The Nigeria Export Processing Zones Authority (NEPZA) has warned the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) that it risks a 10-year ban from Free Trade Zones following last week’s shutdown of Dangote Refinery facilities.

Dr. Olufemi Ogunyemi, NEPZA’s Managing Director, made the declaration in Abuja, stressing that repeated external union interference has disrupted operations at the refinery, a designated Free Trade Zone (FTZ).

“The NEPZA Act, Section 18(5), clearly prohibits strikes and lockouts for ten years after operations commence within a zone, and mandates that all trade disputes must be resolved by the Authority,” Ogunyemi said.

The shutdown arose from PENGASSAN’s protest against the alleged sacking of 800 workers at Dangote Refinery. The refinery, however, insisted that only a few staff were dismissed for sabotage as part of a company reorganization.

Ogunyemi emphasized that trade disputes within FTZs must be referred to NEPZA, which operates a “one-stop-shop” administrative model to resolve conflicts swiftly. He also clarified that while workers are free to join unions and engage in collective bargaining, strikes and lockouts are strictly prohibited in Free Zones.

Citing Section 24(1) of the NEPZA Act, he warned that external laws cannot override the Authority’s rules, adding that in cases of conflict between the Trade Unions Act or Trade Disputes Act and Section 18(5), NEPZA’s provisions take precedence.

The NEPZA boss commended President Bola Ahmed Tinubu for swiftly intervening to de-escalate the dispute, ensuring minimal disruption to the economy. “Labour issues, when properly managed, can drive industrialization. The prompt resolution shows a maturing democracy,” he said.

Dangote Refinery remains a critical FTZ, enjoying tax incentives and customs duty waivers to boost industrial growth. NEPZA reaffirmed its commitment to enforcing the law and maintaining stability across Free Zones.