Speaker Abbas has been mandated by the House to lead intervention to resolve the industrial dispute between Dangote and PENGASSAN
The House of Representatives, led by Speaker Tajudeen Abbas, has resolved to intervene in the ongoing industrial dispute between the Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
The resolution followed the adoption of a motion of urgent national importance sponsored by Rep. Alhassan Ado Doguwa (APC, Kano) and co-sponsored by Rep. Abdussamad Dasuki (APC, Sokoto), titled “The need to Protect Strategic Private Investments from Adversarial Unionism.”
Moving the motion during plenary on Tuesday, Rep. Doguwa expressed concern that the recent industrial action by PENGASSAN had disrupted crude oil production and inflicted economic hardship across the country.
“The strike led to a disruption in Nigeria’s crude oil production with a reported daily loss of about 200,000 barrels over a three-day period,” Rep. Doguwa stated. “This not only affected the economy but also worsened the fuel supply situation nationwide, leading to scarcity and long queues at filling stations in several states.”
He described the Dangote Refinery as a strategic private investment of immense national importance, with the potential to ensure energy security, reduce import dependency, generate employment, and conserve Nigeria’s foreign exchange reserves.
“We must understand that the Dangote Refinery operates within a free trade zone under the regulatory framework of the Nigeria Export Processing Zones Authority (NEPZA),” Rep. Doguwa explained. “Section 18(5) of the NEPZA Act clearly states that employment in the free zone shall be governed by the rules and regulations made by the Authority and shall not be subject to the provisions of any enactment relating to employment matters.”
He warned that labour actions that disregard these legal provisions not only breach the law but also send the wrong signal to potential investors.
“If strategic private investments continue to suffer unlawful disruptions from adversarial unionism,” he cautioned, “Nigeria risks the failure of key economic assets and the erosion of investor confidence necessary for growth and development.”
Contributing to the debate, Rep. Dasuki, a co-sponsor of the motion, stressed that the House must protect Nigeria’s emerging private sector and local manufacturing from undue disruptions.
“Honourable colleagues, as you all know, since Nigeria discovered crude oil, we have never had a private sector-driven refinery,” Rep. Dasuki said. “For the first time in our history, we have a Nigerian investor who has built not just any refinery, but one of the biggest in the world. The Dangote Refinery is the largest single private investment in Africa, and no other company in the private sector has created such employment or added such value to our economy.”
He further emphasized the legal protection granted to operators within free trade zones, citing the Nigeria Export Processing Zones Authority (NEPZA) Act.
“Mr. Speaker, section 18, subsection 5 of the NEPZA Act is very clear — there shall be no strikes or lockouts for a period of ten years following the commencement of operations within a zone, and any trade dispute arising shall be resolved only by the Authority,” Rep. Dasuki explained. “This refinery came on stream barely two and a half years ago, yet we have unions locking it down in clear violation of the law.”
He lamented that government authorities appeared to have conceded to union demands in a manner inconsistent with the law, warning that such actions undermine investor confidence.
“Nigeria needs to be seen implementing its own laws,” he added. “Any investor coming into this country will look at whether we respect our legal frameworks. If we don’t, it will discourage investment. That is why we are calling on Parliament to intervene and ensure the law is enforced.”
Following deliberations, the House resolved to urge the Federal Ministries of Labour and Employment; Industry, Trade and Investment; and Justice to jointly develop and implement a national framework to safeguard private investments of strategic national importance from hostile union activities.
The lawmakers also directed the Federal Ministry of Justice and the Nigeria Export Processing Zones Authority (NEPZA) to ensure full enforcement and compliance with Section 18(5) of the NEPZA Act in all relevant free zone operations.
Additionally, the Committees on Labour, Industry, and Legislative Compliance were mandated to monitor the implementation of the resolution and report back within four weeks for further legislative action.
During the debate, Rep. Cyril Hart (PDP, Rivers), raised a concern that the matter might already be before the court.
“From information available to me during the Downstream Week, I understand this matter is already in court,” Rep. Hart said.
However, Rep. Doguwa swiftly objected, maintaining that the issue was not sub judice.
“With due respect to my colleague, this matter is not before any court,” he countered. “We must act in the national interest.”
Ruling on the motion, the Deputy Speaker, who presided over the session, held that the House would proceed with the debate pending any formal notice of litigation.
“Pending formal notice of any court action, this motion will be treated as not being sub judice,” the Deputy Speaker ruled.
About Dangote and PENGASSAN feud
The feud between Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) started in late September 2025, triggered by the refinery’s termination of over 800 PENGASSAN members, which the union described as unlawful.
This led PENGASSAN to direct its members to halt the supply of crude oil and gas to the Dangote Refinery, effectively causing an industrial action that began on September 28, 2025.
The Federal Government intervened quickly to broker peace, organizing intensive conciliation meetings on September 29 and 30, 2025. The mediation involved high-ranking officials including the Ministers of Labour, Finance, Budget and Economic Planning, national security chiefs, and regulatory bodies.
The government assured that no petroleum supply disruption would occur nationwide amid the dispute. It was agreed that the Dangote Group would start redeploying the disengaged workers to other Dangote companies without loss of pay, and no worker would be victimized for their role in the dispute. PENGASSAN agreed to call off their strike following the resolution.
The Federal Government’s intervention emphasized the importance of respecting union rights and maintaining energy security and market stability. The government reaffirmed the continuation of the crude oil-for-naira initiative and committed to resolving outstanding issues urgently and in good faith to prevent further industrial disruptions in the downstream oil sector.
