Reps Step In To Settle Dangote, NUPENG Dispute Over Crude Supply

The House of Representatives has taken steps to ease tensions between the Dangote Group and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), pledging to broker peace in the ongoing dispute that has unsettled the downstream petroleum sector.

Lawmakers made the move at the end of a three-day retreat in Lagos, where members of the House Committee on Petroleum Resources (Downstream) met with stakeholders, regulators, and union leaders to chart a way forward.

The retreat served as preparation for a broader investigation into the Nigerian National Petroleum Company Limited’s (NNPCL) acquisition of OVH Energy Marketing assets and the challenges facing local refineries in accessing crude oil. Issues surrounding premium pricing, the condition of refineries before their shutdown, and the role of regulators were also raised.

The committee, led by Hon. Ikenga Ugochinyere, explained that the upcoming investigation would differ from the earlier one that was rejected by the House. Lawmakers said they are determined to deliver reforms that would promote fairness, competition, and efficiency in the sector.

Stakeholders at the retreat expressed concerns about alleged monopolistic practices, poor quality petroleum products, and the exclusion of key players from crude allocations. The committee responded by inviting members of the public and industry experts to submit relevant documents and evidence to strengthen its inquiry.

One major challenge noted was the reluctance of some stakeholders to provide documents required for the probe. However, the lawmakers said they would proceed with or without the submissions to complete their assignment.

The committee also vowed to mediate directly between Dangote and NUPENG to prevent further clashes that could destabilize fuel supply and investment confidence. Reports from the sub-committees are expected in the coming weeks, which will guide possible legislative action.

Lawmakers commended the efforts of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, the Dangote Refinery, modular refinery operators, and others for their investments aimed at strengthening energy security.

The House expressed optimism that the resolutions from the retreat, alongside the upcoming investigation, will reset the downstream petroleum industry and help stabilize Nigeria’s energy and economic future.