Nigeria: National Assembly Seeks Improved Funding for Ferma
The Joint Committee of the National Assembly on the Federal Roads Maintenance Agency (FERMA) has assured the agency of continued collaboration to ensure improved funding and enhanced performance in the maintenance of federal roads nationwide.
The lawmakers gave the assurance during the agency’s defence of its 2025 budget implementation and presentation of its 2026 budget proposal.
Presenting the proposal, the Minister of State for Works, Bello Muhammad Goronyo, disclosed that the proposed 2026 budget stands at N229.99 billion.
He explained that N191.47 billion is earmarked for capital expenditure, including the rollover of 70 per cent of ongoing 2025 capital projects into 2026.
He said a total of 336 projects have been rolled over, comprising 291 road projects and 75 non-road projects, including streetlights and related infrastructure.
Goronyo noted that 70 per cent funding for these projects, amounting to N91.47 billion, has been rolled into the 2026 fiscal plan. He added that the distribution of projects cuts across all states of the federation to ensure equitable infrastructure development.
The minister further disclosed that personnel costs in the 2026 proposal stand at N5.06 billion, while overhead expenditure is projected at N33.47 billion.
While affirming that FERMA possesses the technical capacity to execute its mandate, he identified inadequate funding as the agency’s primary constraint.
He also stressed the need to harmonise the budget cycle with procurement processes to enable contractors fully utilise the dry season for timely project delivery.
Goronyo appealed to lawmakers for sustained legislative support to strengthen the agency’s operational capacity.
He referenced the repeal of the 5 per cent user charge on petrol and diesel under the 2017 FERMA Amendment Act and its replacement with a 5 per cent fossil fuel surcharge under Section 159 of the new Tax Act.
He expressed optimism that FERMA would be included in the revenue distribution template under the implementation of the 2025 National Tax Act.
By Daily Trust.
