The Federal government has moved to avert a potential disruption in fuel supply, following tensions surrounding the Naira-for-crude oil initiative and a labour dispute at the Dangote Refinery.
The Ministry of Finance, in a statement issued Sunday, conveyed the government’s assurance to Nigerians that there would be no scarcity of refined petroleum products, emphasizing that “energy security and stability in the downstream oil sector remain a top priority.”
The announcement came after a high-level meeting of the Steering Committee of the Domestic Crude Oil and Refined Products Sales in Local Currency Initiative. The committee is chaired by Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun.
Addressing recent concerns, Edun stated that reports of the suspension of the Naira-for-crude oil deal by Dangote Refinery has been “amicably resolved.” The government reaffirmed its commitment to the programme.
“For the avoidance of doubt, the committee reassured that the crude oil for the Naira initiative will continue. It also assured that all outstanding issues, particularly the dispute between the Petroleum and Natural Gas Senior Staff Association of Nigeria and Dangote Refinery, are being addressed with urgency and in good faith,” the statement read.
Also present at the meeting were the Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu; Chairman of the Federal Inland Revenue Service, Mr. Zacch Adedeji, who also heads the Technical Committee; representatives from the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NNPC Limited, the Central Bank of Nigeria, Afreximbank, and the Dangote Refinery.
The government underscored its commitment to maintaining price stability and supply continuity.
“The Federal Government remains fully committed to ensuring energy security, protecting consumers, and maintaining stability in the domestic petroleum products market,” the statement added.
Amid fears of a looming crisis, the Dangote Refinery on Saturday confirmed the resumption of petrol sales in naira, following intervention by the Federal government’s technical committee.
“Following the intervention of the Naira for Crude Technical Committee Chairman, we are pleased to inform you of the resumption of PMS sales in Naira commencing immediately,” the refinery said in a memo to marketers.
“You may kindly proceed to place your orders in naira for both self-collection and free delivery of PMS to the earlier advised locations across the country. Thank you for your continued patronage.”
This development came just 24 hours after the refinery had notified marketers of a planned suspension of Naira-based petrol sales, citing the exhaustion of its crude-for-naira allocation. That announcement, which was scheduled to take effect on Sunday, September 28, 2025, sparked nationwide concern about a possible fuel shortage.
A major component of the crisis was a labour standoff between Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), which accused the refinery of unlawfully dismissing more than 800 Nigerian workers.
In a circular issued after an emergency National Executive Council (NEC) meeting on Saturday, September 27, 2025, and signed by General Secretary Lumumba Okugbawa, the union condemned the mass layoffs.
The NEC claimed the refinery replaced the sacked staff with “over 2,000 Indians,” describing the move as “an affront to all workers in Nigeria.”
The union accused the refinery of violating Nigeria’s labour laws, the Constitution, and International Labour Organisation (ILO) conventions by terminating workers for joining the association.
To escalate its demands, PENGASSAN ordered members in operational sites to withdraw their services starting Sunday and declared a nationwide shutdown across the oil and gas sector from Monday. It also announced 24-hour prayer vigils and called for immediate government intervention, vowing not to end the strike until the dismissed workers were reinstated.
However, following the government’s intervention through the steering and technical committees, there are indications that the strike may be called off soon, offering hope for a peaceful resolution to the dispute.
By stepping in to resolve both the labour impasse and the commercial uncertainties around the naira-for-crude arrangement, the Federal government aims to reassure the public and industry stakeholders that Nigeria’s fuel supply chain remains secure.