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The national power supply grid has collapsed repeatedly

The national power supply grid.

How PENGASSAN, Dangote dispute threatens national grid stability – NISO

The NISO said the dispute could constrain generation capacity, affect system operations, and undermine the stability and reliability of electricity supply across the country.

byMary Izuaka
September 29, 2025
Reading Time: 2 mins read
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The Nigerian Independent System Operator (NISO) has raised concerns about the potential impact of the dispute between the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and Dangote Refinery on the nation’s power sector.

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The dispute has led to directives to suspend the supply of crude oil and natural gas to the refinery.

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NISO in a statement signed by its management on Sunday said the national grid relies heavily on gas-fired generation, and any sustained disruption in gas supply could constrain generation capacity, affect system operations, and undermine the stability and reliability of electricity supply across the country.

NISO said it is considering measures to mitigate total grid collapse.

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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.

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“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 statement said.

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.

The union also directed its members nationwide to withdraw their services in protest against the alleged sack of Nigerian workers at the refinerynery from midnight on 28 September. It accused the management of the refinery of anti-labour practices and discrimination against local employees, prompting the federal government’s intervention.

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 also have the potential to inflict significant harm on the Nigerian economy and citizens.

READ ALSO: INVESTIGATION: Ganduje embroiled in multi-billion naira Kano dry port ownership scandal

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.

NISO is in charge of electricity system operations, managing load allocation from generation companies to distribution companies and eligible customers.

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