Namibia mulls fuel levy hike as roads funding falls short
Namibia’s road maintenance agency wants to raise fuel levies by N$2.06 per liter to address a N$5 billion funding shortfall threatening the nation’s transportation infrastructure. Road Fund Administration chief executive Ali Ipinge said on Tuesday that the organization requires N$7 billion each year for upkeep and construction, but government contributions cover only 40 percent of those needs. He told attendees at a five-year planning presentation in Windhoek that deteriorating highways and reduced state investment have created urgent financing pressures despite a 15 percent climb in collections from motorists.
The proposed increase would push the total levy to N$4.46 per liter following a 20-cent adjustment earlier this year by the Ministry of Industries, Mines and Energy. Ipinge said officials are exploring alternative revenue sources, such as toll roads while awaiting cabinet approval for the fuel charge. He warned that delayed maintenance becomes 10 times costlier and noted research showing vehicle owners pay N$3 in extra repairs for every N$1 the fund fails to invest. Replacing the 49,000-kilometer network would cost N$221 billion, though the country ranks among African leaders for pavement quality.
