President Bola Tinubu has reaffirmed his administration’s commitment to restoring Nigeria’s state-owned refineries, saying the facilities will return to operation only through a commercially sustainable model that prioritises productivity and profitability rather than symbolic activity.
The President made the pledge on Thursday while receiving the leadership of the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) at the Presidential Villa in Abuja, where discussions also covered fuel subsidy reforms, Compressed Natural Gas (CNG), labour conditions in the oil sector and the future of Nigeria’s petroleum infrastructure.
The meeting brought together government and labour leaders at a time when Nigeria’s energy sector is undergoing major reforms, with refinery rehabilitation, transport costs and workers’ welfare remaining among the country’s most closely watched economic issues.
Tinubu says refinery operations must create value
Responding to concerns about the long-delayed revival of Nigeria’s government-owned refineries, Tinubu insisted that success should not be measured simply by restarting production.
According to him, the administration is pursuing a broader economic restructuring designed to ensure that refinery operations become financially viable.
The President argued that visible signs of activity alone should not be mistaken for genuine progress if the facilities are unable to generate sustainable returns.
His remarks suggest that the government’s refinery strategy focuses on building commercially functional operations rather than restoring production for appearance’s sake.
Nigeria’s refineries in Port Harcourt, Warri and Kaduna have struggled with years of underperformance, prompting successive administrations to pursue rehabilitation programmes aimed at restoring domestic refining capacity.
CNG savings should reach commuters
Tinubu also addressed concerns about the implementation of the government’s Compressed Natural Gas programme.
The administration has promoted CNG as a more affordable alternative to petrol and diesel, particularly after the removal of fuel subsidies increased transport costs across the country.
However, the President expressed concern that many of the financial benefits are not reaching passengers quickly enough.
He urged truck owners and commercial vehicle operators who have switched to CNG to allow cost savings to translate into lower transportation costs for commuters.
According to him, broader public benefits are essential if the programme is to achieve its intended economic impact.
The comments reflect the government’s desire for the transition to alternative fuel to provide visible relief to ordinary Nigerians rather than benefiting only transport operators.
President defends subsidy removal
Tinubu also defended one of his administration’s most significant economic decisions—the removal of petrol subsidies shortly after assuming office.
Recalling earlier discussions with NUPENG leaders before becoming President, he said he had made it clear that the subsidy policy would not be reversed despite threats of industrial action.
The President maintained that the decision has strengthened public finances and created funding opportunities for major national projects.
He said the government intends to publish details of how savings from subsidy removal have been utilised.
According to Tinubu, the reforms have benefited workers across local, state and federal governments through more regular salary payments and increased funding for development projects.
The subsidy removal remains one of the defining policies of his presidency, with supporters viewing it as a necessary fiscal reform and critics pointing to its impact on living costs.
Infrastructure projects highlighted
As part of his defence of the government’s economic reforms, Tinubu pointed to ongoing infrastructure projects across the country.
He cited major road developments, including the Lagos-Ibadan Expressway, Abuja-Kaduna, Abuja-Kano and Sokoto-Badagry road projects, arguing that improved funding has made it possible to advance long-term construction programmes.
The President presented those projects as evidence that difficult economic reforms are beginning to translate into tangible public investments.
He also linked infrastructure spending to broader economic growth and improved safety for road users.
President accepts responsibility for reforms
During the meeting, Tinubu said he had accepted both the assets and liabilities inherited from previous administrations.
Rather than focusing on past challenges, he argued that his responsibility is to improve the country’s economic performance.
He acknowledged that governing in a democratic system involves difficult choices but expressed confidence that persistence would eventually produce positive results.
Using the analogy of childbirth, the President suggested that temporary hardship can lead to lasting benefits if reforms are successfully implemented.
The remarks reinforced the administration’s broader message that structural reforms require patience before their full benefits become visible.
NUPENG raises casualisation concerns
While recognising some government achievements, NUPENG used the meeting to press for stronger protections for workers in the oil industry.
Union President Comrade Salimon Akanni Oladiti described the widespread use of casual labour, particularly in the upstream petroleum sector, as a persistent and troubling problem.
According to him, repeated engagements with affected companies have failed to produce meaningful changes.
Oladiti said both NUPENG and the Petroleum and Natural Gas Senior Staff Association of Nigeria have exercised restraint despite growing frustration among workers.
He appealed to Tinubu to intervene directly and encourage stronger enforcement against unfair employment practices.
The union leader also clarified that the concerns were not directed at Labour Minister Muhammad Maigari Dingyadi, whom he described as supportive and accessible.
Union welcomes road improvements
Alongside its labour concerns, NUPENG praised the administration’s road rehabilitation programme.
Oladiti said improved highways have made travel safer for tanker drivers, reducing some of the risks associated with transporting petroleum products across Nigeria.
He highlighted major projects including the 750-kilometre Lagos-Calabar Coastal Highway and the 1,068-kilometre Sokoto-Badagry Superhighway, describing them as significant investments in national infrastructure.
According to the union, better roads have practical consequences for workers whose jobs depend on long-distance transportation.
For tanker drivers, safer highways can reduce accidents, shorten travel times and improve working conditions.
Push for NPSC depot revival
The union also called for renewed attention to the Nigerian Pipelines and Storage Company (NPSC) depots, many of which have deteriorated over the years.
Oladiti argued that restoring those facilities would strengthen Nigeria’s petroleum distribution network and complement efforts to revive state-owned refineries.
He proposed that the ageing depots be managed by private investors under an equity arrangement, suggesting that such partnerships could improve efficiency while preserving national interests.
The proposal reflects continuing debates about the appropriate balance between public ownership and private-sector participation in Nigeria’s energy infrastructure.
Local government autonomy also raised
Beyond petroleum-sector issues, NUPENG urged the President to encourage state governments to comply with the Supreme Court judgment affirming the financial autonomy of local governments.
The union argued that effective implementation of the ruling would strengthen grassroots governance and improve service delivery at the local level.
The issue has remained part of wider national discussions about fiscal federalism and the relationship between federal, state and local authorities.
Energy reforms remain under scrutiny
The meeting between Tinubu and NUPENG highlighted both areas of cooperation and unresolved challenges within Nigeria’s oil and gas sector.
The government continues presenting refinery rehabilitation, CNG expansion and infrastructure investment as key pillars of its economic reform agenda.
At the same time, organised labour continues pressing for stronger worker protections, improved employment standards and broader investment in petroleum infrastructure.
Whether the government’s refinery revival plan succeeds will ultimately depend on sustained commercial performance rather than temporary operational milestones.
Similarly, the long-term success of the CNG programme will likely be judged by whether transport costs become more affordable for ordinary Nigerians.
As discussions between government and labour continue, Thursday’s meeting underscored a shared recognition that Nigeria’s energy sector remains central to both the country’s economic future and the daily lives of millions of citizens.
