The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has reiterated its long-standing demand for the Federal Government to divest a majority stake in the country's state-owned refineries by selling at least 51% equity to core investors. This call for partial privatization is aimed at enhancing operational efficiency and commercial viability, a change that PENGASSAN believes is essential given the persistent challenges faced by government-operated refineries.

Festus Osifo, the National President of PENGASSAN and the Trade Union Congress, highlighted the importance of adopting the Nigeria LNG model where the government retains a minority share as a way to ensure better management and investment in the refineries. He emphasized that government ownership has historically hindered these refineries' ability to operate efficiently, suggesting that bringing in core investors could transform the sector. The union has been advocating for such measures for nearly two decades, illustrating its ongoing concern for the future of Nigeria's refining capacity.

The implications of PENGASSAN's proposal could be significant for Nigeria's energy sector and economy. By divesting a substantial stake in the refineries, the government might not only improve their operational performance but also attract investments necessary for upgrading infrastructure and technology. As the nation grapples with ongoing energy supply issues, this model could serve as a blueprint for revitalizing the sector while reducing the financial burden on the government. However, the transition would also require careful consideration of regulatory frameworks and the interests of various stakeholders.