Dangote Refinery Denies Anti-Labour Allegations By NUPENG

Dangote Petroleum Refinery has dismissed recent allegations made by the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), insisting that claims of anti-labour practices, monopolistic behaviour, and planned fuel price hikes were entirely unfounded.

The union’s statement on September 5, 2025, and subsequent media appearances, alleged that Dangote Group was undermining union activities and threatening workers’ welfare through its new deployment of compressed natural gas (CNG) powered trucks.

However, in a statement Dangote Refinery reiterated its full support for constitutionally protected labour rights, stating that employees were free to affiliate with any recognised trade union.

The statement described insinuations that drivers were compelled to waive union rights as categorically false, adding that the dispute involves NUPENG’s Petrol Tanker Drivers (PTD) unit and does not implicate the refinery in any breach of rights.
Central to NUPENG’s allegations is the roll-out of over 4,000 CNG-powered bulk trucks, which the union claimed could displace existing jobs.

Dangote Group firmly refuted this, describing the initiative as a cornerstone of 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”.

It noted that each truck will be operated by a six-person team, with drivers receiving salaries significantly above the national minimum wage, plus medical cover, pensions, housing allowances, and long-term access to housing loans.

The company said it aims to have 10,000 such trucks in operation by year-end, thereby potentially creating over 60,000 direct jobs.

Responding to accusations of monopolistic behaviour, Dangote Refinery emphasised its compliance with Nigeria’s deregulated oil sector under the supervision of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

The company highlighted that over 30 refinery licences have been issued to private players, with active developments by BUA, Aradel, Walter Smith, and the Edo Refinery, stating that “while we are major industry player, our presence has revitalised the downstream sector, reopened previously dormant petrol stations and restored investor confidence.”

The statement also drew parallels with the company’s influence in the cement industry, noting that Dangote’s entry helped eliminate Nigeria’s reliance on imports and spurred the rise of other local producers.

Dangote Refinery denied any plans to increase fuel prices, saying “on the contrary, the company claims its operations have stabilised fuel availability and driven down costs.

“Diesel prices, for instance, have dropped by over 30 per cent in the past year, and petrol prices in Nigeria are now reportedly lower than in oil-rich nations like Saudi Arabia and 40 per cent cheaper than neighbouring West African countries.”

The company also pointed to its N720 billion investment in CNG infrastructure as evidence of its commitment to reducing logistics costs and improving nationwide fuel distribution.
Dangote said it maintains a cordial and cooperative relationship with all recognised trade unions, including NUPENG.

It therefore rejected accusations of walking out on recent conciliation efforts, stating that the union had not formally communicated any grievances before going public.

Since its commissioning just over a year ago, Dangote Refinery has transformed Nigeria into a net exporter of refined fuels, supplying markets as far as the United States.

Its production of key by-products such as polypropylene, LPG, and naphtha is said to be catalysing growth in manufacturing, aviation, and agro-processing sectors.