The Nigerian energy sector is currently facing a dual crisis centered around the Dangote Petroleum Refinery, involving an imminent petrol price hike and a heated dispute over the mass dismissal of workers. The Independent Petroleum Marketers Association of Nigeria (IPMAN) announced that its members would implement a nationwide petrol price increase, potentially pushing prices above N900 per litre, effective September 29, 2025. This follows Dangote Refinery's decision to suspend petrol sales in Naira from Sunday, September 28, 2025.

The refinery, a 650,000-barrel-per-day facility, informed its customers via email on Friday, September 26, 2025, that it could no longer sustain Naira-based petrol sales due to the exhaustion of its crude-for-Naira allocation. This program, introduced by the Nigerian government on October 1, 2024, was designed to reduce production costs, stabilize pump prices, and conserve foreign exchange. Although initially halted in March 2025 and later reaffirmed to continue indefinitely in April 2025, the refinery's notice stated it had been selling products in excess of its Naira-crude allocations. Customers with existing Naira payments were advised to request refunds.

Concurrently, another significant conflict is brewing between the Dangote Refinery management and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). PENGASSAN has accused the refinery of unjustly sacking over 800 Nigerian workers, allegedly mere hours after they joined the union. General Secretary Lumumba Okugbawa stated that this action infringes upon the workers' constitutional right to unionize and threatened severe consequences if the sacked employees are not reinstated.

In response, PENGASSAN has issued a directive to its members nationwide to immediately cut off gas and crude oil supply to the Dangote Refinery. This includes shutting all crude oil supply valves, halting loading operations for vessels, and cutting off gas supply to the Nigerian Gas Infrastructure Company Limited (NGIC). The union alleges that the refinery has replaced the dismissed Nigerian workers with 2,000 Indians and views the company's justifications as "misinformation and propaganda." An emergency National Executive Council meeting has been summoned to strategize on reversing the refinery's actions.

The Dangote Petroleum Refinery, on its part, clarified the dismissals as an "ongoing reorganisation exercise" aimed at safeguarding operations and protecting workers' rights against "repeated acts of sabotage." In a statement issued on Friday, September 26, 2025, the management explained that the decision was taken to address security breaches within various refinery units, which posed safety concerns and threatened operational efficiency. The company asserted that only a "very small number" of staff were affected, emphasizing that its workforce remains robust with over 3,000 Nigerians actively employed. It also stated that recruitment is ongoing through graduate trainee programs and experienced hire processes, reiterating its commitment to internationally recognized labor standards and workers' rights, including the freedom to join a union. The refinery reaffirmed its dedication to serving Nigerians, strengthening Africa's energy independence, and creating sustainable jobs.

The convergence of these two crises—the impending fuel price hike and the escalating labor dispute—presents a complex challenge for Nigeria's energy sector, with potential broad economic and social ramifications if not promptly addressed by the Federal Government.