NIGERIA: NATIONAL LABOR STRIKE - SITREP #4

UNCLAS SECTION 01 OF 03 ABUJA 001326 SIPDIS SENSITIVE SIPDIS DEPT FOR DRL, AF/W PLEASE PASS USTR FOR AGAMA DOL FOR SUDHA DALEY DOE FOR CAROLYN GAY DOC FOR 3317/ITA/OA/KBURRESS TREASURY FOR DAN PETERS E.O. 12958: N/A TAGS: PGOV ELAB PREL PHUM ENRG ASEC NI SUBJECT: NIGERIA: NATIONAL LABOR STRIKE - SITREP #4 REF: A. ABUJA 1319 ¶B. ABUJA 1317 ¶C. ABUJA 1303 ¶D. ABUJA 1302 ¶E. ABUJA 1294 ¶F. ABUJA 1278 ¶G. ABUJA 1155 ABUJA 00001326 001.2 OF 003 THIS MESSAGE IS SENSITIVE BUT UNCLASSIFIED. NOT FOR INTERNET DISTRIBUTION. ¶1. SUMMARY. (SBU) As Nigeria enters Day Three of the national labor strike, fuel availability and transportation remain critical problems. Though the strike remains peaceful, road blocks (some set up by labor sympathizers and others by groups of hoodlums) have been reported in Jos, Gombe, Kano and Lagos. Labor activists reportedly "enforcing the strike" were arrested and later released in Enugu. Oil production and exports remain largely unaffected by the strike, as essential and management personnel take over operations. International airline travel remains on schedule and some domestic flights are operational. Negotiations between the GON and labor leaders ended in the early morning hours of June 22 with the two sides still in deadlock -- and labor increasing their demands to include a GON promise not to raise fuel prices for one year. END SUMMARY. STATUS OF NEGOTIATIONS -------------- ¶2. (SBU) Representatives of the NLC and TUC met with GON negotiator Secretary to the Government of the Federation Babagana Kingibe until 2:30 AM on the morning of June 22. The talks ended with the labor groups storming out of the meeting room and refusing to compromise on their demands. The NLC and TUC have added the demand that the GON guarantee it will not raise the price of gas for one year (in addition to the demand that gas be returned to the 65 Naira per liter price). No formal meeting has been scheduled for June 22, but informal discussions continue between both sides. ¶3. (SBU) Following the negotiating session, Kingibe told reporters the unwillingness of the labor groups to compromise was the sole reason the strike continues. According to Kingibe, the GON will enforce labor laws, which guarantee freedom of movement and transportation and the right of workers desiring to report to work during the strike to do so. In addition, Kingibe noted that the GON will focus on providing security to gas stations and depots to ensure that the fuel shortage is resolved. For its part, the National Labor Congress (NLC) and Trade Union Congress (TUC) have promised to pull the electrical workers into the strike and effect a blackout if their demands are not met. EFFECTS OF THE STRIKE -------------- ¶4. (SBU) Petroleum production and exports remain largely unaffected. AGIP reports that "everyone is working" and that the company's Brass terminal expects to load a tanker due to arrive today. ExxonMobil reported essential services continue to operate as normal, as does the company's Qua Iboe export terminal (strictly protect). Post remains unable to confirm the status of Chevron and Shell's operations. ¶5. (SBU) International airline travel into and out of Abuja and Lagos is running on schedule and a few domestic Virgin Nigeria flights ran between the two cities on June 21 and 22. Domestic carrier Arik Air is grounded, although it is unclear whether this grounding is a result of a pre-existing fuel shortage or the strike. Post Management Staff has been told that international flights are arriving fully loaded ABUJA 00001326 002.2 OF 003 with fuel in order to avoid the need to refuel in Nigeria. REPORTS FROM AROUND NIGERIA -------------- ¶6. (SBU) ABUJA: Traffic remains much lighter than normal and fuel lines are longer than they have been in previous days. Several fuel stations within the city center are open and have fuel; however, LES staff report stations outside the city center are closed due to lack of fuel. Fuel shortages had a noticeable impact on attendance at the National Mosque on Friday afternoon. Although normally teaming with cars and busloads of worshipers, only a few cars and individuals on foot were present. Grocery stores frequented by expats have reopened and, though still much fewer than normal, there appear to be some van-transport vehicles on the road. Medical personnel at the Abuja City Hospital have joined the strike, with a small core staff seeing only life-or-death emergency cases. Embassy Abuja reports at least one contractor, the local moving company with which we work, that has been on strike all week but agreed to bring its workers in on Saturday to conduct pack-outs. According to the company's representatives, its possible to use unmarked trucks on weekends that won't draw the attention of the labor groups. No violence has been reported in the Abuja Federal Capital Territory (FCT). Police report they have deployed 7,000 officers to stratgeic locations around the FCT to ensure security. ¶7. (SBU) LAGOS: The Ambassador, upon making the 2-hour drive from the airport to ConGen Lagos in under 20 minutes, described Lagos as completely shut down. There was a clash, confirmed by RSO, between police and "area boys" near the Oblinda market; however, it was quickly brought under control. (NOTE: Such clashes are not unusual and this is not necessarily related to the strike.) Press has reported that tear gas was used at one barricaded street in Lagos to disperse the crowd. ¶8. (SBU) ENUGU (Enugu State): Police arrested tha NLC State Chairman and 45 labor activists for "enforcing compliance" with the strike at the main city market. (COMMENT: The exact tone of this "enforcement" is unclear at this time; however, the press report stated the interchange was peaceful.) The individuals were later released. Government offices, banks, schools and universities were reported closed; however, there were reports of banks and other businesses conducting back-door transactions. ¶9. (SBU) AKURE (Ondo State): Post has received conflicting reports that businesses and banks are open as usual and that all offices are closed. Press reports all filling stations in the city are closed and without fuel. ¶10. (SBU) ILORIN (Kwara State): The State House of Assembly was closed and screening of state commissioners (set for June 21) was postponed until after the strike. The State Elections Tribunal was also closed. ¶11. (SBU) KADUNA (Kaduna State): Okada riders (commercial motorcycle riders who ferry passengers and merchandise) took to the streets protesting the fuel price hike. Black market gas prices were reported at 1,000 Naira per gallon (7.75 USD per gallon). ¶12. (SBU) MINNA (Niger State): Press reports relatives removed patients from local hospitals as the strike left many without medical personnel and caregivers. ¶13. (SBU) LAKOJA (Kogi State): Teachers, who had kept schools open on June 20, joined the strike on June 21. Filling stations either closed or had long lines as fuel shortages became worse. As a result of fuel scarcity, the cost of ABUJA 00001326 003.2 OF 003 okada transport more than doubled. ¶14. (SBU) SOKOTO (Sokoto State): The strike is only being partially observed in Sokoto State. There are reports that no one is attempting to enforce or encourage the strike. Banks are reportedly closed; however, government offices, schools and other businesses are open. Due to fuel shortages, gas stations raised their price to 105 - 120 Naira per liter (3 - 3.50 USD per gallon). ¶15. (SBU) JOS (Plateau State): Government offices and banks were reported closed, while other commercial establishments and commercial transport drivers were reportedly operating. Press reports that hoodlums blocked roads in town; however, police were able to reopen the routes. ¶16. (SBU) LAFIA (Nasarawa State): Labor groups held peaceful protests on June 21 in the capital. The groups attempted to call on the governor, but were turned back. ¶17. (SBU) WARRI (Delta State): Observance of the strike was only partial. Some government offices did not open, but some banks and most commercial activities conducted usual operations. In Warri itself, gas was reportedly only available on the black market -- at a cost of more than 150 Naira per liter (4.40 USD per gallon). Security around Warri was reportedly higher and more visible than normal. ¶18. (SBU) BAUCHI (Bauchi State): Government offices were closed, with the exception of the Governor's office where operations went on as normal. Junior workers at the state media companies joined the strike and press operations were carried out by management staff. ¶19. (SBU) AWKA (Anambra State): According to the Obi of Onitsha, the supreme traditional ruler of Anambra State, business is going on "as usual" in the state. Schools, hospitals, banks and businesses are all open and conducting business. Government offices in Awka are closed. EFFECT ON MISSION NIGERIA -------------- ¶20. (SBU) Mission Nigeria will continue to restrict discretionary domestic air travel, but will facilitate international travel and those returning home. All non-essential road travel outside of Abuja or Lagos is restricted. Control officers have been instructed to inform incoming TDY personnel that may have planned to travel outside of Abuja or Lagos of these new travel restrictions. The Mission has sufficient fuel available to continue normal operations. LES staff are thus far able to travel to and from work without problem and Post is allowing LES staff to refuel on a limited basis at our fuel pumps. The local bank with which the Embassy works is open for "special customers" and Embassy Abuja continues to receive necessary cash. The ATM machine in the lobby used by our LES staff was refilled on June 21. CAMPBELL