Nigeria, a nation historically plagued by fuel shortages, now faces an imminent scarcity crisis stemming from a deeply contentious labour dispute. The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has declared an indefinite strike, set to commence on Monday, September 8, 2025, in response to what it describes as “anti-union practices” and “economic sabotage” by the Dangote Refinery and its affiliated entities . This confrontation threatens to paralyze petroleum distribution across the country, potentially disrupting transportation, commerce, and daily life for millions of Nigerians.
The dispute centers on the alleged refusal of the Dangote Refinery, owned by Africa’s richest man, Aliko Dangote, to allow drivers recruited for their new Compressed Natural Gas (CNG) truck fleet to join trade unions. NUPENG claims that newly recruited drivers are being forced to sign undertakings prohibiting them from affiliating with existing unions like the Petroleum Tanker Drivers (PTD) branch of NUPENG . Instead, the companies purportedly plan to create a company-controlled union, a move NUPENG condemns as a violation of constitutional and international labour rights.
NUPENG officials, including President Williams Akporeha and General Secretary Afolabi Olawale, have framed this as a fundamental issue of dignity and legality. They argue that the right to associate is enshrined in Section 40 of the Nigerian Constitution and reinforced by Section 254C(2), which incorporates ratified International Labour Organisation (ILO) conventions into national law. Nigeria ratified ILO Convention No. 87 on Freedom of Association as early as October 17, 1960.
Beyond immediate labour concerns, NUPENG alleges that Dangote’s actions are part of a broader strategy to monopolize not only refining but also the distribution of petroleum products across Nigeria. The union claims that by controlling a fleet of 10,000 CNG trucks and suppressing competition, Dangote Refinery could ultimately manipulate fuel prices, harming both consumers and the broader economy . This move, initially presented as a philanthropic gesture to modernize transport with CNG technology, is now accused of being a calculated effort to “enslave the sector” and “crush competition”.
The current crisis follows months of tensions. NUPENG recounts several meetings initiated jointly with the Nigerian Association of Road Transport Owners (NARTO) to persuade Dangote to rescind his anti-union stance. These appeals, however, appear to have fallen on deaf ears . The union highlights its past solidarity with Dangote Refinery during its construction and commissioning, expressing betrayal that the project, once seen as a beacon of job creation and local capacity strengthening, is now being used to undermine workers’ rights.
If the strike proceeds as planned, the consequences for Nigeria could be severe. Tanker drivers withdrawing their services would disrupt the loading and distribution of petroleum products from depots nationwide . This could lead to widespread fuel shortages, reminiscent of past crises that caused long queues at petrol stations, inflated transportation costs, and heightened economic instability . The timing is particularly sensitive as Nigeria continues to grapple with high inflation and economic challenges.
NUPENG has urgently called on regulatory bodies, particularly the Nigerian Midstream & Downstream Petroleum Authority (NMDPRA), to invoke its powers under Sections 32(u) and (aa) of the Petroleum Industry Act (PIA). These provisions empower the authority to prevent abuse of dominant positions and restrictive business practices . The union is also appealing to the federal government, international labour organizations, and the public to pressure Dangote and Dantata to obey Nigerian laws.
This standoff is more than a labour dispute; it is a critical test of Nigeria’s commitment to upholding its laws and protecting workers’ rights against powerful corporate interests. The outcome will likely have far-reaching implications for labour relations, corporate governance, and economic equity in Nigeria. As the September 8 deadline looms, the nation watches to see whether dialogue and legality will prevail or if economic sabotage and worker disenfranchisement will trigger a new cycle of scarcity and suffering.
