Two of Nigeria’s influential oil sector unions have strongly opposed the Federal Government’s reported plans to divest significant stakes in joint venture assets managed by the Nigerian National Petroleum Company Limited.
The Petroleum and Natural Gas Senior Staff Association of Nigeria and the Nigeria Union of Petroleum and Natural Gas Workers on Tuesday warned that such moves could destabilise the economy, weaken the oil industry, and jeopardise the welfare of workers.
At a joint press briefing in Abuja, PENGASSAN President, Festus Osifo, and his NUPENG counterpart, Williams Akporeha, rejected the proposal to cut government stakes in JV assets by as much as 30–35 per cent. Currently, the Federal Government holds between 55 and 60 per cent of such assets through NNPCL.
According to the unions, the planned sale would generate quick cash but at the expense of Nigeria’s long-term economic security. They cautioned that reducing government holdings in critical oil assets could bankrupt NNPC, impair its ability to meet obligations such as salaries and welfare packages, and shrink its contributions to the national budget.