Kelvin Emmanuel, an energy expert and petroleum economist, has weighed in on the ongoing dispute between Dangote Refinery and the Nigeria Union of Petroleum and Natural Gas Workers, stating that petroleum importers are inciting NUPENG against Dangote as a last line of defence.
Emmanuel stated this while speaking on Politics Today, a show on Channels Television on Tuesday.
The energy expert explained that the strike action was never about the workers’ unionism, but rather as a tool to threaten Dangote Petroleum’s sales operation in Nigeria.
The expert argued that the challenges faced by Dangote refinery since the beginning of its operation stemmed from marketing competition.
“The agenda for this strike action was not actually about the workers being allowed to unionise or not; NUPENG was being used as the last form of defence for the marketers who realised that they had failed,” the expert explained.
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“The sulphur level of his diesel, AGO, does not meet the regulatory standards. Meanwhile, the actual people who don’t meet the regulatory standards are the marketers who import to Nigeria because NMPDRA, the regulator for the midstream and downstream sector, does not have a lab to test for the product at the port, as specified.
“So you had people place obstacles in the way of Dangote since he started operations. If it is not, you cannot sell to the Nigerian market, because you don’t have the right specification of the product supplied to the Nigerian market.
“It is the government that does not have a crude supply based on domestic supply obligations in section 109 to supply the crude oil stock in it. Dangote is spending 650 million dollars every month importing crude oil into Nigeria to refine.
“NNPC is struggling with Dangote; they are not supposed to struggle with him, as a shareholder in the refinery, but they constantly place obstacles in his way.” The expert concluded.
