The House of Representatives has commenced moves to safeguard the Dangote Refinery and other key national investments amid the recent industrial action by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). The lawmakers’ intervention followed growing concerns that the nationwide strike, which disrupted petroleum production and distribution, could jeopardize critical private and public energy assets, including Africa’s largest refinery located in Lagos.
During plenary, the House deliberated on a motion seeking the urgent protection of strategic national assets and investments in the oil and gas sector. The lawmakers emphasized the importance of ensuring that private ventures like the Dangote Refinery are shielded from the effects of labour unrest, given their role in the country’s industrial and economic transformation. The House noted that the refinery, which began partial operations earlier this year, is central to Nigeria’s drive to achieve energy self-sufficiency and reduce dependence on imported petroleum products.
The motion, sponsored by key members of the House Committee on Petroleum Resources, highlighted the need for government mediation between PENGASSAN and the management of affected agencies to avoid further escalation. Lawmakers warned that the strike could deter investors, undermine ongoing reforms in the energy sector, and slow the pace of economic recovery. They also expressed concern that continued disruptions in crude oil supply could affect the refinery’s output capacity and delay its full-scale operations.
The current industrial action stems from grievances by PENGASSAN over working conditions, wage disparities, and what the union described as government neglect of critical welfare issues in the oil and gas sector. The strike, which began earlier this month, led to the shutdown of operations at several government and private oil facilities, including those under the Nigerian National Petroleum Company Limited (NNPCL). The disruption caused apprehension across the sector, with fears that the refinery and other major investments could be drawn into the dispute if urgent steps were not taken.
This is not the first time Nigeria’s energy industry has faced labour-related disruptions. Over the years, recurring disputes between the government and oil sector unions have periodically crippled operations, leading to fuel scarcity, production losses, and investor uncertainty. The current strike, however, comes at a particularly sensitive time, as the country is still navigating the impact of the Petroleum Industry Act (PIA) and the removal of fuel subsidies — reforms intended to stabilize the sector and attract private capital.
The Dangote Refinery, inaugurated in 2023, represents one of Nigeria’s most ambitious private sector investments in history. Built at a cost of about $19 billion, the facility has a refining capacity of 650,000 barrels per day, positioning it as the largest single-train refinery in the world. It was expected to transform Nigeria from a major importer of refined petroleum into a self-sufficient producer capable of exporting fuel to neighbouring African nations. However, the ongoing labour unrest has renewed fears that systemic challenges in the energy sector could hinder its full operational capacity.
Lawmakers have stressed that protecting strategic investments like the refinery is not only a matter of economic importance but also of national security. The House called for immediate engagement between the Ministry of Labour, PENGASSAN, and major industry stakeholders to resolve all pending issues. It also urged the federal government to consider legislative frameworks that would classify key energy infrastructure as critical national assets, ensuring they are exempted from disruptions during labour actions.
Some members of the House recalled that similar situations in the past had resulted in significant financial losses. In 2012, for instance, prolonged strikes by oil workers during the subsidy protest led to widespread fuel shortages and economic stagnation. The lawmakers warned that a repeat of such conditions could have devastating effects, especially given the fragile state of the global oil market and Nigeria’s ongoing efforts to restore investor confidence.
The move to safeguard the Dangote Refinery reflects the growing recognition of private investment as a driver of national development. The refinery’s strategic importance extends beyond energy production; it also supports thousands of direct and indirect jobs, strengthens the value of the naira through reduced import dependency, and contributes significantly to Nigeria’s balance of payments. Any disruption to its operations could have ripple effects across the national economy.
Samuel Aina