Nigerian govt meets Dangote over PENGASSAN concerns, assures steady petrol supply

The Nigerian government has assured a steady supply of refined petroleum products following a meeting between the Steering Committee of the Domestic Crude Oil and Refined Products Sales in Local Currency Initiative and Dangote Refinery.

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A statement by the Director, Information and Public Relations, Federal Ministry of Finance, Mohammed Manga, on Sunday said the meeting, chaired by Minister of Finance Wale Edun, aimed to address concerns raised by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) regarding the refinery.

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

“The meeting, chaired by the Honourable Minister of Finance and the Coordinating Minister of the Economy, Wale Edun, noted two recent issues: the purported suspension of the Naira-for-crude oil arrangement by the Dangote Refinery, which has since been amicably resolved, and the concerns raised by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) regarding the Dangote Refinery,” the statement said.

It said the meeting had in attendance the Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu, the Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, who also chairs the Technical Committee.

Others include the representatives of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Nigerian National Petroleum Company (NNPC) Ltd., the Central Bank of Nigeria (CBN), Afreximbank, and the Dangote Refinery.

Outcome of the meeting

The statement noted that the committee reaffirmed that there will be no disruption in the supply of refined petroleum products across the country, adding that all outstanding issues between PENGASSAN and Dangote Refinery are being addressed with urgency and in good faith.

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“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 the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and Dangote Refinery, are being addressed with urgency and in good faith,” it said.

The federal government said it remains fully committed to ensuring energy security, protecting consumers, and maintaining stability in the domestic petroleum products market.

ALSO READ: Dangote Refinery: FG begs PENGASSAN not to strike, TUC demands reinstatement of sacked workers

PREMIUM TIMES reports that PENGASSAN had earlier asked its members to disrupt activities at the refinery by blocking gas supply to it.

The association said its decision was in response to the decision by the refinery’s management to sack some workers who are members of the union. It also accused Dangote refinery of spreading misinformation to justify its actions.

In a swift response, Dangote refinery described the order as illegal and cautioned PENGASSAN to obey Nigerian laws in its operations, noting that PENGASSAN has no legal right to disrupt or interfere with the refinery’s contracts with third-party vendors for gas and crude oil supply.

The Dangote Refinery called on the federal government and its security agencies to intervene and call PENGASSAN to order, urging that PENGASSAN’s actions are not only lawless but can potentially inflict significant harm on the Nigerian economy and citizens.

On Saturday, the House of Representatives Committee on Petroleum Resources (Downstream) called on PENGASSAN to suspend its directive to cut off gas and crude oil supply to the Dangote refinery.