Ground handling firms overwhelmed with managing inefficiencies, overstaffing – Adewale

Ground Handling Companies or Agents (GHAs) are said to be overwhelmed with needless high staff numbers who are just managing inefficiencies across Nigerian Airports.

Concerns have been raised on the need to engage permanent staff to handle each airline’s own system because the tech solutions are either inappropriate, not properly framed and many have now resulted to only perfecting Flight Manifest Message and jettisoning the other needed information such as Notification for Delivery, Received from Flight, Document Identifier without working hard to get these needed information services to the airlines.

Also, old technologies have not been harnessed as at present, although there are attempts to upgrade, upscale, and new technologies with improved solutions (such as user friendliness and more control).

These concerns were raised by Seyi Adewale, chief executive officer, Mainstream Cargo Limited, at the 5th CHINET Aviacargo Conference at the 21st Akwaaba African Travel Market in Lagos.

During his presentation, he disclosed that different airlines have different tech solutions used by GHAs that negatively impact on costs, manpower utilisation, and overall efficiency in the air-cargo process.

According to Adewale, there is inadequate tech communication between primary segments in the air-cargo business (airline to customs, GHA to airlines, GHA to consignee) and resultant higher charges to consignee (demurrage, pass on running costs, etc).

He further noted that there are higher running costs on airlines that need to have a retinue of ground staff to operate and manage some aspects of the ground handling process, or the inefficiencies.

‘GHAs need to employ a higher number of staff to manage different processes evoked by the airlines because of technological lapses or inadequate or improper communication.

‘Customs’ slower process of clearing or managing their tech platforms (what is the effective resumption time of a Customs officer in the CPC Unit). I dare say from 10 a.m.!’ he said.

He mentioned that there are downtimes due to poor tech infrastructure support (electricity, backups, etc) and last-mile user frustration.

The unyielding giant: Nigeria at 65

As Nigeria marks its 65th year of independence on October 1st, 2025, the prevailing narrative gravitates toward tribulation: inflation, currency volatility, security anxieties, and infrastructure deficits. Yet to obsess over trials alone is to miss the forest for the thorns. The Nigerian economy tells a story of resilience and latent potential that refuses to be extinguished. Here are compelling reasons for the measured celebration of Africa’s Giant.

The foundations of economic power

Nigeria’s economy stands as Africa’s largest, with GDP reaching N372.8 trillion in 2024. The economy expanded 3.84 percent in the fourth quarter of 2024, propelled by a services sector that grew 5.37 percent and contributed 57.38 percent to aggregate output. This reveals an economy gradually weaning itself from petroleum dependency, constructing robust alternative pillars for multi-generational prosperity. Non-oil exports reached $5.456 billion in 2024, a 20.79 percent increase, demonstrating that Nigerian products can compete internationally when afforded appropriate policy environments. The agricultural sector’s value surged to N4.44 trillion in 2024 from N1.24 trillion in 2023, creating millions of jobs while positioning Nigeria as a major agricultural exporter. From cocoa producers in the Southwest to sesame cultivators in the Middle Belt, farmers have transformed Nigeria into a competitive agricultural powerhouse. The Nigerian Exchange maintains market capitalisation exceeding N56 trillion with over 150 listed companies. The pension revolution has accumulated over N18 trillion in domestic savings channelled toward productive investment, while the banking consolidation of 2004 created robust financial institutions now operating across Africa.

Technology and innovation explosion

Lagos’s tech startup ecosystem hosted over 2,000 startups by October 2024, raising over $400 million during the year. The fintech revolution has democratised financial services spectacularly. Paystack processed N1 trillion worth of transactions in July 2024, while one major fintech claims over 50 million users with monthly transaction volumes surpassing $12 billion, fostering 400,000 job opportunities. Nigerian-founded companies like Flutterwave and Interswitch have achieved unicorn valuations, proving world-class technology companies can emerge from Lagos as readily as from Silicon Valley. Nigeria now functions as Africa’s undeniable digital finance leader and the continent’s largest tech talent hub with over 700,000 developers, attracting investments from Google, Meta, and Microsoft. The telecommunications revolution transformed Nigeria from fewer than 500,000 telephone lines in 1999 to over 180 million mobile subscriptions, enabling mobile banking, digital commerce, and countless economic activities. Over 100,000 kilometres of fibre optic cable now undergirds this dynamism.

‘From Guinness Nigeria’s successful localisation to Aba shoemakers’ indigenous entrepreneurship attracting international attention, Nigerian industrial capacity grows steadily.’

Infrastructure development and industrial capacity

The Dangote Refinery, commencing operations in September 2024 with the capacity to produce 650,000 barrels daily, fundamentally alters Nigeria’s petroleum economics. This monument to Nigerian industrial ambition, the world’s largest single-train refinery, transforms the nation from a crude exporter into a potential exporter of refined products. The cement industry achieved self-sufficiency and export capacity, transforming Nigeria from a major importer to a net exporter. The Second Niger Bridge completion, the Lagos-Ibadan Standard Gauge Railway, and the Lekki Deep Sea Port inauguration represent both symbolic and practical achievements. Over 100,000 kilometres of fibre-kilometres of optic infrastructure and 1.5 million new housing units in the past decade demonstrate sustained development momentum. Manufacturing continues to produce goods across numerous industries, with local manufacturers increasingly capturing domestic markets. From Guinness Nigeria’s successful localisation to Aba shoemakers’ indigenous entrepreneurship attracting international attention, Nigerian industrial capacity grows steadily.

Energy sector transformation

The Petroleum Industry Act passage in 2021, after two decades of paralysis, modernised the legal framework governing Nigeria’s most important industry. The transformation of NNPC into a commercial entity introduced accountability into previously opaque operations. Nigeria maintains its position as Africa’s top LNG exporter, while gas-to-power initiatives promise to transform previously flared resources into economic value. Renewables now contribute over 15 percent of rural electrification capacity as solar installations proliferate, reducing dependence on generators while enabling economic activities formerly impossible. The fuel subsidy removal in 2023, though politically risky, represented an economically necessary reform. Crude oil theft clampdown through improved surveillance has enhanced production volumes.

Human capital and creative industries

Diaspora remittances consistently exceed $22 billion annually, representing not merely financial flows but networks facilitating knowledge transfer and business partnerships. Over 60 percent of Nigerians are under 25, representing staggering demographic potential if properly harnessed. Nigerian universities, despite funding challenges, produce graduates competing successfully internationally, while over 120 now offer entrepreneurship studies. Nollywood has become a global cultural force and significant economic contributor. As the world’s second-largest film producer, it employs thousands while projecting Nigerian culture internationally. Nigerian music, led by Afrobeats, has achieved unprecedented global success, representing a multi-million dollar export industry. Nigerian literature continues its distinguished tradition, with authors winning major international prizes and achieving commercial success globally.

Financial inclusion and governance reforms

Financial inclusion expanded dramatically, with over 70 million Nigerians now possessing formal financial access, up from fewer than 30 million in 2010. The Bank Verification Number system enhanced banking integrity, while the Treasury Single Account improved public financial management, curbing leakages and consolidating revenues. The Companies and Allied Matters Act of 2020 modernised business law, easing the process for small and medium enterprises. The survival of democracy since 1999, with power changing hands between parties, provides prerequisites for long-term economic planning. The foreign exchange market reform of 2023, unifying multiple exchange rates, improved transparency and investor confidence. The Nigeria Sovereign Investment Authority, managing over $2 billion in assets, represents forward-thinking resource management. The African Continental Free Trade Area ratification positions Nigeria’s large market as a potential hub for continental commerce.

Grassroots resilience and social progress

Millions of small and medium enterprises form the true economic backbone, employing the majority of Nigerians. The informal sector, from Alaba International Market to the Okada economy providing last-mile transportation, demonstrates entrepreneurial resilience, moving billions in commerce. Cooperative societies provide critical capital for the informally employed. The healthcare system has made remarkable progress in combating previously devastating diseases. Polio has been eliminated, HIV/AIDS treatment has become widely available, and life expectancy has increased substantially. The pharmaceutical industry produces medications domestically, reducing import dependence. Social protection systems have expanded, with conditional cash transfers and school feeding programmes reaching millions of beneficiaries.

Looking forward

At 65, Nigeria stands at an inflection point. The economic foundations laid over decades provide platforms for accelerated growth. The demographic dividend, if properly harnessed, could propel Nigeria to unprecedented prosperity. The diversity of Nigeria’s economy provides resilience against shocks. Challenges remain real and require honest acknowledgement. Infrastructure deficits constrain growth. Security challenges disrupt economic activity. Corruption wastes resources. Policy inconsistency creates uncertainty. These realities cannot be wished away.

Yet achievements documented here demonstrate that progress is possible. From the farmer in Benue to the software engineer in Lagos, from the banker in Abuja to the trader in Kano, Nigerians are building an economy that, while imperfect, provides opportunity and generates wealth. That journey, spanning 65 years, deserves recognition and celebration. The greatest reason for optimism is that the Nigerian economic story is still being written. Its final chapter has not been decreed. If Nigerians bring to future challenges the same resilience, creativity, and determination that have characterised the first 65 years, the economic future remains bright. Nigeria at 65 has much to celebrate and even more to anticipate.

Happy Independence Anniversary to Africa’s Giant.

Glovo reaffirms commitment to empowering SMEs in Nigeria

Glovo, one of the leading tech platforms operating across Europe, Africa, and Central Asia, has reiterated its dedication to empowering Small and Medium Enterprises (SMEs) in Nigeria by providing training, digital tools, and access to opportunities designed to optimise business operations, enhance brand visibility, and boost online sales through its platform.

The company’s commitment was underscored at the latest edition of Glovo Academy in Abuja, an in-person learning and development initiative aimed at equipping local businesses with skills and tools to expand their operations and scale sustainably.

Reni Onafeko, Head of Growth at Glovo Nigeria, emphasised the company’s ongoing support for SMEs by offering advisory services and financial access. She revealed that since Glovo launched in Abuja in 2022, the platform has delivered over one million orders, creating more than N11 billion in value for its partners.

Onafeko further noted a 30% year-on-year increase in orders within Abuja and said Glovo now partners with over 1,000 local restaurants.

She stressed the importance of digital literacy, saying SMEs must embrace it ‘to enable their businesses to expand, formalise and scale sustainably.’

Speaking at a panel discussion, Ifeoma Williams, Special Adviser to the Minister of State for Industry, described MSMEs as the ‘backbone of any economy,’ pointing out that ‘current data from the National Bureau of Statistics (NBS) reveal that 40% of Nigeria’s Gross Domestic Product is derived from these small businesses.’

While acknowledging the challenges SMEs face in accessing government loans, she attributed this to a ‘lack of proper structure and the right business plan.’ Williams assured that the federal government is actively working to develop policies that will foster a more supportive business environment.

Tijani Mustapha, founder of Ahmad’s Sharwarma, spoke on operational challenges confronting SMEs, stressing that business owners need resilience to navigate issues with human resources and quality control.

He stressed the importance of technology, stating, ‘Any business we do today must embrace technology. Through technology, we can gather customer feedback, keep the business in check, and improve.’

Kayode Meyanbe, Head of ICT at the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), outlined government initiatives aimed at supporting SMEs.

He revealed that SMEDAN, in partnership with the Corporate Affairs Commission, is offering free registration to 250,000 businesses and urged SMEs to seize this chance to formalise their operations. Meyanbe added, ‘As an agency, we have partnered with banks to provide loans at an interest rate below 10% to support their businesses. Not only that, state governments have also been helping us with funds for these SMEs to access our loan facilities.’

He also mentioned that capacity-building training is being provided through Kaduna Business School and Lagos Business School to equip SMEs with essential skills.

Kolawole Adeniyi, head of commercial at Glovo Nigeria, revealed that since the company entered Africa in 2021, it has invested 206 million euros across the continent. He noted that 90% of Glovo’s business partners are SMEs and that the platform has generated N55 billion in direct economic value for these partners.

The event included presentations and training focused on operational excellence, marketing, customer complaint handling, and business and financial literacy, facilitated by the Enterprise Development Centre at Pan Atlantic University.

These efforts highlight Glovo’s ongoing commitment to fostering sustainable growth for SMEs within Nigeria’s digital economy.

Lamentation in the morning of freedom

Music has ceased to play in Nigeria, or so it seemed yesterday. The faces that were once brightened by the joy of independence have become dull.

Nigeria yesterday was as cold as iced fish and as quiet as a graveyard. Singers have hung their musical instruments as disappointment runs in their veins. A day that was supposed to be a joyous moment of freedom has suddenly become a day of lamentation. That was the situation yesterday. Who did this to us? How did we get here?

In many cities across Nigeria yesterday, there were conferences hosted by governments, corporate bodies, religious bodies and individuals.

Those gatherings featured nostalgic forays into what worked in yesteryears and what is not working now. The events featured speeches of regret about how Nigeria has not lived up to being a potentially great nation as envisioned by the colonial masters.

This has been the ritual. year after year. Chances are that by this time next year, such gatherings would reconvene. Those who presented papers this year would just dust up the files, change the year, and they would be good to go.less lamentation, you may say.

Yesterday was supposed to be a celebration day. It was supposed to be colourful with many activities to mark it. It was the 65th anniversary of Nigeria’s independence.

But it wore a sombre look by every standard of assessment when compared to what the day used to be shortly after Independence and in the 80s and 90s.

It is a significant date in the life of Nigeria as a country. After a hard fight and agitation for an independent sovereign nation, the colonial masters at the time saw the need to exit the power stool. They handed power to indigenous leaders.

At that time, what is now known as the dreams of the Founding Fathers were born. They dreamed of a nation where tribe and tongue may differ, but in ‘brotherhood we stand’. They dreamed of handing to ‘our children a banner without stain’. They dreamed of a nation ‘where no man is oppressed’.

But whether these have been realised as the country marked the 65th anniversary is open to debate.

Every citizen, irrespective of tribe, tongue and religion, bought into the dream, which accounted for the effusive expression of joy and gladness that greeted the day.

The colonial rule ended at midnight on September 30, 1960. Lagos, which was at the time the capital of the country, was electric with all sorts of celebrations.

A great gathering of people from all walks of life and guests from foreign lands poured in. All Nigerians were on the same page.

No bitter politics. No recrimination. Just celebration galore. Everyone waved the green, white, and green flag, and there were cultural displays representing various parts of the country and their rich cultures.

Schoolchildren staged a march past, and they nursed hope for a brighter future. Many years after the effusive joy and great gladness during the anniversary, the conviviality that used to greet the day has vanished. Increasingly, leaders have reduced the day to a mere nationwide broadcast.

While Nigeria marked the day yesterday, citizens were burdened by many challenges, and they did not see reason to celebrate an independence they believe is largely on paper.

While the country celebrated yesterday, the media space was awash with unpalatable news about killings in some parts of the country by bandits and robbers. The families of 15 vigilante operatives and hunters killed by bandits in Kwara State were in a mourning mood. The murder of a female journalist with Arise Television in Abuja, a few days ago, by armed robbers, was still fresh in the minds of citizens as Nigeria clocked 65.

There was lamentation across the country. While some were complaining about hunger and abject poverty, others were saying that they no longer feel safe. The government’s efforts have not been able to meet the needs of the people.

On the security front, Nigeria has moved from a nation where citizens moved freely in the past to one where any movement from one part of the country to another is fraught with enormous danger.

Killers in the name of bandits, kidnappers, organ harvesters, Boko Haram and other criminal gangs lay siege every inch of the way.

It is so much so that Nigerians now engage in days of prayer and fasting before they embark on interstate journeys. In those days, parents would hand over their children to complete strangers travelling with commercial buses or trains to another part of the country, several kilometres away. Those children arrived at their destinations safely and in peace. Such things no longer happen today. Only politicians with a heavy armada of security personnel and bodyguards can easily move around these days. Nigeria has degenerated to a level where communities are signing memoranda of understanding (MoU) with bandits to be allowed to live in peace in their own domain.

Citizens are slaughtered like chickens across the country. The security situation in Katsina, Kaduna, Sokoto, Zamfara, Borno and now Kwara has become worrisome. Non-state actors appear to be dictating the pace of things in the country.

This was never part of the dreams of the founding fathers. The most worrisome of it all is that we hear daily that those saddled with the onerous task of protecting the lives and property of citizens are being compromised. They are being corrupted to sell out, and the country is paying heavily for it. Life is, incrementally, becoming brutish and short in Nigeria.

Nigeria has come to a point where her citizens prefer living abroad to staying back home, with all the hazards they meet on their way while travelling. Today, if aircraft could be stationed at all the international airports in the country to freight people to Europe and America at no charge for them to go sweep the streets of those countries, not many people would be left behind.

That is the criticality of the situation, and that was never the dream of the forebears.

Unlike at independence, when Nigerians spoke with one voice and saw things from the same point of view, today, they are a divided lot. Nigeria has become a babel, and hatred has deepened.

Many Nigerians, except those in government, agree that Nigeria is more divided today than it has ever been in its 65 years of existence.

The acclaimed social cohesion is non-existent, and the evidence is everywhere. What many Nigerians are seeing today is a nation that is being gradually driven to a precipice. People now talk about their ethnic leaning more than their Nigerianness.

People today are apprehensive about living outside their geopolitical zones; these are no signs of a progressive nation.

South Africa’s ambassador to France found dead after fall in Paris hotel

South Africa has been plunged into shock following the death of Nathi Mthethwa, its ambassador to France, who was found dead in Paris after what French authorities described as a fall from a high-rise hotel.

French daily Le Parisien reported that the 58-year-old diplomat is believed to have jumped from the 22nd floor of the Hyatt Regency Hotel in the French capital. The Paris prosecutor’s office confirmed that Mthethwa’s wife had raised the alarm after receiving a ‘worrying message’ from him on Monday evening, prompting her to report him missing.

A room registered in his name was later found in the hotel. According to investigators, its security window had been forced open. The circumstances of his death remain unclear, and French prosecutors have opened an inquiry. A duty magistrate was dispatched to the scene on Monday night, while the city’s Brigade for the Repression of Personal Crime, part of the judicial police, has taken over the investigation.

Ronald Lamola, South Africa’s foreign minister, described Mthethwa as a ‘distinguished servant of the nation,’ saying his death was not only a personal tragedy but ‘a national loss’ that would be felt within the diplomatic community.

Mthethwa had been appointed ambassador to Paris in December 2023 and also served as South Africa’s permanent delegate to UNESCO. His political career stretched back decades: he chaired parliament’s committee on mines and energy from 2004 to 2008, later becoming police minister, and subsequently sports, arts, and culture minister.

He was a prominent figure within the African National Congress (ANC), the party that brought an end to apartheid under Nelson Mandela in 1994. He was also known as a close ally of former president Jacob Zuma and was implicated in the state capture inquiry, which investigated systemic corruption during Zuma’s administration.

News of his sudden death has rippled through South Africa’s political and diplomatic circles. Mthethwa was widely regarded as a seasoned politician, and while his career was not without controversy, he remained a central figure in the ANC and in government for over two decades.

The details surrounding his final hours remain uncertain. French investigators have yet to confirm whether foul play was involved, stressing that all lines of inquiry remain open.

Nigeria, EU hold inaugural trade, investment dialogue

Nigerian Senior Government officials and the European Union (EU) on Tuesday held a meeting to assess existing vibrant economic partnership, to chart a way forward.

The EU bloc made this known in a statement by Modestus Chukwulaka, the Press and Information Officer of the EU Embassy in Abuja.

According to Chukwulaka, the inaugural Nigeria-EU Senior Officials Trade and investment Dialogue (TID) was anchored by Amb. Nura Rimi, the Permanent Secretary, Ministry of Industry, Trade and Investment.

He said that Jumoke Oduwole, the Minister of Industry, Trade and Investments, and Gautier Mignot, the EU Ambassador to Nigeria and ECOWAS, welcomed the launch of the Dialogue.

According to him, the senior officials’ meeting marks an important step in strengthening the trade and investment partnership between the EU and Nigeria.

‘It provided opportunity for the officials to exchange views on areas of mutual interest; address potential challenges and explore opportunities for further collaboration.’

Chukwulaka said that the discussions at the meeting focused on a range of issues, including trade and investment policy, cooperation on market access barriers and requirements.

He said that preferential trade and investment arrangements and collaboration within the World Trade Organisation (WTO), regulatory measures could impact trade and investment.

‘The highpoint of the meeting was that both sides expressed their interest to continue the dialogue, with the second TID billed to take place in Brussels, Belgium, in 2026, on a date to be jointly decided.’

How airport insurance works

Recently, the Federal Airports Authority of Nigeria (FAAN) faced criticism for allegedly lacking insurance coverage for federal government-managed airports.

Edward Boyo, founder and CEO of Overland Airways, publicly expressed concerns at an industry event, stating that FAAN’s failure to insure airports across the country exposes airline operators’ equipment to potential damage.

Boyo urged the National Insurance Commission (NAICOM) to engage with relevant authorities to ensure that all airports in Nigeria are properly insured, lamenting that poor airport infrastructure has resulted in significant damage to aircraft, with airlines bearing the financial burden.

Boyo highlighted the need for proper insurance coverage for airports, citing issues such as inadequate wildlife control and runway deterioration, which have caused damage to aircraft. ‘These infrastructures are not insured,’ he emphasised. ‘The government would have to meet its own responsibility.’

However, Olubunmi Kuku, managing director of FAAN, debunked Boyo’s claims, stressing that all federal government’s airports managed by FAAN are insured, with the insurance coverage up to date.

‘Derubberization and runway hygiene have been maintained; records are available. The only area I would concur is habitation and community issues that have impacted wildlife/bird strikes, and we have been working closely with relevant stakeholders to control,’ she stated.

According to Kuku, historical runway issues based on structural and engineering problems on some of the runways, along with those exceeding their lifespan, are being corrected gradually with complete overhauls and maintenance.

Some stakeholders have raised concerns about why airlines still pay substantial sums of money for damage resulting from poor infrastructure at the airport, such as bad runways, bird strikes, broken conveyor belts, and tight parking spaces, among others. They argue that if the airports are truly insured, FAAN should be liable for damages caused by its inefficiencies.

Insurance experts, however, clarify that airport insurance does not function in this manner as individuals and companies are responsible for insuring their own properties.

Sunny Ateba, an airline insurance expert, explained that operators and agencies have the responsibility to insure their own equipment against damages and should therefore have their own insurance coverage.

‘FAAN owns the airport terminals, so they are responsible for providing insurance to cover public liability and terminal buildings against damage,’ Ateba said.

Ateba provided an example, stating that if an airplane or moving equipment damages another plane parked on the tarmac, a third-party claim should suffice. He noted that airlines are also expected to insure their passengers in case of crashes or incidents.

‘If you rent a shop from FAAN to sell shoes, it’s your duty to insure your shoes. Similarly, if your aircraft hits the runway and the tyres are damaged, you can make claims for insurance to cover the damages, provided the aircraft is fully insured,’ the aviation expert explained.

Ado Sanusi, managing director of Aero Contractors, corroborated this view, stating that when airline operators insure their equipment, any damage would be covered by the insurance company.

‘If I insure my airplane and damage it due to poor infrastructure, my insurance company would cover the damage. Insurance is a stabilising factor in everyone’s business, and everyone is expected to insure their properties,’ Sanusi emphasised.

He added that FAAN’s insurance coverage does not extend to individual airline operators’ equipment, and each party is responsible for insuring their respective assets.

‘As FAAN insures its assets, so do the airlines, vendors, ground handlers, and airline operators,’ Sanusi concluded.

Social Listening 1 October 2025

Social media has become deeply involved in debates and disagreements surrounding the imbroglio between PENGASSAN and the Dangote Refinery. While some support PENGASSAN, citing the right to free association and assembly, others argue for the refinery’s economic contributions.

Until PENGASSAN’s threat and directive to its members in seven firms to withhold essential feedstock from the refinery.

People now reference Abacha’s proscription of PENGASSAN on 18 August 1994. They also mention laws they suggest the president utilise to resolve the conflict.

The Nigerian Trade Disputes (Essential Services) Act of 1976 grants the President power to proscribe trade unions or associations in essential services that engage in disruptive activities or fail to follow dispute settlement procedures. Key provisions include the power to refer disputes to an Industrial Arbitration Panel, penalties for disrupting the economy, restrictions on forming new unions after a proscription, and the forfeiture of property and cancellation of registration for proscribed unions. Officials of proscribed unions face permanent barring from leadership positions.

Key Provisions:

Power to Proscribe Unions: The President can order the proscription (dissolution) of any trade union or association whose members work in an essential service if they are involved in industrial unrest or actions that disrupt such services.

Referral to Industrial Arbitration Panel: The Act permits the special referral of trade disputes in essential services to an Industrial Arbitration Panel for resolution.

Penalties for Disruptive Acts: There are penalties for acts calculated to disrupt the economy or the smooth functioning of essential services.

Restrictions on Proscribed Organisations:

Property Forfeiture: Proscribed unions forfeit their property to the Federal Government.

Loss of Legal Status: The proscribed organisation ceases to exist.

Formation Restrictions: Members are prohibited from forming or joining another union for a period of at least six months.

Official Disqualification: Officials of a proscribed union are barred from holding leadership positions in any other union in an essential service.

Property Registration: The Act includes provisions for the registration of property and indemnity related to these disputes.

Detention: Individuals involved in acts prejudicial to industrial peace after a union’s proscription may face indefinite detention.

Comrade Festus Osifo, national president of PENGASSAN

Ramifications and implications of the PENGASSAN versus Dangote Refinery conflict

The dispute between the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and the Dangote Petroleum Refinery has escalated into a major crisis with immediate nationwide consequences. The federal government has stepped in to mediate, aiming to prevent severe economic disruption and energy shortages.

PENGASSAN’s Position

a. Dismissal of over 800 workers for joining the union, violating constitutional rights to freedom of association.

b. Accuses the refinery of replacing Nigerian workers with foreigners and providing poor working conditions.

c. Nationwide strike; directive to cut off crude oil and gas supplies to the refinery.

Dangote Refinery’s Position

a. A ‘minimal number’ of staff were let go during an internal reorganisation to improve safety and efficiency, denying that it was due to union membership.

b. Union’s actions are ‘lawless,’ ‘economic sabotage,’ and ‘terror tactics’.

c. Accuses PENGASSAN of a history of sabotaging national projects and serving the interests of its leaders over Nigerian workers.

Immediate National Implications

The strike actions have moved beyond the refinery’s gates and are now affecting the broader Nigerian economy and populace.

Operational Shutdown: The Dangote Refinery has reportedly been ‘100 per cent shut down,’ and operations at its fertiliser plant have also been significantly halted. The union has also directed its members across all oil and gas installations to go on strike.

Threats to Fuel and Power Supply:

Fuel Crisis: The disruption risks a return of fuel scarcity. The refinery has been supplying an estimated 17 million litres of fuel daily to the Nigerian market; cutting this supply could spark a 32% shortage and drive up prices.

Electricity Instability: The Nigerian Independent System Operator (NISO) has warned that the dispute poses a serious risk to the national grid. As the grid relies heavily on gas-fired power plants, any sustained disruption to gas supply could lead to widespread blackouts.

Severe Economic Loss: Nigeria risks a daily loss of $110.8 million in crude oil export revenue and an estimated N14.7 billion in domestic losses, exacerbating existing economic pressures.

Alhaji Aliko Dangote, founder and CEO, Dangote Refinery

Government Intervention and Legal Context

The federal government is taking urgent action to mediate the dispute and prevent a national emergency.

High-Level Mediation: The Minister of Finance, Wale Edun, chaired a meeting of a steering committee to address the issue, reaffirming the government’s commitment to the naira-for-crude policy and energy security. Separately, the Minister of Labour, Muhammad Dingyadi, has appealed to PENGASSAN to suspend the strike and has called for a conciliation meeting with both parties.

Broader Labour Movement Stance: The Trade Union Congress (TUC), an apex labour centre to which PENGASSAN is affiliated, has condemned the refinery’s actions. The TUC has demanded the immediate reinstatement of the workers and has placed its affiliates on ‘red alert,’ signalling readiness for a wider industrial action if its demands are ignored.

Legal Perspectives: A public interest lawyer analysed that while the dismissal of workers for joining a union ‘falls short of the provided constitutional safeguards,’ PENGASSAN’s directive to cut off supplies might itself be unlawful as it affects ‘essential services,’ which requires a 15-day notice for industrial action.

What to Watch For

The situation remains fluid. The key developments that will determine the outcome are:

The result of the conciliation meeting called by the Minister of Labour.

Whether PENGASSAN will heed the government’s appeal to suspend the strike to allow for dialogue.

Whether Dangote Refinery shows flexibility regarding the reinstatement of the dismissed workers.

Deeper Dive: The Legal and Constitutional Tension

The conflict lies at the intersection of constitutional rights, labour laws, and national economic security, creating a complex legal landscape.

The Core Legal Violation: PENGASSAN’s main argument is that dismissing workers for unionising violates Section 40 of the Nigerian Constitution (1999, as amended), which guarantees the right to freedom of association and assembly. Additionally, it breaches Sections 9(1) and 12(1) of the Trade Unions Act, which safeguard workers from victimisation for joining a union.

PENGASSAN’s ‘Nuclear Option’ – A Legal Grey Area: While Dangote Refinery labels the directive to cut off crude supply as ‘economic sabotage,’

PENGASSAN’s action is a classic, if extreme, form of sympathy or solidarity strike. The legality of this is murky:

Against PENGASSAN: The refinery could be classified as an ‘essential service,’ and the Trade Disputes Act requires a 15-day notice before industrial action in such sectors. By acting immediately, PENGASSAN may have technically acted outside the strict letter of the law.

For PENGASSAN: Unions argue that the right to strike is a fundamental corollary to the right to associate. By allegedly engaging in mass anti-union dismissals, Dangote Refinery is perceived as having provoked an unprecedented situation that demands an equally unprecedented response, justifying immediate and widespread action to protect the very existence of union representation within the critical refinery.

The legal battle, if it proceeds to the National Industrial Court, will likely centre on balancing the company’s operational prerogatives against the fundamental rights of workers to organise.

A Pivotal Moment for Nigerian Industry

The PENGASSAN vs. Dangote dispute is more than just a labour disagreement. It serves as a crucial test case for Nigeria’s goal to shift from a crude oil exporter to a refined products powerhouse.

The resolution will set a critical precedent on several fronts:

1. The Power of Labour: It will define the limits of union influence in the ‘new’ Nigerian oil industry, which is controlled by private entities such as Dangote.

2. Investor Confidence: The balance between protecting workers and ensuring operational stability will be a key factor for future investments, both foreign and domestic.

3. Governance: It assesses the government’s capacity to mediate complex disputes without resorting to heavy-handed force that might escalate tensions.

The central conflict is between the ‘right to manage’ claimed by a private enterprise and the ‘right to organise’ claimed by labour. How this conflict is resolved will influence every major industrial project in Nigeria for years to come.

Nigeria at 65: Keem Abdul reflects on Buhari’s legacy and Tinubu’s journey in two landmark books

As Nigeria celebrates 65 years of independence, writer and social commentator Keem Abdul offers a timely reflection on leadership and democracy through two books that examine the country’s most recent presidents.

Together, the works provide a thoughtful look at the past and present, inviting Nigerians to consider the lessons of leadership as the nation charts its future.

In Scorched Earth: Anatomy of the Buhari Years (2015-2023), Abdul explores the life and presidency of Muhammadu Buhari, from his days as a military ruler to his two terms as a democratically elected president.

The book reflects on Buhari’s reputation for integrity, the challenges he faced while in office, and the lessons his leadership leaves behind.

Abdul writes: ‘The story of Buhari is the story of a man who became the symbol of integrity in Nigeria, but whose government eventually became a byword for competence tested by enormous national challenges.’ (p. 9)

He adds: ‘The Buhari years will be remembered not only for the change they promised, but for the lessons they leave behind for a country still seeking its democratic balance.’ (p. 313)

While Scorched Earth looks back, Abdul’s The King Maker: Chronicle of a Roller Coaster Life turns to the present. This volume follows Bola Ahmed Tinubu’s remarkable journey from his early years and career abroad, to his achievements as Governor of Lagos State, and his pivotal role in building political coalitions that led him to the presidency.

It highlights Tinubu’s resilience and strategic brilliance, while also addressing the controversies that have accompanied his career.

The book observes: ‘Tinubu’s genius lies not only in winning power for himself but in constructing platforms that made others possible.’ (p. 12) It concludes:

‘The question now before Nigerians is whether the skills that brought Tinubu to power are the same ones that can

rescue a fragile Republic.’ (p. 280)

Taken together, the two books form a companion study of leadership at a defining moment in Nigeria’s history.

Buhari’s years in office serve as a reflection on service and the weight of expectations, while Tinubu’s ongoing story raises questions about the future of governance and the meaning of political mastery in a young democracy.

Keem Abdul, the author of both works, is a Nigerian writer and social commentator who focuses on politics, governance, and society.

His books are not written in the language of praise or attack, but as chronicles that encourage Nigerians to reflect deeply on their leaders and on the

Republic itself.

Scorched Earth: Anatomy of the Buhari Years (2015-2023) and The King Maker: Chronicle of a Roller Coaster Life are both available on Mainstack and Selar.

Bolaji Balogun shares strategies for starting, scaling a business

Bolaji Balogun, CEO of Chapel Hill Denham, has shared strategic guidance for entrepreneurs aiming to build sustainable businesses in Nigeria and Africa.

He presented the growth strategies at a recent Worldwide Alumni Celebration of the London Business School (LBS), Nigeria chapter in Lagos, themed ‘Africa’s Builders: What it takes to start, grow and scale.’

He noted that Africa’s demographic advantage lies in its rapidly growing young population, which he says can boost economic growth by creating wealth through entrepreneurship.

Balogun shared the insights based on his 35 years of inspiring entrepreneurial journey and working with other successful entrepreneurs who built from scratch to big conglomerates on the continent.

In starting a business, he advised start-ups to have a big vision, clarity about the unique problems they intend to solve, discipline, financial prudence, and lots of experience.’

‘You must have a big vision and be clear about the problems you are solving when starting a business,’ he said.

‘The other thing that you’ll find common is that you need tremendous discipline around consistency in execution. It’s about financial prudence, operational rigour, and you will also need a lot of courage when you start,’ he explained.

He emphasized that starting a business requires experience, urging start-ups to have working experience before launching into entrepreneurship.

‘Experience is important as it helps you learn the business and the fundamentals properly. It helps you understand the structure, margins, customers and markets and how brands are built,’ he said.

In growing a business, Balogun says that growing a business in Africa requires the ability to identify, hire, and retain high-quality people over a long period. He noted that aggression is needed to grow any business, saying, ‘When you look at the entrepreneurs that have succeeded around here, they all have a mean streak around them, whether it’s Aliko, or Aigboje and the late Herbert of Access Bank, or Tony of UBA. Every single person who has built something here invariably has a bit of aggression.’

‘If you don’t have a bit of aggression, go home. Aggression is necessary for three simple reasons. It’s about the ability to make decisions quickly.’

‘It’s about the ability to process a lot of information and be clear-minded through that process and to be able to make the right decisions quickly.’

He stressed that having aggression ensures not making a mistake because it provides the ability to pivot when necessary and the swiftness to react to opportunities that are available all the time.

He urged startups to establish structures that promote accountability, transparency, ethics, and governance discipline.

In scaling a business, Balogun says the business must have had a significant community impact and now be focused on a broader stakeholder community.

He urged entrepreneurs who want to scale their businesses to ensure that their corporate governance is stronger, they understand the power of the capital market, they understand sustainability, increase employee training, reinvest in the business, think long-term, and continue the quest for excellence.

The event also included a panel discussion on what it takes to build a regional and continental business in Africa and practical advice on how to grow and scale businesses successfully was offered.

The panelists include: Adedotun Sulaiman, chairman, Parthian Partners Ltd; Roosevelt Ogbonna, group managing director, Access Bank; Kathleen O’Connor, clinical professor, LBS and Olumide Soyombo, co-founder, Bluechip Technologies and Voltron Capital. It was moderated by Rolake Akinkugbe-Filani, CEO, EnergyInc Advisors.