Motorists may pay more as RFA seeks billions for upgrades

Namibians should brace for steady increases in road user charges as demand for road infrastructure grows, the Road Fund Administration (RFA) has warned.

Responding to questions on its ambitious national corridor upgrade programme, RFA chief executive Ali Ipinge said road users should expect higher charges phased in over time, although the immediate focus remains on improving compliance and efficiency in existing revenue collection systems.

"Inevitably, the road users, in line with the 'user-pay principle', should expect gradual increases in road user charges as infrastructure demand continues to grow and the road network deteriorates to below acceptable service levels," Ipinge told Namibian Sun.

He added that road user charges "remain the only available and viable funding source for road maintenance and rehabilitation".

The response comes as the RFA and Roads Authority advance plans for strategic corridor upgrades estimated to cost between N$29 billion and N$150.4 billion, while the country's road maintenance programme faces a funding gap of about N$2.3 billion.

"The RFA's core mandate remains the sustainable funding of road maintenance. As such, the RFA's position is that preservation of the road network remains a priority," Ipinge said.

He added that large-scale road expansion projects would be funded by government rather than the RFA's maintenance budget.

Funding still uncertain

Although planning and design work on several corridor projects are progressing, the RFA acknowledged that funding has not yet been secured.

"The realistic position is that project planning and design work is advancing, while funding mobilisation continues through engagements with government, lenders and potential infrastructure partners," Ipinge said.

He explained that road construction depends on government allocations through the medium-term expenditure framework and the state's borrowing capacity.

The RFA's 2026–2031 business plan identifies debt financing, bond issuance and government budgetary support as potential funding sources.

Meanwhile, maintenance and rehabilitation continue to be financed through the road user charging system, with five priority corridor sections earmarked for rehabilitation.

Construction linked to funding

Several corridor projects are due to enter the design phase in 2026 and 2027, but Ipinge said construction timelines depend on funding, procurement and statutory approvals.

"Given the current funding constraints facing the road sector, it is more realistic to expect implementation through phased construction programmes rather than simultaneous rollout of all projects," he said.

Projects with completed designs, deteriorating road conditions and the strongest economic case are expected to be prioritised, although no formal decision has yet been taken.

Traffic volumes, freight demand, road safety and economic impact will guide investment decisions, Ipinge said.

Should funding for full dual carriageways prove unavailable, the RFA said the cheaper 2+1 carriageway remains a technically sound and cost-effective alternative.

Revenue and road safety

The RFA is also pursuing new funding mechanisms, including the mass distance charges automation project, which Ipinge described as one of the organisation's most important revenue-enhancement initiatives.

"The automation of this revenue source will ensure that every dollar collected will accrue to the RFA,” he said.

The administration is also partnering with the Namibia University of Science and Technology to develop alternative road-funding mechanisms aligned with NDP6 and Vision 2030.

In the 2024/25 financial year, the RFA allocated N$50.04 million towards nationwide traffic law enforcement, disbursing N$48.35 million to the Namibian Police and selected municipal traffic divisions.

The funding supported the Okapuka Police Checkpoint, 32 specialised law enforcement vehicles, speed cameras, breathalysers, and other traffic management equipment.

According to the RFA, these interventions contributed to a 25% reduction in speeding violations, a 76% decline in loading offences and a 52% decrease in seat belt violations.

The RFA also spent N$2.21 million to clear the backlog of road accident forms, improving crash data collection and helping identify accident hotspots.

Despite these gains, Ipinge said growing traffic volumes, climate-related damage and rising maintenance costs continue to place significant pressure on Namibia's road network.

"The corridor improvement projects represent a long-term national infrastructure programme aligned to NDP6. Large-scale implementation will depend on the successful mobilisation of additional funding beyond the current road maintenance budgets," he said.