Nationwide Strike: Nigerians Brace for Fuel Scarcity, Blackouts as PENGASSAN Confronts Dangote Refinery

Nigerians are bracing for harsher days as the nationwide strike declared by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) begins today, raising fears of crippling fuel scarcity and nationwide blackouts. The industrial action, which halts crude oil and gas supply to the Dangote Refinery, threatens to send petrol prices soaring while plunging millions of homes and businesses into darkness.

The union’s directive to halt crude oil and gas supplies to the $20 billion Dangote Petroleum Refinery has sent shockwaves through the energy sector. Oil marketers have warned of severe disruptions in distribution, a move expected to choke the domestic market and push pump prices higher.

Compounding the crisis, power generation companies announced a complete shutdown of thermal plants, which supply over 70 per cent of Nigeria’s electricity. With only hydro stations left to sustain the grid, the development threatens nationwide blackouts, crippling businesses and plunging households into deeper strain unless the Federal Government intervenes.

PENGASSAN declared the strike after over 800 Nigerian workers were sacked at the refinery. The union accused the company of breaching labour laws and ILO conventions by replacing them with foreigners. In a resolution signed by its General Secretary, Lumumba Okugbawa, the union ordered members across international oil companies to halt crude and gas supply immediately.

“All processes involving gas and crude supply to Dangote Refinery should be halted” the resolution read. The union also alleged that military personnel had been deployed to prevent workers from enforcing the directive.

Speaking on Sunday, PENGASSAN President Festus Osifo confirmed that the refinery and fertiliser plant had already been shut down, warning there would be “no retreat” unless the sacked workers were reinstated.

Oil marketers under IPMAN warned the strike would destabilise fuel prices and trigger “unnecessary galloping inflation.” Its spokesperson, Chinedu Ukadike, urged the Minister of Petroleum to cut short his foreign trip and intervene. “The disruption will worsen power shortages and erode investment confidence” he warned.

The Association of Power Generation Companies also raised alarm, confirming that gas suppliers had ordered GenCos to halt operations. Executive Secretary Joy Ogaji warned: “Please be notified of imminent darkness, as hydros alone cannot sustain the system.”

Amid the unfolding crisis, stakeholders have urged dialogue. The Forum of Concerned Nigerian Consumers accused the union of politicising the energy sector, while the Nigerian Independent System Operator warned the disruption could cause a total grid collapse.

The Trade Union Congress, however, backed PENGASSAN, demanding reinstatement of the dismissed workers and threatening nationwide solidarity action.

Responding, Dangote Group accused the union of sabotage, insisting that the dismissals were due to safety and efficiency concerns, not union membership. “PENGASSAN’s action is reckless and dangerous. The Dangote Group remains the highest employer of labour and contributor to taxes in Nigeria” the company said.

With thermal stations down, the refinery shut, and the economy on edge, analysts warn prolonged industrial action could deepen inflation, fuel scarcity, and instability. All attention is now on today’s emergency meeting convened by the Minister of Labour, Muhammad Dingyadi. Whether dialogue prevails or Nigeria sinks deeper into crisis may depend on how far both sides are willing to compromise.