‎For Nigerians, the consequences could be severe. With NNPC as the sole petrol importer, the strike threatens fuel scarcity and price hikes (potentially 20-50%), hitting transport, hospitals, and schools in a nation grappling with 34% inflation.

‎Gas-dependent power plants, which supply 80% of Nigeria’s electricity, risk triggering blackouts.

‎A Lagos driver lamented on X, “This strike could leave us stranded with no fuel.”

‎However, a successful strike could benefit Nigerians long-term by reinforcing labor rights and curbing foreign worker preference in a sector employing over 500,000.

‎It may deter other companies from union-busting and prioritize local hiring, addressing youth unemployment. The Trade Union Congress (TUC) has placed affiliates on “red alert” for potential escalation, demanding reinstatement, an apology, and an ILO-involved probe.

‎Dangote Refinery accuses PENGASSAN of “lawless” sabotage, warning of disruptions to kerosene, diesel, cooking gas, and aviation fuel supplies for Nigeria’s 230 million people.


‎Government Response’s


‎The federal government is scrambling to prevent a deeper crisis. Minister of Labour and Employment Muhammad Maigari Dingyadi appealed for strike suspension on Sunday, citing threats to revenue, economic stability, and national security.

‎He convened an emergency conciliation meeting today with PENGASSAN and Dangote management, with the Ministry of Labour probing the dispute for an amicable resolution.

‎NUPRC CEO Gbenga Komolafe urged dialogue to avoid energy supply disruptions, noting a 90% reduction in crude losses since 2021 as proof of collaborative success.


‎As today’s talks unfold, Nigeria awaits a resolution. PENGASSAN remains firm on reinstatement, while the government pushes for peace to avert fuel queues and economic chaos.

‎A compromise—potentially phased reinstatements and union recognition—could restore stability and set a precedent for labor rights. Failure risks a TUC-backed escalation, plunging Nigeria’s oil-dependent economy into further turmoil.


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