The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has urged the implementation of a salary benchmark for oil and gas workers in the country.
Mr. Festus Osifo, the National President of the Union, made the call during the second edition of the PENGASSAN Energy and Labour Summit held in Abuja.
He emphasised the necessity of such a benchmark due to recent government policy changes.
These policy shifts, he said, included the removal of petroleum subsidy and the floating of the naira-dollar exchange rate, have primarily benefited the government and oil and gas companies, according to Osifo
“Part of the decisions of flotation have only benefited the government and the oil and gas companies in Nigeria.
“This has necessitated a call for a salary benchmark for oil and gas workers, aligning with the instrument of trade in oil and gas commodities.’’
He, however, said that in Angola, legislation pegged workers’ salaries in dollars and paid them the legal tender equivalent.
Usifo said the Angola template was a testament to the possibilities of safeguarding the interests of workers amidst currency fluctuations.
He added that the floating of the naira in the official market had exacerbated the challenges faced by our workers.
“We must explore innovative solutions to restore financial losses to workers by preventing undue gains to oil companies and ensuring a fair and equitable environment for all.
“PENGASSAN will do all it can to push for this just and equitable distribution across its branches.’’
Osifo, while speaking on the theme, said it was carefully chosen due to the multifaceted challenges and opportunities inherent in the energy sector.
“Over the next three days, we will engage in enlightening discussions, share insights, and formulate strategies to address critical issues such as divestment, PMS subsidy removal and the place/role of the ever-ready Nigerian workers in the oil and gas industry and its commitment value chain
“We are witnessing a significant shift in our energy landscape, marked by the divestment action of companies such as Mobile Producing Nigeria, Nigeria Agip Company, SPDC, and others,’’ he said.
On his part, Mr. Mele Kyari, Group Managing Director of NNPC Ltd., said that despite challenges, the country was already witnessing some positive outcomes from the subsidy removal.
Kyari said that most construction companies had started moving back to sites as more resources became available to execute projects.
According to him, by 2024, Nigeria will become a net exporter of refined petroleum products based on ongoing policy interventions by the present administration.
“The meaning of this is that we will have sufficient volumes in-country,
“When we refine locally, we do have advantages.
“That is by creating wealth, creating taxes, and all forms of value chain, creating employment, and so on and so forth.’’
He added that what Nigeria needed was to adjust its realities because it imported 100 percent of its production.
“No resource-dependent country does this, and that is why we must deliver on our mandate,” he said.
NAN
credit: PM News
