New Road Fund Bill passed to improve road network nationwide
Parliament has passed the Road Maintenance Trust Fund Bill 2025, to provide a dedicated and sustainable funding source for the regular maintenance and rehabilitation of roads, bridges and related infrastructure in the country.
The bill, presented by the Minister for Roads and Highways, Kwame Governs Agbodza, aims to address the persistent institutional and legal constraints that have hampered the performance of the existing Road Fund.
It was passed under a certificate of urgency last Friday.
The bill, among others, is to ensure sustainable financing for road maintenance and rehabilitation works nationwide.
The new legislation introduces penalties to deter misappropriation of funds and promote accountability and efficiency in road maintenance. Every district will have a set level of road maintenance activity each year, as determined by Parliament to ensure an equitable distribution of resources.
Impact
The bill is expected to improve long-term planning, minimise funding gaps and support the government's agenda for safer and more reliable transportation infrastructure.
Mr Agbodza stated that the bill will address the rapid decline of road networks, lower vehicle operating costs, and enhance road safety conditions.
"The law not only streamlines the financing framework for road maintenance but also introduces stringent penalties to deter the misappropriation of funds," he said.
Background
The Road Maintenance Trust Fund Bill, 2025, was presented to Parliament and read the first time by the Minister for Roads and Highways, Mr Agbodza, on Thursday, July 24, 2025.
The Speaker of Parliament subsequently referred the bill to the Committee on Roads and Transportation for consideration and report per Article 103 (3) of the 1992 Constitution and Orders 165 and 253 of the Standing Orders of Parliament.
Following the referral, the committee met with the Roads and Highways minister and officials of the Ministry on Friday, July 25, 2025, to consider the referral and presented its report to the House in accordance with Article 106 (5) and Orders 166 and 215 of the Standing Orders of the House.
The report stated that the bill was necessary to establish a dedicated and sustainable source of funding for the ongoing maintenance of the country’s road network, as the current system was inadequate, causing rapid road deterioration, more accidents and higher vehicle operating costs.
It said the fund would ensure timely maintenance, protect existing road investments, reduce long-term repair costs and support economic growth through improved transport efficiency.
The bill promotes transparency, accountability and long-term planning in road infrastructure management.
After thoroughly examining the bill, the committee recommended that the House adopt its report on the bill per Article 106 (13) of the 1992 Constitution and Order 160 of the Standing Orders of Parliament.
Energy Sector Levies Amendment Bill
In a related development, Parliament last Thursday (July 24) passed the Energy Sector Levies (Amendment No. 2) Bill, 2025, to remove the government subsidy on marine gas oil and increase the Energy Sector Shortfall and Debt Repayment Levy on the product by 193 pesewas per litre.
The move, the government said, was intended to curb abuse and smuggling associated with marine gas oil, which has compromised the fairness and integrity of the subsidy programme.
The revised levy is projected to generate GH¢71 million in revenue for the state.
The Bill will amend the Energy Sector Levies Act, 2025 (Act 1135).
The Deputy Minister for Finance, Thomas Nyarko Ampem, clarified that the subsidy removal does not apply to premix fuel, giving an assurance that the supply of premix to artisanal fishermen remains unaffected.
