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Ghana Chamber of Construction Industry Sets Expectations for New Roads and Highways Minister

The Ghana Chamber of Construction Industry has articulated its expectations following the nomination of Governs Kwame Agbodza as the Minister-designate for Roads and Highways. As the construction sector faces persistent challenges, the Chamber is urging targeted reforms to revitalize the industry and enhance road infrastructure in the country.

Emmanuel Cherry, the CEO of the Ghana Chamber of Construction Industry, emphasized the urgent need for the incoming minister to prioritize the uncaping of the Road Fund. He believes that ensuring sufficient financing for road infrastructure projects is critical to overcoming the significant obstacles that have hindered progress in the sector.

In a recent interview on Eyewitness News on January 16, 2025, Mr. Cherry stressed the importance of a well-functioning Road Fund Board to facilitate effective project financing. He noted that the current issues plaguing the sector can be traced back to the operational challenges within the Road Fund Board itself.

“The challenge currently bedeviling the entire sector is about the Road Fund Board itself, which is not functioning properly. The Board, which is supposed to at least bring checks and balances into the system, has not been up to its game,” he stated. Cherry’s comments highlight the need for accountability and transparency within the Board, as it plays a pivotal role in managing the country’s road infrastructure funds.

Mr. Cherry pointed out that Mr. Agbodza has been instrumental in addressing road sector challenges in his previous role as a committee member. He expressed optimism that the nominee’s familiarity with the issues will enable him to advocate effectively for necessary reforms once he assumes office.

“Kwame Agbodza played an integral role because we called on him and his committee any time. So, he is aware of the challenges in there,” he remarked, underlining the importance of continuity in leadership and experience in tackling sector issues.

Cherry’s vision for the new minister extends beyond merely addressing the existing challenges. He is hopeful that Mr. Agbodza will take the initiative to appeal to the President and the Finance Minister to uncap the Road Fund, allowing it to finance essential maintenance and rehabilitation costs effectively.

“So, as he is coming, we believe that with his fresh energy, he will appeal to the President through the Finance Minister to uncap the Road Fund for the Board to be able to finance some of its costs and live up to its functions and mandate,” he stated. This proactive approach is seen as a necessary step to unlock the potential of the Road Fund and improve road infrastructure across Ghana.

The Road Fund in Ghana was established by the Road Fund Act of 1997 (Act 536) with the aim of financing the maintenance and rehabilitation of public roads. The fund is managed by the Road Fund Management Board, which includes representatives from key institutions, such as the Ministries of Finance and Local Government. The board oversees contractor payments and actively seeks additional funding sources to support its operations.

Revenue for the fund primarily comes from fees collected from road users, including vehicle registration fees and tolls. This financial structure is intended to ensure that roads are well-maintained, facilitating the movement of goods and people, providing access to health services, and ensuring consistent school attendance across the nation.

Despite the initial intent behind the establishment of the Road Fund, challenges remain. The fund has faced criticism for its inability to adequately address the pressing needs of the road network, which has deteriorated over the years due to inadequate maintenance and insufficient funding. Stakeholders in the construction industry have called for reforms to improve the efficiency and effectiveness of the Road Fund, ensuring that it can fulfill its mandate.

The Ghana Chamber of Construction Industry believes that Mr. Agbodza’s leadership as the new Minister of Roads and Highways presents a valuable opportunity to implement these much-needed reforms. The Chamber is optimistic that his experience and previous contributions will allow him to navigate the complexities of the sector effectively.

In addition to uncaping the Road Fund, Mr. Cherry emphasized the importance of stakeholder engagement and collaboration in developing comprehensive policies that address the unique challenges faced by the construction industry. He believes that involving all relevant stakeholders in discussions will lead to more effective solutions that can enhance the country’s road infrastructure.

Furthermore, the Chamber is keen to work closely with the Ministry of Roads and Highways to develop strategies that promote the sustainable development of road infrastructure in Ghana. This collaborative approach will help to identify priority projects and allocate resources efficiently to achieve significant improvements in the road network.

As Ghana continues to develop, the importance of a well-maintained road network cannot be overstated. Roads are the lifeblood of economic activity, connecting communities, facilitating trade, and providing access to essential services. By addressing the challenges within the Road Fund and implementing targeted reforms, the government can unlock the potential of the construction industry, leading to enhanced infrastructure and improved livelihoods for citizens.

In conclusion, the Ghana Chamber of Construction Industry has set clear expectations for the newly nominated Minister of Roads and Highways, Governs Kwame Agbodza. By prioritizing the uncaping of the Road Fund, advocating for reforms, and fostering stakeholder engagement, Mr. Agbodza has the opportunity to make a meaningful impact on the sector. As the nation looks forward to his leadership, the hope is that with effective measures in place, Ghana’s road infrastructure can be revitalized, paving the way for economic growth and development in the years to come.

 

 

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