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Economy

FG Wades into Dangote, PENGASSAN Dispute as Union Begins Strike Action

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The federal government yesterday waded into the face-off between the Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), which, other things being equal, was expected to commence an industrial action in the early hours of this morning.

It assured that there will be no disruption in the supply of refined petroleum products across the country, as the Steering Committee of the Domestic Crude Oil and Refined Products Sales in Local Currency Initiative met to review developments in the downstream oil sector.
The assurance followed weekend’s directive issued by PENGASSAN to its affiliates to cut off crude oil and gas supplies to the Dangote refinery.

A meeting chaired by the Minister of Finance and the Coordinating Minister of the Economy, Mr. Wale Edun, underscored two recent developments, including the purported suspension of the Naira-for-Crude oil arrangement by the Dangote Refinery, and the concerns raised by PENGASSAN regarding the refinery.

A statement issued by the Director, Information and Public Relations, Ministry of Finance, Mohammed Manga, said aside from Edun, the Minister of Budget and Economic Planning, Atiku Bagudu; Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji; representatives of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA); Nigerian National Petroleum Company Limited (NNPC); Central Bank of Nigeria (CBN); Afreximbank, and Dangote Refinery were also present.

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It said: “The Steering Committee of the Domestic Crude Oil and Refined Products Sales in Local Currency Initiative met earlier today (Sunday) to review developments in the downstream oil sector.

“For the avoidance of doubt, the committee reassured that the crude oil for the Naira initiative will continue. It also assured that all outstanding issues, particularly the dispute between PENGASSAN and Dangote Refinery, are being addressed with urgency and in good faith.

“The federal government remains fully committed to ensuring energy security, protecting consumers, and maintaining stability in the domestic petroleum products market,” the statement said.
Earlier, PENGASSAN directed its members to halt gas supply to the Dangote Petroleum Refinery with immediate effect.

In a letter signed by the General Secretary, Lumumba Okugbawa, the union accused the refinery management of disengaging unionised workers and embarking on a “mission of misinformation and propaganda” instead of engaging meaningfully with the union.

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PENGASSAN instructed all its branch chairmen to ensure that gas supply to the refinery is cut off without delay. The directive also included shutting all crude oil supply valves to the refinery and halting all loading operations for vessels headed there.

The union described the action as a necessary response to protect the constitutional rights of workers to unionise.
PENGASSAN attributed its latest action to Dangote Refinery’s alleged unilateral action in sacking over 800 staff members for joining the Association.

Okugbawa stated that the National Executive Council (NEC) of PENGASSAN held an emergency meeting of all its branches on Saturday, October 27 and resolved that members should withdraw all services effective 00:01 on Monday, 29th of September, 2025.

“This includes all control room operations, panel operations, and outfield personnel. No intervention whatsoever will be entertained across field locations except where the safety of personnel and assets is at risk; such clearance must be obtained from the National Secretariat.

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“All IOC branches must ramp down gas production and supply to Dangote Refinery and petrochemicals. All processes that involve gas and crude supply to Dangote Refinery should be let off effectively immediately. No man is bigger than our country! An injury to one is an injury to all,” the union said.

The association urged its members to immediately embark on prayers, calling on God to intervene and give courage to those in authority to rein in Dangote and his co-travelers on the need to obey the laws of our country.
However, the Dangote refinery described the move as a brazen, albeit shocking display of lawlessness and criminality by PENGASSAN.

“Absolutely no law gives PENGASSAN the right to direct its branches to ‘cut off’ gas and crude oil supplies to Dangote Refinery or at all. There is also no law in our statute books that would support or enable the PENGASSAN branches having to cut off gas and crude oil supplies to Dangote Refinery or at all.

“Besides, it constitutes a criminal conduct for PENGASSAN or its members to disrupt and/or interfere howsoever in the contract between Dangote Refinery and its various vendors for the supply of gas and crude oil to the Refinery.
“ Those supply contracts were not entered into with PENGASSAN; they were entered into by Dangote Refinery with third party vendors and suppliers and PENGASSAN has no right whatsoever to disrupt and/or interfere with the performance of those contracts.

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“Perhaps, PENGASSAN needs to be reminded that Nigeria is a country governed by laws. Our laws do not brook self-help and mob action that could introduce mayhem and chaos and easily translate into anarchy,” a statement by the refinery said.

But amid its cold war with management of Dangote Refinery, the leadership of Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has raised alarm over what it described as desperation by a certain group to break its rank through the promotion of a phony forum called Elders of the Petroleum Tanker Drivers (PTD) branch of NUPENG.

Williams Akporeha and Afolabi Olawale, National President and General Secretary, respectively of the Union raised the alarm in a press statement on Sunday night.

The leadership of NUPENG which maintained that such a Forum was unknown to its constitution noted that certain forces it described as “unconscionable Capitalists with filthy wealth,” were behind the faceless groups to deceive, manipulate, mislead and create confusion within the oil and gas sector and the wider public.

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The statement warned members of the public and the media to be wary of the so-called PTD Elders which it insisted was fraudulent, illegitimate, and acting with criminal intent.

The leadership of NUPENG further declared that the only National Chairman of the PTD- NUPENG accorded recognition by its Constitution is the one under the leadership of Augustine Egbon.

“The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) issues this stern warning to all stakeholders, security agencies, the media, and the general public regarding the criminal and fraudulent activities of some faceless groups and individuals who are impersonating a s leaders and elders of the Petroleum Tanker Drivers (PTD) branch of NUPENG.

“It has come to our attention that these unscrupulous elements are operating under the non-existent and illegitimate banner of “PTD Elders” or “PTD Leaders” to deceive, manipulate, mislead and create confusion within the oil and gas sector and the wider public.

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“We wish to state clearly here, that these individuals are paid agents of unconscionable Capitalists with filthy wealth accumulated over the labour and sweat of workers who have been denied the right of freedom of association/unionism.

“The paid agents have engaged in failed attempts to blackmail, misinform and manipulate the public for the sake of destabilising NUPENG and the Petroleum Tanker Drivers Branch of NUPENG.

“For the records, the struggle to control, manipulate and totally destroy the soul of NUPENG and the Petroleum Tanker Drivers Branch of the Union by unconscionable capitalists and their hired agents started long before now, but they have always been failing in their evil machinations and missions due t o the alertness and vigilance o f committed and indefatigable members and leaders of our great Union and the PTD Branch of NUPENG,” the statement said.

In the same vein, the Nigerian Independent System Operator (NISO) has observed with concern the ongoing dispute between PENGASSAN and Dangote Refinery, which has resulted in directives to suspend the supply of crude oil and natural gas to the facility.

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“NISO wishes to draw attention to the potential implications of this action on the nation’s power sector. The national grid relies heavily on gas-fired generation, and any sustained disruption in gas supply would constrain generation capacity, affect system operations and undermine the stability and reliability of electricity supply across the country.

“While NISO is considering measures to mitigate total grid collapse, we urge all parties involved to embrace dialogue and lawful mechanisms of dispute resolution in the overall interest of the economy and the wellbeing of Nigerians at large.

“We reaffirm our commitment to ensuring a secure and reliable operation of the national grid and will continue to support wider efforts aimed at safeguarding energy security” the NISO statement added.

In a related development, the Concerned Nigerian Consumers Forum has called on the federal government and the Department of State Services (DSS) to investigate what it described as desperate attempts by PENGASSAN to undermine the Dangote Refinery, a critical national asset aimed at achieving Nigeria’s energy independence.

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In a statement signed by Olabisi Taiwo, President, and Justice Akani Alikor, Secretary, the Forum expressed alarm over PENGASSAN’s threats to picket the $20 billion refinery over alleged mass sackings.

The Forum accused the union of risking Nigeria’s return to fuel scarcity, economic instability, and national embarrassment, urging Nigerians to question PENGASSAN’s motives.

“PENGASSAN, alongside NUPENG, played a significant role in the collapse of Nigeria’s public refineries in Port Harcourt, Warri, and Kaduna,” the Forum stated.
“They resisted reforms, blocked privatisation, and crippled fuel supply with strikes. Their actions contributed to the rot that turned these refineries into relics of corruption and mismanagement.”

The Dangote Refinery, the world’s largest single-train refinery with a capacity of 650,000 barrels per day, is a private initiative designed to end Nigeria’s reliance on imported fuel, stabilize prices, and create jobs.
The Forum emphasised that the refinery, which employs over 3,000 Nigerians and continues to recruit, is not anti-labour but focused on operational efficiency and safety.
The company’s recent reorganization, according to Dangote, was prompted by acts of sabotage that threatened operations.

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The Trade Union Congress of Nigeria (TUC) has also condemned what it described as recent anti-worker actions of the management of Dangote Petroleum Refinery.
The apex labour centre said it was in full solidarity with PENGASSAN; and has placed all its affiliates on red alert and stand-by for further directives. The union demanded immediate and unconditional reinstatement of all affected workers.

In a statement signed by the Secretary General of TUC, Nuhu Toro, the union condemned the alleged unjust termination of workers for exercising their constitutional right to freedom of association and unionization.
TUC said: “We stand in full solidarity with the affected workers and with their union, our affiliate PENGASSAN, whose members have been victimised merely for declaring membership.

“Such actions amount to a direct assault on Section 40 of the Nigerian Constitution and on Nigeria’s obligations under International Labour Organisation (ILO) conventions. Our demands are immediate and unconditional reinstatement of all affected workers.

“Public apology from Dangote management with firm assurances against future victimisation.An independent investigation involving the Ministry of Labour (ILO) and stakeholders into the refinery’s labour practices.
“Congress hereby places all affiliates on stand-by for a national industrial action if Dangote management fails to comply with these demands within a reasonable time. No corporation, regardless of size or wealth, will be allowed to trample on the dignity and rights of Nigerian workers.

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“The TUC stands united and ready to act decisively in defense of our members and the Nigerian workforce,” it said.

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Again, NNPCL Increases Fuel Price For Second Time In Two Days

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The Nigerian National Petroleum Company Limited, NNPCL, has increased the pump price of Premium Motor Spirit, PMS at its retail outlets for the second time in less than two days.

A market survey by DAILY POST showed that NNPCL raised its petrol price to N1,335 per litre on Wednesday from N1,270 per litre on Tuesday.

This means that the state-owned filling station increased its fuel price by N65 per litre.

The new price has been implemented at NNPCL filling stations in Wuse Zone 6 (Berger), Zone 4, and other outlets in Abuja and its environs.

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Recall that on Tuesday, NNPCL increased its petrol pump price by N115 per litre to N1,270 per litre.

The latest increase comes amid continued petrol price volatility in the country’s downstream oil sector following Dangote Refinery’s resumption of the sale of refined petroleum products in U.S. dollars.

DAILY POST reports that crude oil prices rose by nearly 4 percent on Wednesday as airstrikes intensified in the Middle East.

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Old telecom rules can’t handle AI, digital era, says NCC

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The Nigerian Communications Commission has said Africa’s telecommunications regulators must overhaul traditional regulatory approaches to keep pace with rapid technological changes, warning that existing frameworks were no longer adequate for an industry increasingly driven by artificial intelligence, satellite services, cloud computing and digital public infrastructure.

The Executive Commissioner for Stakeholder Management at the NCC, Rimini Makama, stated this on Tuesday in Abuja during the Head of Regulators Roundtable held on the sidelines of the ongoing 7th Ordinary Session of the Conference Preparatory Committee of the African Telecommunications Union.

Makama said the telecommunications landscape had become significantly more complex, requiring regulators to rely on data and market intelligence rather than conventional regulatory methods.

“Our discussion today turns on one question that matters to every regulator in this room. How do we use data and evidence to make decisions that are smarter, more transparent, and more focused on our consumer? Our markets are no longer simple,” she said.

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She added, “Broadband is expanding, satellite services are arriving, AI, cloud computing, and digital public infrastructure are reshaping our sector. The old regulatory approaches were built for a simpler time. They are no longer enough.”

According to her, regulators across Africa now possess unprecedented volumes of technical, market and consumer data, but the real challenge lies in converting that information into better regulatory decisions.

“To stay ahead of the problem and not just react to it, we need trusted intelligence,” Makama said.

She explained that because African digital markets were becoming increasingly interconnected, regulators faced similar responsibilities in protecting consumers, promoting competition, attracting investment and strengthening network resilience.

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“The challenge is not collecting it. The challenge is turning it into better decisions,” she said.

Makama said the NCC had developed a regulatory intelligence ecosystem that integrates multiple data sources, including quality of service and quality of experience indicators, consumer complaints, compliance analytics and market intelligence to support evidence-based policymaking.

“It brings several data sources into one place, so that our decisions rest on evidence, quality of service, and quality of experience data, consumer complaints, compliance analytics, and market intelligence. We will walk you through some of the recent cases where this intelligence led to real and measurable outcomes,” she said.

She urged regulators across the continent to deepen collaboration by sharing practical experiences and developing trusted approaches to data verification, advanced analytics and consumer-focused regulation.

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Makama also challenged participants to examine how regulators could ensure the independence and accuracy of regulatory data, remove barriers to information sharing and measure consumer experience beyond conventional quality-of-service metrics.

Earlier, the Executive Vice-Chairman of the NCC, Dr Aminu Maida, said African regulators were increasingly confronted with common challenges despite operating under different legal and institutional frameworks.

According to him, discussions among regulators now routinely revolve around investment, infrastructure resilience, satellite communications, cybersecurity, affordability, artificial intelligence and emerging technologies.

“We may regulate markets of different sizes, operate under different legal frameworks, and respond to different national priorities. But the realities of our work are often remarkably similar,” Maida said.

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He added, “Someone asks, how are things back home? Five minutes later, we are discussing investment, infrastructure resilience, satellite services, cyber security, affordability, artificial intelligence, or the latest technology that has arrived just in time to test the regulatory framework we thought had finally settled.”

Maida said such shared experiences underscored the need for stronger collaboration among African regulators to avoid addressing similar problems independently.

“The challenge that one regulator is trying to solve has already been encountered in one form or another by a colleague elsewhere on the continent. So, the question really is how we make that exchange of experience more deliberate, more systematic, and more useful to our institutions,” he said.

He described the roundtable as an opportunity to strengthen evidence-based regulation by encouraging the use of data, market intelligence and practical experience in policymaking.

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Also speaking, the Executive Commissioner, Technical Services, Sunday Oshadami, said the NCC had prioritised transparency by ensuring operators clearly understood regulatory obligations and by making key performance information available to subscribers.

He said the commission had also invested in satellite monitoring capabilities to strengthen oversight of satellite communications and improve regulatory compliance.

According to Oshadami, the commission had established facilities to monitor developments in satellite communications and continued to invest in standard monitoring solutions to support effective regulation as new technologies gain prominence.

The PUNCH earlier reported that stakeholders in Nigeria’s telecommunications sector on recently backed the Nigerian Communications Commission’s draft business rules for Mobile Virtual Network Operators, while urging the regulator to strengthen enforcement to resolve persistent operational and commercial disputes between MVNOs and Mobile Network Operators.

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Nigeria’s external reserves rise to $52.52bn – Cardoso

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Governor of the Central Bank of Nigeria, Yemi Cardoso, says Nigeria’s foreign exchange reserves has presently risen to 52.52 billion dollars.

Cardoso said this on Tuesday in Abuja, while presenting a communique issued at the end of the 306th meeting of the apex bank’s Monetary Policy Committee (MPC).

The News Agency of Nigeria (NAN) reports that he had earlier announced the decision of the MPC to retain the Monetary Policy Rate (MPR) at 26.5 per cent.

The committee also retained the Standing Facilities Corridor around the MPR at +50/-450 basis points.

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Cash Reserve Requirement (CRR) for Deposit Money Banks was retained at 45.00 per cent, Merchant Banks at 16.00 per cent, and non-TSA public sector deposits at 75.00 per cent

According to Cardoso, gross external reserves rose to 52.52 billion dollars as of July 17, from 50.47 billion dollars
as at end-May.

He said that the rise was mainly as a result of receipts from crude oil-related taxes and third-party inflows.

“This is sufficient to finance approximately 11 months of imports of goods and services, surpassing the international benchmark of three months cover,” he said.

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The CBN governor said that headline inflation (year-on-year) eased marginally to 15.91 per cent in June, from
15.93 per cent in May, ending the three consecutive months of uptick in price levels.

He said that the decline resulted from a decrease in the non-food component which offset the increase
in food inflation.

“Food inflation rose to 17.52 per cent in June, from 16.96 per cent in May, reflecting supply constraints.

“However, core inflation moderated to 15.92 per cent in June, from 16.82 per cent in May, largely on the back of exchange rate stability.

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“Similarly, the 12-month average inflation rate sustained its decline to 17.63 per cent in June, from 18.36 per cent in May,’ ‘ he said.

He said that it marked the sixth month of consecutive moderation and reflected a slower pace of price increases over the medium term.’

According to him, on a month-on-month basis, headline inflation declined to 1.66 per cent in June from 1.75 per cent in May, driven by a slowdown in core inflation.

He said that real Gross Domestic Product (GDP) expanded by 3.89 per cent in the first quarter of 2026, compared with 4.07 per cent in the preceding period.

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“This is largely driven by the resilience of the non-oil sector, which grew by 3.94 per cent, supported by improvements in telecommunications, financial services, trade, transportation, and other services sub-sectors.

“Oil sector GDP growth rate declined to 2.57 per cent in the first quarter of 2026 from 6.79 per cent in the fourth quarter
of 2025, due to the maintenance of oil facilities and installations.

“However, recent data showed improvement in economic activities as composite Purchasing Managers Index (PMI) rose to 50.1 index points in June from 49.6 index points in May,” Cardoso said.

He said that output growth was projected to remain resilient into 2026, anchored on the recent improvement in crude oil production, expansionary PMI and the positive impact of timely policy reforms.

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“Inflation is projected to moderate further in the medium term on the back of continued stability in the foreign exchange market.

“This will also be due to lagged effect of previous monetary policy tightening and improved food supply conditions as the harvest season approaches,” he said.

He, however, said that the key risk to the outlook remained the severe and prolonged escalation of the
Middle East conflict.

“In the light of these considerations, the MPC reaffirmed its commitment to preserve price and financial system stability.

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“The committee remains prepared to take appropriate policy measures guided by evolving macroeconomic conditions,” he said.

NAN

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