By Lukman Omikunle
Dangote Refinery dismisses NUPENG’s claims of anti-labour practices, monopoly, and planned fuel hikes, insisting its CNG truck initiative will create 60,000 jobs and strengthen Nigeria’s energy transition
Dangote Refinery Dismisses NUPENG Allegations, Says CNG Trucks Will Create 60,000 Jobs, Not Kill Them
Lagos, Nigeria – Dangote Petroleum Refinery has strongly dismissed allegations by the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), insisting that claims of anti-labour practices, monopolistic behaviour, and plans to hike fuel prices are “entirely unfounded.”
NUPENG, in a statement issued on September 5, alleged that the Dangote Group was undermining union activities and threatening workers’ welfare with the roll-out of compressed natural gas (CNG) powered bulk trucks.
But in a detailed response, Dangote Refinery reaffirmed its respect for constitutionally protected labour rights, clarifying that its employees are free to associate with any recognised trade union.
“Assertions that drivers are compelled to waive union rights are categorically false,” the company said, stressing that the matter relates to NUPENG’s Petrol Tanker Drivers (PTD) unit and does not implicate the refinery in any rights violations.
Job Creation, Not Job Loss
At the centre of the controversy is the deployment of over 4,000 CNG-powered trucks, which NUPENG claimed could threaten existing jobs. Dangote Group, however, described the initiative as central to Nigeria’s energy transition strategy.
“The deployment of CNG-powered trucks is a strategic initiative designed to support national energy transition goals, not to displace existing jobs,” the statement read.
According to the company, each truck will be operated by a six-person team, with drivers receiving salaries well above the national minimum wage, as well as medical cover, pensions, housing allowances, and access to long-term housing loans. By year’s end, Dangote plans to operate 10,000 such trucks, potentially creating over 60,000 direct jobs.
No Monopoly, No Price Hike
Responding to claims of monopolistic behaviour, the company emphasised its operations are fully regulated under the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
It pointed out that more than 30 refinery licences have been issued to other private investors, including BUA, Aradel, Walter Smith, and Edo Refinery.
“While we are a major industry player, our presence has revitalised the downstream sector, reopened dormant petrol stations and restored investor confidence,” Dangote Refinery stated.
The company also rejected claims of fuel price hikes, noting that its operations have instead stabilised the market. Diesel prices have reportedly dropped by more than 30% in the past year, while petrol in Nigeria is now cheaper than in Saudi Arabia and about 40% lower than in neighbouring West African countries.
Federal Government’s Role
Dangote further denied claims that it walked out on conciliation efforts with NUPENG, clarifying that no formal grievances were raised before the union went public.
“We acknowledge and appreciate the intervention of the Federal Government, particularly the Ministry of Labour and Employment, and remain fully supportive of ongoing efforts to achieve a lasting resolution,” the statement read, while praising the roles of Dr. Mohammed Dingyadi (Katuka Sokoto) and Mrs. Nkiruka Onyejeocha in mediating the dispute.
Driving Growth Across Sectors
Since commissioning just over a year ago, Dangote Refinery has turned Nigeria into a net exporter of refined fuels, supplying markets as far as the United States. Its production of polypropylene, LPG, and naphtha is spurring growth in manufacturing, aviation, and agro-processing.
The company also highlighted its impact on household energy, stating that local LPG supply has brought down cooking gas prices and reduced reliance on firewood and kerosene.
With over 570,000 direct and indirect jobs already created across road, power, and water projects, the refinery says it has become a hub for skills development and technology transfer.
Concluding its statement, Dangote dismissed the monopoly accusations as “recycled falsehoods” and urged other private players to invest boldly in Nigeria’s economic future.
“At Dangote, we have chosen to invest boldly in Nigeria’s future and we will continue to do so. It is time others follow suit.” Read More
