Road agencies scrapped

The Uganda National Roads Authority and the Uganda Road Fund have been dissolved and their functions returned to the Ministry of Works and Transport.

This follows the repealing of the Uganda Road Fund Act, 2008 and the Uganda National Roads Authority Act 2006 which created both agencies. The development follows the passing of the Uganda Road Fund (Amendment), Bill, 2024 and Uganda National Roads Authority (Amendment), Bill 2024 by Parliament chaired by Speaker Anita Among on Wednesday, 06 November 2024.

The two Bills, once assented to, will operationalise the 2021 government policy on rationalization, which aims at reducing duplication of mandates, minimise government expenditure while ensuring quality service delivery.

The Minister for Works and Transport, Gen. Edward Katumba Wamala, justified the move to transfer the two agencies to his ministry saying the creation of the agencies was in the first place ill-advised.
“I do not know where the concept of creating agencies came from. It looks like the idea was to weaken the central government. Now that government has woken up you are going to hold us accountable and we will deliver,” said Katumba Wamala.

Katumba Wamala assured Parliament that his ministry will welcome staff of the defunct agencies saying that no one will be disenfranchised.  
“We are not going to create unemployment; we are going to validate all workers of UNRA and those who are willing to work under the public service arrangement are welcome,” he said.

The State Minister for Works, Hon. Musa Ecweru, said that government will ensure continuity of functions of the repealed agencies, citing the District Road Committees created under Uganda Road Fund which will be maintained to oversee road works in local governments.

The Chairperson of the Committee on Physical Infrastructure, Hon. Dan Atwijukire, who presented the committee’s reports on the two agencies, prayed that government ensures that funds are availed for road maintenance in local governments, as it was the arrangement under the Uganda Road Fund. 

He expressed concerns that coordination of the functions of the Road Fund might frustrate service delivery, since its functions will be spread across government bodies.

By dissolving the Uganda Road Fund, he said that government will save administrative expenses worth Shs3.8 billion, wage of Shs2.6 billion while a budget of over Shs395 billion will be mainstreamed for road maintenance under the ministry.

On the ongoing projects under UNRA, Atwijukire asked government to ensure minimal disruption, conduct thorough contract reviews to identify restrictive clauses, renegotiate contracts and make plans to mitigate potential projects suspension and penalties.
“The committee observed that some of the existing contracts contain clauses that bind government to a specific implementing agency, notably UNRA. Any deviation from the contractual terms, including transfer of projects to alternative agencies could trigger severe consequences such as partial or full suspension of the project,” he said.

He singled out the loan agreement between government and African Development Bank for Laropi-Moyo-Afoji and Katuna-Muko-Kamuganguzi roads as some of the contracts that must be followed up diligently.

The committee asked for a transitional management period of three years to ensure seamless transfer of UNRA’s functions to the ministry, noting that it will enable the ministry to absorb UNRA’s responsibilities, mitigate potential disruptions, and guarantee uninterrupted road development and maintenance.