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Dangote Refinery Fuel Distribution Model Tears Unions Apart

Fifth Crude Cargo Dangote Refinery

Some stakeholders in the nation’s downstream oil sector are at loggerheads over the industrial action threatened by the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) as regards Dangote Refinery’s alleged anti-union practices.

The development has raised questions, with many quarters calling for a speedy resolution before the action commences fully.

On its part, the Direct Trucking Company Drivers Association (DTCDA) has called on the federal government to take necessary measures to prevent coercive recruitment by any organisation, citing the constitutionally guaranteed right to freedom of association.

NUPENG had accused Mr Aliko Dangote and Mr Sayyu Dantata, owner of MRS filling stations, of engaging in alleged anti-union practices. The union claimed the businessmen were trying to monopolise Nigeria’s downstream oil and gas distribution while suppressing workers’ rights.

Recall that in June, the Dangote Petroleum Refinery announced a major initiative to transform Nigeria’s fuel distribution landscape. At the time, the company said that effective August 15, 2025, it would begin distributing petrol and diesel to marketers, petrol dealers, manufacturers, telecoms firms, aviation, and other large users nationwide.

To ensure the smooth take-off of this scheme, the refinery said it invested in the procurement of 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers.

However, due to supply challenges, this has not fully taken off.

For NUPENG, whose membership includes petrol tanker drivers, it alleged that the drivers recruited for the CNG trucks are being forced to sign undertakings not to belong to any existing union in the oil and gas industry.

The union called on the federal government and its agencies to call the two businessmen to order, adding that if anti-union attitudes persist, it would mobilise its members to fight within the framework of the law.

Despite this, others are not fully onboard with DTCDA, in a statement signed by its National President, Mr Enoch Kanawa, on Saturday, clarifying that it is not joining issues with the NUPENG as there is no basis for that.

“We, as stakeholders in the Nigerian transport industry, deem it fit to put issues in their proper perspectives so that the public is not being manipulated and taken for a ride because the Constitution of the Federal Republic of Nigeria guarantees the freedom of association for persons to voluntarily choose who and whom to associate or partner with. More so that the Nigerian economy is fully deregulated.

“The DTCDA is an association and not a union. It is an organisation of all drivers, both in the wet and dry cargo, of the transport sector, of which Dangote drivers, MRS and other drivers of established transport companies are members.”

The association said its roles include getting the oil firms to cater for the general welfare of their drivers “in terms of health, insurance and pension benefits, especially post retirement.”

The DTCDA said it is open to all drivers who subscribe to the association’s objective and who are desirous of a better working life during and after retirement.

“This is to give them and their families a guaranteed future. The leadership of the DTCDA is committed to the transparent, accountable and good governance of the association in the promotion and protection of its members’ welfare, ensuring safe driving, education, safety and sanity on our highways.”

The DTCDA said it will not interfere with the operation of any organisation, union or association in Nigeria; rather, drivers should be allowed to have a freedom of choice on which union or association can best serve their interests in the course of the legitimate pursuit of their driving experience.

“Any person who is licensed to drive a heavy-duty vehicle should be mature enough both physically, mentally and emotionally to discern which organisation can best serve his/her own interests.

“The DTCDA therefore urges the federal government and its agencies to take every measure necessary to prevent any one organisation trying to recruit membership by coercion, thereby breaching the constitutionally guaranteed right to freedom of association, thought and expression as enshrined in the Constitution of the Federal Republic of Nigeria 1999 as amended,” it added.

The DTCDA said it is in full support of the deregulation of the downstream sector of the Nigerian economy and the Renewed Hope agenda of President Tinubu, “of which our members are poised to play an integral role in the distribution of goods and services throughout the country.”

“The DTCDA believes that any action against the smooth flow of petroleum products in the country is a disservice, flagrant abuse of the power of unionism and should be condemned by all Nigerians and the general public,” it said.

Also, the Nigeria Labour Congress (NLC) has asked President Tinubu to intervene to prevent a crisis in the oil sector.