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PENGASSAN seeks state of emergency in oil and gas sector


Oil Refinery

Oil Refinery

SENIOR oil workers in the oil and gas sector have called on the in-coming Federal Government to declare a state of emergency in the industry to address the plethora of issues be-devilling it.

The workers, under the aegis of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), said that all sub-sectors of the oil and gas industry are going through one problem or the other that are not only drawing down the sector but the entire national economy.

In a statement made available to The Guardian yesterday and signed by the union’s President, Francis Johnson, the workers opined that there are many issues, which require urgent attention of the in-coming government to reposition the industry for efficient and effective delivery of its benefits to Nigerians.

Besides, he noted that there was need for the in-coming government to call an all-inclusive stakeholders’ forum of those involved in operations in the sector to critically examine and proffer workable and enduring solutions to all the problems in the larger interest of the Nigerian nation.

“All the sub-sectors of the oil and gas industry have one challenge or the other and all these challenges are affecting the delivery of the benefits of our God-given hydrocarbon resources to the country and the entire people of Nigeria.

“These challenges are as a result of past neglects, wrong policies and policy summersault in some areas of the sub-sectors. All these are inflicting pains on Nigerians who ought to be enjoying the benefits of the natural resources that God bequeathed to the country,” Johnson said.

He listed some of the challenges to include pipeline vandalisation, crude oil theft, state of the refineries, intractable and persistent scarcity of petroleum products, subsidy payment controversies, divestment, illegal transfer or allocation of oil blocks, irregular Joint Venture (JV) funding with emphasis on delay in cash call payment, inadequate funding of government agencies in the oil and gas sector and undue interference in the management of government agencies.

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  • Thompson Iyeye

    It is one thing for the unions to call for a state of emergency in the oil and gas sector. It is something else when it comes to implementing reforms to improve the sector. Unions have this bad habit of opposing reforms, given their rather outdated behaviours. For instance, the unions oppose the removal of fuel subsidy despite the huge cost to the economy. Government run refineries are wasteful and inefficient. Yet the unions do not want them sold to the private sector to run.

    If the unions mean what they say about reforms, as a start, they should work with government to remove fuel subsidy and also sell off our loss making refineries. Then we know they are serious.

  • Joseph

    What happens after the emergency is declared?