Federal Government Projects N880 Billion Annual Budget for Road Maintenance

The Federal Government of Nigeria estimates that it needs about N880 billion each year to maintain the federal road network. Minister of State for Works, Mohammed Goroyo, made this statement during an investigative hearing by the House of Representatives Ad-Hoc Committee in Abuja.

Budget allocations for road maintenance have consistently fallen short. In 2023, the government allocated only N76.3 billion, followed by N103.3 billion in 2024. For 2025, the budget increases to N168.9 billion, but these amounts remain well below the N880 billion required for proper maintenance.

This funding gap has forced the Federal Roads Maintenance Agency (FERMA) to react to problems rather than prevent them. As a result, road conditions have deteriorated, leading to higher repair costs and longer delays for commuters and businesses. The Minister emphasized the need to implement a five percent user charge on petroleum products, which would provide a reliable funding source for road maintenance. However, the government has not effectively enforced this charge, limiting FERMA’s access to necessary funds.

Goroyo stressed the importance of a proactive strategy backed by adequate funding to ensure safe roadways. He noted that timely implementation of the user charge is crucial to closing the financial gap. President Bola Tinubu’s administration aims to deliver world-class infrastructure that promotes economic growth and improves citizens’ lives. The Minister reiterated that maintaining roads is a national priority. As the investigation continues, the House of Representatives plans to address issues with the user charge and ensure compliance with existing laws to enhance Nigeria’s road infrastructure.