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Home»Energy»NCC, IHS Seek Urgent Resolution To Diesel Supply Dispute
Energy

NCC, IHS Seek Urgent Resolution To Diesel Supply Dispute

Tanko LamiBy Tanko LamiAugust 9, 20253 Mins Read
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ABUJA, Nigeria (VOICE OF NAIJA)-Nigeria’s telecom regulator and IHS Towers are working to resolve a diesel supply blockade by oil sector unions, a standoff that could disrupt mobile phone services for millions in Africa’s most populous nation.

IHS, which manages over 16,000 base stations for MTN, Airtel, Globacom and 9mobile, said the matter is already before the courts and declined to provide further details.

According to a statement on Friday, the company said, “We have, in the meantime, made formal reports to the Nigeria Communications Commission and relevant security agencies, and we are working with them towards a resolution of the ongoing matter.”

The crisis began on Tuesday when members of the Nigerian Union of Petroleum and Natural Gas Workers and the Natural Oil and Gas Suppliers Association of Nigeria blocked access to key diesel depots in Lagos, Kaduna, and Koko in Delta State. The move disrupted fuel supply to thousands of telecom sites operated by IHS Towers.

The blockade was prompted by IHS’s allegations that two companies linked to NOGASA were involved in diesel theft. Although the investigation is ongoing, union members have suspended diesel deliveries.

With unreliable grid power, telecom operators depend heavily on diesel-powered generators to keep towers running a prolonged shortage could threaten voice and data services in Nigeria’s $75bn telecom sector.

READ ALSO: Nigerians Petition NCC, FCCPC Over Rising Data Consumption Concerns

On Thursday, the Chairman of the Association of Licensed Telecommunications Operators of Nigeria, Gbenga Adebayo, urged the unions to address disputes through legal and contractual processes, warning that any prolonged disruption to telecom services could have severe economic and security consequences.

 “While ALTON does not interfere in disputes between its members and third parties, we are gravely concerned about the wider implications of this action on national infrastructure and public safety,” he stated.

IHS reaffirmed its dedication to “keeping Nigeria’s critical information infrastructure running and providing customers with strong network uptime” despite the dispute.

Under Nigerian law, telecom facilities are designated as Critical National Information Infrastructure, meaning deliberate disruption could result in penalties.

Nigeria’s telecom industry consumes over 40 million litres of diesel monthly, with annual spending topping $350bn, according to industry estimates.

Rural and off-grid sites face costs about 37 per cent higher due to heavier diesel reliance.

To cut expenses and lower carbon emissions, operators such as Airtel and MTN are adopting hybrid power systems that combine solar panels with lithium batteries.

The NCC and GSMA estimate that moving to renewables could lower operating costs by 30 to 50 per cent.

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Tanko Lami

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