Dangote Dismisses NUPENG Allegations, Recommits to Labour Rights

The management of Dangote Refinery has dismissed allegations by the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) that it violated a Memorandum of Understanding (MoU) signed earlier this month, insisting that it remains committed to upholding labour rights and fostering a stable working environment.

The refinery, which has been at the center of Nigeria’s push for energy self-sufficiency, came under scrutiny after NUPENG accused its representatives of instructing Petroleum Tanker Drivers (PTD)—who are union members—to remove stickers from their vehicles and of resisting efforts to enforce the provisions of the MoU. The union warned that its members had been placed on “red alert” for a possible resumption of strike action should the refinery continue to “undermine labour rights.”

In a swift response, Dangote Refinery described the allegations as “baseless and misleading,” noting that it respects the rights of all workers, including the freedom to join or not join trade unions. According to the company, the MoU signed on September 9 with NUPENG, government mediators, and other stakeholders is being implemented in good faith, and efforts are ongoing to ensure peaceful labour relations.

A spokesperson for the refinery stressed that the company would “never victimise any worker on account of union membership” and that all employees and partners, including truck drivers, are free to make individual decisions regarding union affiliation. The management further clarified that its use of compressed natural gas (CNG) trucks to expand fuel distribution is part of its clean energy and logistics modernization strategy, not a move to undermine the PTD branch of NUPENG.

“We remain committed to dialogue, transparency, and fair practices. At no point did we issue directives to strip union identifiers from vehicles, nor did we enlist security agencies to intimidate drivers. These claims are unfounded and risk undermining the goodwill and collaboration needed at this critical stage of the refinery’s operations,” the company said.

This reassurance comes amid growing concerns over possible disruptions in fuel supply should NUPENG resume industrial action. With Dangote Refinery’s role becoming increasingly vital to Nigeria’s downstream petroleum sector, stakeholders fear that prolonged labour disputes could delay fuel distribution, raise transportation costs, and cause ripple effects across the economy.

Industry observers note that the tension highlights a deeper issue in Nigeria’s labour landscape: balancing corporate autonomy with workers’ rights. While Dangote has been lauded for its investment in local refining, concerns have persisted over labour inclusivity, safety, and welfare in the oil and gas logistics chain. For many, the refinery’s strong stance on respecting voluntary unionism may need to be matched with clearer frameworks to ensure that workers are not indirectly discouraged from union participation.

Government authorities, particularly the Ministry of Labour and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), are closely monitoring the situation. They played a central role in brokering the MoU, which was seen as a breakthrough after weeks of tension between tanker drivers and refinery management. The agreement provided a two-week window, ending September 22, to conclude the unionisation process for willing drivers while guaranteeing protection from intimidation or victimisation.

As the deadline approaches, analysts warn that public confidence will depend on visible compliance by both sides. “What Nigerians want to see is a smooth supply of fuel and respect for workers’ rights. Any misstep from either party could trigger supply shocks and public backlash,” noted Dr. Chris Akintunde, an energy policy analyst.

Meanwhile, consumer advocacy groups have urged restraint and constructive engagement. They caution that strikes or distribution delays could worsen the already fragile economic conditions, with transport costs, food inflation, and electricity tariffs all under pressure. Some have appealed to the federal government to strengthen labour monitoring mechanisms in critical national assets like the refinery.

The dispute also coincides with Dangote’s plan to begin free or subsidised fuel distribution to cushion the effects of high pump prices on Nigerians. While this initiative has been welcomed by the public, the current standoff with NUPENG risks overshadowing the goodwill and creating doubts about the refinery’s labour relations model.

In a conciliatory tone, Dangote Refinery reiterated that it views its workforce and partners as “integral stakeholders in national development.” The management expressed optimism that “continued engagement with labour unions, regulators, and government” will resolve any misunderstandings and strengthen collaboration.

NUPENG, for its part, has said it will not hesitate to resume suspended industrial action if the refinery is found wanting. Union leaders insist that they are not against Dangote’s investments but are determined to prevent “labour repression” in the oil and gas sector.

The coming days will be decisive. If both sides recommit to the MoU and avoid inflammatory rhetoric, the refinery could cement its image as not only a game-changer in Nigeria’s fuel supply but also a model for constructive labour relations. However, should mistrust persist, the dispute could escalate into a broader confrontation with national consequences.

For now, all eyes remain on September 22—the MoU deadline—and the actions of both Dangote Refinery and NUPENG. Whether this date marks the beginning of renewed cooperation or a return to industrial unrest will determine not only the fate of the refinery’s operations but also Nigeria’s broader efforts at economic stability.