[OUTST] Petrol Station Workers Strike Over AA Rano's Unmanned Fuel Stations
Workers at petrol stations across Nigeria have launched a nationwide strike, protesting against the introduction of unmanned fuel stations by AA Rano. The industrial action began on Monday, causing disruptions in fuel supply and long queues at filling stations.
Background
The Nigerian National Petroleum Corporation (NNPC) announced in 2021 that it would phase out manual fuel stations in favor of automated systems to improve efficiency and reduce theft. AA Rano, a major oil marketing company, began implementing unmanned stations in major cities, including Lagos, Abuja, and Port Harcourt, in early 2023. The move was part of a broader push towards digitalization in the oil sector.
Workers' unions argue that the transition to unmanned stations will lead to job losses and violate labor laws. The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has also expressed concerns about the safety and reliability of automated fuel stations, particularly in areas with frequent power outages.
Key Developments
In February 2024, AA Rano announced plans to convert 50 of its over 300 fuel stations into unmanned facilities by the end of the year. The company cited cost savings and reduced human error as key benefits of the new system. However, workers' unions have accused AA Rano of bypassing negotiations and ignoring their concerns.
On March 1, 2024, the National Union of Petroleum and Gas Workers (NUPENG) and the Petroleum and Natural Gas Senior Staff Association (PENGASSAN) issued a joint statement declaring a nationwide strike if the company did not halt the unmanned stations project. The strike began on March 15, with workers picketing major AA Rano stations in Lagos, Abuja, and Kano.
Impact
The strike has led to fuel shortages in several cities, with long queues forming at remaining manned stations. Motorists and commercial drivers have expressed frustration over the delays, while businesses relying on fuel for operations are facing disruptions. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has called for an immediate resolution to the crisis to avoid further economic damage.
Workers fear that the adoption of unmanned stations could result in the loss of thousands of jobs across the sector. The unions have demanded that the government intervene to ensure that the transition is gradual and that workers' rights are protected. If unresolved, the strike could escalate, leading to a full-scale crisis in the fuel supply chain.
What Next
AA Rano has stated that it is open to negotiations but insists on proceeding with the unmanned stations project. The government has urged both parties to engage in dialogue to reach a compromise. The unions have threatened to extend the strike to other oil marketing companies if their demands are not met.
Industry analysts predict that the outcome of the strike will set a precedent for the future of fuel retailing in Nigeria. If the unions succeed in halting the project, it could delay the digitalization of the oil sector. Conversely, if AA Rano prevails, other companies may accelerate their plans to adopt unmanned stations, leading to broader job losses in the industry.
