Energy expert and petroleum economist Kelvin Emmanuel strongly defended the Dangote Group against recent allegations by the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG). The union has accused the company of coercing over 20,000 drivers to abandon their union and join a new, Dangote-aligned group.
When asked if this act undermines the principle of voluntary unionism, Emmanuel in an interview with ARISE NEWS on Monday, remarked bluntly, “That’s their fight.”
He continued by contextualizing the issue within Nigeria’s refining landscape, “I remember the last time we had a strike in the downstream oil and gas sector in Nigeria, it was before Dangote refinery started,” he said.
He noted that unlike past crises, which involved government intervention between NNPC and unions like NUPENG and PENGASSAN, the current friction stems from a private refinery’s success. “It’s always in the past been between NNPC and these unions, because NNPC failed over many years to get any of the government-owned refineries working.
Highlighting the inconsistency of labour unions, Emmanuel pointed out, These same unions TUC, PENGASSAN, NLC went to Port Harcourt and said NNPC refineries are working. Petrol and the Association said that it picked products and then later backtracked and said, oh, we didn’t pick petrol.”
Emmanuel criticised major unions for shifting narratives and failing to align with the people’s real interests. Nigerians over the last 12 months of Dangote producing PMS have never had to experience any disruption,” he asserted.
He emphasised that prior to the refinery’s operations, Nigerians faced chronic fuel shortages, chaotic queues, and security concerns. “What we’ve had in the past, was endless queues. People stay on the queue for two or three days. They get mugged. They miss appointments. They lose business because of the hanky-panky and all the gimmicks that have been going on.”
On the legal front, Emmanuel referenced international and domestic labour laws to counter claims that Dangote Group is violating union rights. “The ILO Convention, sections 87 and 98 talk about collective bargaining rights.
But when you look at Section 43.1(b) of the Trade Union Act, it says that a federal trade union cannot coerce workers who are not members of its union to go on a strike.”
Emmanuel suggested that the emergence of Aditop the Association of Distributors and Transporters of Petroleum Products is a natural evolution in the sector, “What I see clearly here is that the oil and gas sector downstream has moved. A new group has emerged to show the right way unionism should be done.”
“They’re offering better welfare for members housing, health, and all of that.”
He questioned the value NUPENG has provided its members historically, “NUPENG basically is violating the Trade Union Act that establishes it, You cannot compel members that are not part of your union to join your union.”
“If [NUPENG] says that Dangote has drivers who are complaining about bad welfare, they can provide evidence that his workers are not being paid.”
Emmanuel went further, outlining the major infrastructure moves by Dangote, “Dangote has purchased 4,000 CNG trucks, CNG saves you about 40 percent of what diesel costs. He’s planning to build truck terminals along the way.”
Citing environmental and economic benefits, he added, “Those trucks will reduce the cost of diesel. They will reduce the fumes that come from burning diesel, will ensure faster delivery times, less accidents, and guarantee supply reliability.”
He dismissed concerns over monopolisation citing better regulation and supply efficiency, “Have we had disruption since last year?”
“Dangote is practically taking off the entire Sub-Saharan African market. He exported 1.3 billion litres of petrol in June and July. For the first time, he exported petrol to the US.”
He also took aim at the government regulator,
“In 2022 products were imported that hit the anti-knocking ratio. Thousands of Nigerians had their car engines knocked.”
“There was no class action suit. NMDPRA doesn’t have a lab. Dangote has.”
Emmanuel also stated that the performance of the refinery speaks for itself, So the question is, has there been reliability of supply and assurance of supply? Dangote is supplying the market and there’s reliability. Q.E.D.”
Erizia Rubyjeana
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