Nigeria NLC leader says Nov 16 fuel strike

Nigeria NLC leader says Nov 16 fuel strike

will halt oil exports

Paris (Platts)--3Nov2004


Nigerian workers will disrupt the country's key oil exports and production
when they launch an indefinite general strike on Nov 16, the country's top
labor leader warned Wednesday. "The last time, we did not allow the strike to
affect the exports. But now we think disrupting oil exports is the only way
the government will realize that the people are really angry. That is why this
time around, the oil sector will be affected," Adams Oshiomhole, leader of the
umbrella Nigeria Labour Congress (NLC), told Platts. Previous general strikes,
including last month's four-day stoppage, have not had a great impact on the
flow of crude from OPEC member Nigeria, which is Africa's largest oil
producer. But news that the strikers, which have been called to protest a 25%
hike in retail fuel prices, intend to target exports will send tremors through
jittery international oil markets with prices hovering above the $52/bbl mark.

Oshiomhole criticized the government for failing to adopt recommendations made
by a committee set up by President Olusegun Obasanjo to discuss ways of
cushioning the effect of rising fuel prices and said that there was little
chance of the strike being called off. "The government rejected the
recommendation of the committee set up by stakeholders to find a solution. So
our position now is that the strike is on," he said, adding that it will carry
on until the government reversed its decision to hike fuel prices by 25% in
September. On Sep 23, retail pump prices rose about 25% to Naira 53/liter (40
cts/liter), the latest in a series of major increases since October 2003, when
Obasanjo abandoned all fuel subsidies as part of deregulation of the
downstream sector. Apart from setting up the committee, which is made up of
union members and industry stakeholders, Obasanjo has shown no signs of being
willing to bow to the unions' demand.

Oshiomhole said leaders of two key oil worker unions, Pengassan and Nupeng,
were participating in the strike. "It was a collective responsibility. We all
agreed to fight for it because they too are feeling the pinch of the increase
and the hardships of the Nigerian people," he said. Earlier Wednesday, as many
as 2,000 members converged for the first of several protests planned in the
build-up to the Nov 16 stoppage on the streets of Lagos. Oshiomhole said he
was "very pleased" with the turnout, noting that more rallies were being
planned in other parts of the country before Nov 16. "We expect everybody to
comply with the order to go on strike," he said. "We don't expect people to
cross the picket line because it will be of no use for people to behave as if
the feelings of the majority of Nigerians don't count. We have tried to avoid
disrupting the oil sector, but it is just that we have a government that is
extremely difficult."

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