FERMA Demands Inclusion In Fossil Fuel Surcharge, Seeks N229.9bn For Road Maintenance

The Federal Roads Maintenance Agency (FERMA) has proposed a total budget of N229.999bn for the 2026 fiscal year as part of efforts to strengthen road maintenance operations and improve connectivity across the country.

The proposed appropriation comprises N191bn for capital expenditure, N5bnb for personnel costs, and N33bn for overhead expenses.

The proposal was presented during the 2025 Appropriation Act performance review and 2026 budget defence before the Joint Senate and House Committees on FERMA.

Presenting the budget, the Minister of State for Works, Hon. Bello Goronyo, who supervises FERMA, stated that although the Agency possesses the necessary technical expertise to effectively discharge its mandate, inadequate funding remains its primary constraint.

He explained that project allocations in the 2026 proposal cut across all states of the Federation, reflecting FERMA’s commitment to equitable and strategic road maintenance nationwide.

“It is envisaged that, with your support, the implementation of the 2025 five per cent fossil fuel surcharge, as provided under Section 159 of the New Task Force Act, will include FERMA in the distribution template. This aligns with global best practices and will enable the Agency to more effectively fulfil its mandate,” the Minister stated.

Goronyo expressed appreciation to the Committees for their consistent oversight and support, describing the partnership between the Legislature and FERMA as critical to the Agency’s progress.

He appealed for sustained legislative backing to unlock FERMA’s full operational capacity and accelerate critical interventions on federal roads across all regions.

“With your approval, we can unlock FERMA’s full technical capacity, accelerate critical road interventions nationwide, and ensure that Nigeria’s roads become true engines for economic growth and national unity,” he added.

Also in his presentation, the Managing Director/Chief Executive Officer of FERMA, Engr Chukwuemeka Agbasi, reiterated the funding challenges confronting the Agency and highlighted key performance indicators achieved in 2025.

According to Agbasi, FERMA accomplished the following within the review period:
200.82km of roads are maintained
31,574.29 square metres of potholes patched 1,655.89km of roads made motorable
10,311 metres of drainage constructed19 washouts reinstated 3 bridges maintained 4,013 streetlight poles installed.

He, however, noted that several challenges continue to affect optimal performance, including budgetary releases falling short of required targets, distressed and aged pavements, road abuse, climate change-related emergencies particularly in flood-prone areasand security concerns in certain regions.

The MD also stressed the importance of harmonising the national budget cycle with procurement processes to ensure that road projects are executed during the dry season, thereby enhancing timely delivery and cost-effectiveness.

On his part, the Chairman of the Senate Committee on FERMA, Senator Sahabi Yau, the Chairman of the House Committee on FERMA, Hon. Aderemi Oseni and other members of the Committee commended the Agency for its visible efforts in maintaining federal roads across the country.

Oseni urged FERMA to further strengthen project delivery standards and ensure value for money.

Yau encouraged the Agency to sustain its performance and strive for greater efficiency in response to feedback and appraisals from members of the National Assembly.