Oil workers begin strike

Date: 2014-12-15

*Fuel scarcity looms

The oil sector is set for a major disruption from today as senior and junior workers go on strike.

The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSSAN) declared a strike because of the failure of the Federal Government to pass the Petroleum Industry Bill (PIB), among others. The National Union of Petroleum and Gas Workers Union (NUPENG) begins a strike in the Port Harcourt zone also today. The implication of the strike is that petrol will be scarce across the country. Other reasons given for the PENGASSAN strike, according to its spokesman Babatunde Oke, are:

*The delay in carrying out the Turn- Around Maintenance of the refineries;

*non -implementation of the Nigeria Oil and Gas Industry Content Development (NOGICD) Act to reflect Nigerians in management positions and expatriate quota law; and

*appalling state of access roads to refineries and oil depots.

Others are: insecurity, casualisation and other anti-labour practices.

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The strike, the union said, would ensure that the government evolves new strategies to combat pipeline vandalism; crude oil theft and other problems affecting the sector.

The statement said: "The strike will affect all operations in the upstream, midstream and downstream sectors of the oil and gas industry, as members will be withdrawn from all oil and gas installations.

"It will not be suspended until there is a strong commitment from the government and affected managements/operators to resolve the issues.

"The NUPENG and PENGASSAN frown at the unfair practices, such as transfer and termination of appointment of national officers of the two unions."

The statement said the two bodies would continue to fight for their rights, noting that they had warned the government against failure to address the problems.

It urged the government to put in place strategies to stop pipeline vandalisation and crude oil theft, convene an industry stakeholders' forum on PIB status and falling crude oil prices and address the ongoing high rate divestment in the industry and its attendant job losses.

NUPENG National President Comrade Achese Igwe told reporters in Port Harcourt yesterday that the strike was to protest the sacking of the Port Harcourt National Zonal Secretary of NUPENG, Mrs Elo, by the management of Total Exploration and Production (TEPNG).

Igwe spoke to reporters at the end of the NUPENG Thanksgiving Service at the All Saint's Anglican Church, Okochiri, Okrika, Rivers State. He said Elo's sacking was in bad faith.

Said he: "That because she was elected at the Port Harcourt zone, you want to transfer her to the Lagos zone. But the answer is no; she was elected in Port Harcourt zone, you cannot transfer her to Lagos. That is the political office of the workers.

The workers elected her; she is representing the workers, not representing you as an institution or you as a management."

On why the strike is coming now when many Nigerians would be travelling, Igwe explained that the intention was not to inflict hardship on the people.

"That is why we have decided to fashion out a way so that Nigerians would not feel the impact. We are not declaring a nationwide strike. The zone where she came from would be shutting down on Monday until the issue is resolved and she is reinstated. Without that, no going back."

Workers have also planned to picket TEPNG offices in Abuja, Port Harcourt and Lagos.

While these actions are going on, tanker drivers have been instructed to put green leaves on their vehicles while oil and gas workers would be wearing red bands "as a sensitisation means of embarking on a nationwide strike."

The states under Port Harcourt zone are: Bayelsa, Rivers, Imo, Akwa Ibom, Cross River, Enugu, Anambra, Benue, Ebonyi and Abia

The NUPENG chief is dissatisfied with the Federal Government's decision to re-allocate oil blocks from next year. He urged the government to pass the PIB "so that due process would be followed and necessary taxation paid into the Nigerian economy"; otherwise, it would amount to a fraudulent process.

Also yesterday, the Trade Union Congress (TUC) said it would demand for wages increase for workers in the new year, following the devaluation of the naira by the Central Bank of Nigeria (CBN).

The National President of the Congress, Alhaji Bobboi Kaigama, broke the news at the end of the Congress' National Executive Council Meeting in in Lagos.

Kaigama said a pay rise had become necessary because the current devaluation had started impacting negatively on Nigerian workers.

He added that "the issue of wage is a dynamic thing. In stabilised economies, wages are directly proportional to the inflation trend of that country.

"So, it is expected that following the devaluation of the naira and its resultant rise in inflation, salaries of workers should automatically be increased too.

"But in this country, even after devaluation of the currency, there will not be any increase in workers' salary and that is bad.

"The moment devaluation is put in place the prices of goods and services surge, there should be a proportional increase in workers' pay."

He said "if devaluation persists, the Congress will have no option but to enter the New Year with a demand for increase in workers' pay."

The TUC boss added that the fall in crude oil price in the international market should be translated into a fall in the price of refined products in the country.

Kaigama explained that the price of petrol should be brought down to N50 per litre.

"If the government says that the price of crude oil has fallen in the global market, it means that the price of products will also fall in the country.

"If truly we are working with the dynamics of market principles, we expect that the price of products should drop.

"We want N50 per litre for petrol," he said.

The Congress' boss also said the delay in the passage of the PIB would push unions and Nigerians to the wall for a corresponding action.

The TUC also advised the Federal Government to address the grievances of oil workers to avert the strike.

This plea was contained in the communique issued at the end of the NEC meeting. It was jointly signed by the TUC President, Bobboi Kaigama, and General Secretary, Musa Lawal.

NUPENG and PENGASSAN had issued a notice to begin an indefinite strike today. The communiqué said the strike would cripple the economy and bring untold hardship to millions of Nigerians managing to cope under the harsh economic condition.

"The NEC in session expressed concern on the reported attitude and response of the concerned management and government agencies to the barrage of national issues, oil and gas policy and institutional issues as well as cases of unfair labour practices.

"The NEC also notes the strong efforts made by NUPENG/PENGASSAN to internally resolve the reported grievance at the instance of the Honourable Minister of Petroleum Resources and other agencies which the concerned managements severally frustrated.

"NEC therefore urges government to attend to all the reported issues as a matter of urgent national importance to avoid the backlash on the Nigerian public," the communique said.

It said that the global fall in crude oil price should be translated into the reduction in the pump price of refined products in the country.

"The congress expresses dismay that the prices of refined petroleum products have remained unchanged despite the significant fall of crude oil prices which the CBN Governor acknowledges as a steady one.

"We call on the government to direct the appropriate agencies to respond by adjusting the pump price of petroleum products as this will go a long way In ameliorating the impact on the purchasing power by the devaluation of the naira," it added.

Source

 

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