the House of Representatives on Monday, the Federal Government announced that an estimated N880 billion is required annually to adequately maintain Nigeria’s sprawling network of federal roads. This figure, revealed by the Minister of State for Works, Mohammed Goroyo, highlights a deepening infrastructure challenge facing the nation and exposes systemic failures in implementing a crucial revenue mechanism meant to bridge funding gaps.
The disclosure was made during an investigative hearing by the House of Representatives Ad-Hoc Committee probing the non-remittance of the statutory five per cent user charge on petroleum products designated for road maintenance, as stipulated in the FERMA Amendment Act of 2007.
According to Goroyo, the Federal Road Maintenance Agency (FERMA) needs the annual N880bn to maintain optimal road conditions across the country. However, actual budgetary allocations have consistently fallen short. FERMA received only N76.3bn in 2023, N103.3bn in 2024, and N168.9bn in the 2025 budget. While these figures reflect a gradual increase, they remain drastically below the threshold needed for sustainable maintenance.
“This persistent funding shortfall has pushed FERMA into a reactive maintenance model, rather than a preventive one,” Goroyo said. “The consequences are evident in our deteriorating road conditions, higher repair costs, and prolonged traffic disruptions affecting both commuters and businesses.”
He stressed the need for a proactive funding strategy, emphasizing that the proper and timely implementation of the five per cent user charge could provide a consistent and independent stream of funding. This would help Nigeria move away from over-reliance on fluctuating annual budgetary allocations and enable long-term infrastructure planning.
Adding his voice, FERMA’s Managing Director, Chukwuemeka Abbasi, expressed concern over the longstanding failure to operationalize the road user charge. He revealed that although the law was enacted in 2007, it was never enforced by the now-defunct Petroleum Product Pricing Regulatory Authority (PPPRA), which has since been replaced by the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
Abbasi noted that under President Bola Tinubu’s Renewed Hope Agenda, the Ministry of Works is committed to delivering high-quality infrastructure that enhances economic growth and national connectivity. However, he warned that without sustainable financing, such goals will remain aspirational.
“Our roads are not just transportation corridors; they are the arteries of economic life,” Abbasi said. “The five per cent user charge was conceived as a lifeline for road rehabilitation and maintenance, but chronic underfunding has hindered FERMA’s effectiveness.”
Opening the investigative hearing, Speaker of the House of Representatives, Tajudeen Abbas, emphasized the constitutional duty of the legislature to ensure that laws are faithfully implemented. He cited Sections 88 and 89 of the 1999 Constitution (as amended), which empower the National Assembly to conduct investigations in the public interest.
“The House is determined to uncover the reasons behind the non-remittance of the user charge and identify those responsible for the violation of the law,” Abbas declared. “This is not merely an oversight; it is a breach of a statutory responsibility that has cost Nigeria dearly in terms of road safety and economic productivity.”
The Chairman of the Ad-Hoc Committee, Francis Waive, who also chairs the House Committee on Rules and Business, clarified that the investigation is not about introducing new charges or altering the law, but rather about enforcing what already exists.
“This user charge has been law since 2007. The fact that it was ignored for nearly two decades is unacceptable,” Waive stated. “We are here to correct that and ensure such lapses are never repeated.”
The ongoing probe brings to light the broader issue of infrastructure financing in Nigeria. Poor roads are often linked to high transportation costs, increased vehicle maintenance expenses, and heightened insecurity, particularly in remote regions. Experts have long argued that effective road maintenance can significantly boost productivity, reduce travel times, and attract investment.
While the N880bn estimate may appear daunting, analysts insist that unlocking the five per cent user charge and enforcing accountability in its remittance could generate sustainable funding without placing additional burden on the national budget.
If implemented effectively, the charge could fund hundreds of kilometres of road repairs annually, transform rural accessibility, and foster economic inclusion.
As the House Committee’s investigation continues, Nigerians await concrete action—not just rhetoric. With roads serving as the backbone of commerce and mobility, ensuring they are properly maintained is not just an infrastructural concern, but a national imperative.