Oil & Energy
Crisis Looms In Indorama Over Poor Welfare
Workers in Indorama, former Eleme Petrochemicals Company Limited, have threatened to down tools if the management does not address what they called the poor salary and welfare of staff of the company.
The Tide learnt that for the last three weeks, agitation by workers for improved welfare has been treated by management with a wave of the hand.
The workers, who three weeks ago wore black uniforms to work to demonstrate their rejection of newly approved monthly take home pay, said their patience was running out, and may soon down tools to register their dissatisfaction with the management decision.
But worried by the development, the management of Indorama has intensified lobby of the leaderships of both Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and National Union of Petroleum and Natural Gas Workers of Nigeria (NUPENG), as a strategy to muzzle the workers.
A reliable source told The Tide that the leaders of both unions had met at far away Calabar, the Cross River State capital, last week with the management of Indorama in a bid to resolve the issues.
According to our source, last week’s meeting brings to three the number of such meetings without any meaningful agreement on the table.
The Tide gathered that one of the major issues in contention is the disparity in salaries and the poor welfare packages between expatriate and indigenous staff of the company.
It was discovered that while the expatriate staff are paid handsome remunerations, their Nigerian counterparts with better qualifications and technical experience are given paltry sums at the end of every month.
A staff, who pleaded anonymity, told The Tide last week, that this poor salary and welfare issues against the indigenous workers was the major reason why a former managing director of the company was forced to resign following his criticism of the maltreatment and poor remunerations of the Nigerian staff.
The Tide investigations indicate that kidnappers, who abducted some workers of Indorama a few years ago, also gave poor salaries and welfare as well as maltreatment of Nigerian staff of the company as major reasons why they struck.
However, some of the workers, who spoke with The Tide, accused the NUPENG and PENGASSAN executives of conspiring with Indorama management to shortchange them, and threatened to stage a protest this week, should the management fail to heed their calls for improved welfare and enhanced salaries.
When our reporter visited Indorama last week, the worried workers were seen in groups discussing the ugly situation, and perfecting their strategy for the impending industrial action.
The workers, according to one of the union leaders, may block the main gate of the company as a means of stopping others, especially others loyal management, and visitors, from entering the premises.
Attempts to extract official positions of the executives of both unions proved abortive as they were said to be in series of meetings with representatives of the management.
A member of Indorama’s management, who pleaded anonymity, confirmed that there has been a raging disagreement between the workers and the management over salary and welfare issues, but stated that the management was doing everything possible to resolve the imbroglio.
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Oil & Energy
Power Supply Boost: FG Begins Payment Of N185bn Gas Debt
In the bid to revitalise the gas industry and stabilise power generation, President Bola Ahmed Tinubu has authorised the settlement of N185 billion in long-standing debts owed to natural gas producers.
The payment, to be executed through a royalty-offset arrangement, is expected to restore confidence among domestic and international gas suppliers who have long expressed concern about persistent indebtedness in the sector.
According to him, settling the debts is crucial to rebuilding trust between the government and gas producers, many of whom have withheld or slowed new investments due to uncertainty over payments.
Ekpo explained that improved financial stability would help revive upstream activity by accelerating exploration and production, ultimately boosting Nigeria’s gas output adding that Increased gas supply would also boost power generation and ease the long-standing electricity shortages that continue to hinder businesses across the country.
The minister noted that these gains were expected to stimulate broader economic growth, as reliable energy underpins industrialisation, job creation and competitiveness.
In his intervention, Coordinating Director of the Decade of Gas Secretariat, Ed Ubong, said the approved plan to clear gas-to-power debts sends a powerful signal of commitment from the President to address structural weaknesses across the value chain.
“This decision underlines the federal government’s determination to clear legacy liabilities and give gas producers the confidence that supplies to power generation will be honoured. It could unlock stalled projects, revive investor interest and rebuild momentum behind Nigeria’s transition to a gas-driven economy,” Ubong said.
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