Reactions have continued to trail the ongoing crisis between Dangote Refinery and the National Union of Petroleum and Gas Workers (NUPENG) with some Nigerians describing the union’s action as capable of scaring away potential investors.
NUPENG had, last week, gone on strike to press home its demand for workers in the Dangote Refinery to be unionised, alleging that the company was engaging in anti-union activities.
However, the federal government, through the Department of State Security Services (DSS), intervened and brokered peace Tuesday with both parties signing a Memorandum of Understanding.
However, after the MoU was signed September 9, 2025, which allowed unionisation processes to run until September 22, NUPENG blocked the gate of the Refinery Thursday and Friday.
They alleged violation of the MoU by the company, including instructions to remove union stickers from trucks and attempts to force entry with non-compliant vehicles.
This involved NUPENG deploying trucks to barricade the refinery’s entrance in Lekki, Lagos, preventing non-union vehicles from loading fuel and halting operations amid threats of towing by refinery management.
…What analysts say
Condemning the act, a public affairs analyst, Mojeed Dahiru, said NUPENG’s action was capable of scaring away investors.
In an interview on NigeriaInfo, monitored by Blueprint, Dahiru urged the government to call the union to order, saying their action was portraying the country in bad light, especially with investors paying a close look as the situation unfolds.
He said: “Let me tell NUPENG one thing today, without investors like Dangote, there won’t be NUPENG in the first instance because you require this level of investments to employ in the first place across the value chain before they can even unionise. Nigerians should speak; it’s in their interest. And while somebody has decided to invest hugely in a sector that the government has not been able to pull off and they are now bringing unionism to distract Dangote.
“I think it is unfortunate. I think NUPENG should be called to order and if they insist on this irresponsibility, NUPENG should be proscribed because this will scare away foreign investors into the sector, meaning they will start contending with unions after bringing their money. I mean, is anybody thinking at all? You cannot force workers to join your union.”
Also, a financial expert, Kalu Aja, writing on his verified X handle Saturday, stated that NUPENG’s action was equal to holding the country to ransom.
According to him, the union was threatening to embark on strike because Dangote Group declined to join it, insisting that NUPENG’s action was proof that it has the tendency to put Nigerians under pressure.
“Think about this: A union NUPENG is on strike because a private company Dangote has refused to join their private union.
“When I say NUPENG holds Nigerians to ransom, this is my evidence,” he stated
“You are importing fuel but attempting to fight a man who has a local refinery,” he added.
On his part, an X user, who simply identified himself as Eric, said: “The illicit gains from the systemic breakdowns in the oil sector had made these operators want to thwart any progress that seeks to favour the product end users, signifying that the bottlenecks were just man-made and of exploitative intents.”
Similarly, an economist, Adefolarin Olamilekan, noted that the way the union was going about their case smacks of economic desperation.
According to the economist, the situation is a drawback to President Bola Tinubu’s effort to get investors into the sector.
He said: “This is dicey and calls for decorum amongst the operators as this is more of economic desperation.
“Unfortunately, this is not good to foreign investors we want to attract to that sector, going by the recent presidential executive order to stimulate growth and expansion that sector as well as encourage local refineries of crude in Nigeria.
“Again, the union are going beyond their boundary and exposing their retrogressive inherent character that majorly put them out as anti-business.
“While it is there right to fight for workers this they must within the voluntary acceptance of workers willing to be part of them. Yet still they the trade union must stop being unpatriotic because of their immediate gains, over what is national patriotism which they lack at this point in time.”
“For me, it’s time for a well-meaning Nigerian stand with Dangote Refinery. We have one global heavy investment from the Dangote group that must not be toiled with in the name of unionization or trade union overzealousness.
“The investment of the Dangote group in oil and gas is too sensitive for a group of people to molest.
“It does not make economic sense, neither is it logical to comprehend at this age that AI is shaping work place environment that, the like of NUPENG, DAPPMAN amongst others are not even think off, but are out to sabotage Dangote Refinery,” he further said.
…NUPENG’s fear
However, Terwase Lawrence, a researcher, sees the situation differently.
He told this newspaper that there is fear among the unions that Dangote Refinery’s move would squeeze them out of the market.
He stressed that it is more of every person trying to protect their turf.
In a joint press conference last week, the oil suppliers under the aegis of Natural Oil and Gas Suppliers Association of Nigeria (NOGASA) and Petroleum Products Retail Outlets owners Association of Nigeria (PETROAN), had said the implementation of the plan to roll out 4,000 CNG trucks by Dangote would throw some of their members out of jobs.
Speaking on this, Terwase said: “I don’t think the face-off between Dangote Refinery and NUPENG is as simple as “some people don’t want the sector to progress.
“The refinery is a game changer for Nigeria. Its sheer size can cut down imports, keep supply steady and drive costs lower. But NUPENG is understandably worried about workers’ rights, unionisation and the chance that Dangote’s bold moves could squeeze existing players. It’s really a case of two elephants testing their strength and when elephants fight, it’s the grass that suffers. So yes, there’s pushback, but it’s not just people throwing sand in the gears. It’s more about different interests trying to protect their turf.”
While noting that Dangote can run his business the way he wants, Terwase, however noted that he must do it, this should be done on a fair and competitive ground.
“Still, I understand why DAPPMAN is uneasy. A player that big can stir the market like a storm in a teacup and smaller marketers fear being caught napping or priced out. After all, the proverb says, when the big fish enters the pond, the small fish must swim with care. Their concerns about fair competition aren’t misplaced.
“Looking at the bigger picture, I believe the government should support the refinery because it’s already helping to ease forex pressure and cut down on fuel imports. But support shouldn’t mean handing over the keys to the kingdom. Regulators need to keep their eyes open. Trust is good, but control is better. To guard against unfair pricing, labour issues or any practice that strangles healthy competition. The goal is to let the refinery blossom while making sure the market stays open and fair for everyone,” the researcher further explained.
SOURCE: Blueprint.ng