Roads Minister Sets Price Ceiling on Cement at GH¢95 for Road Projects

Jul 30, 2025 - 16:15
Roads Minister Sets Price Ceiling on Cement at GH¢95 for Road Projects
Minister of Roads and Highways, Kwame Governs Agbodza

Accra, Ghana – 30 July, 2025 – The Minister of Roads and Highways, Kwame Governs Agbodza, has announced a significant move to curb inflated costs in the road construction sector.

As of July 30, 2025, suppliers of cement for government-funded projects are mandated to sell a 50kg bag for no more than GH¢95.

“Some contractors are being forced to buy cement at over GH¢120 a bag, even when delivering public works. That is unacceptable. We are drawing the line,” he said.

This directive aims to address the issue of contractors being forced to purchase cement at exorbitant prices, sometimes exceeding GH¢120 per bag.

The price ceiling on cement is part of broader procurement reforms introduced by the Ministry to ensure value for money and prevent unregulated contract awards.

Agbodza emphasized that the era of unsolicited packages and politically motivated project cost inflation is over. Only programmed and budgeted projects will be approved moving forward.

“People walk into my office daily with unsolicited packages, throwing documents for me to sign. That era is over. Only programmed and budgeted projects will go forward,” he said.

The Ministry has also revised its approach to road construction, shifting from the design-and-build model to a more transparent and cost-effective method. Under the new approach all major road projects will be designed, costed, and approved internally by state technical agencies before procurement begins.

Also road project costing will be done by government agencies, eliminating bloated budgets and political padding.

“For the first time, road project costing will come from government agencies, not private contractors. This means no more bloated budgets or political padding,” Mr Agbodza said.

 

Source: Lead News Online/Emmanuel Kofi Ahadzi