Housing Advocacy Network Seeks 100-day Emergency Plan To Crash Building Materials Prices

The Housing Development Advocacy Network (HDAN) has called on the Federal Government and the National Assembly to introduce a 100-day emergency action plan to reduce the rising cost of building materials and address Nigeria’s housing affordability crisis.

The organisation also urged the government to implement comprehensive legislative and policy reforms, including tax relief, improved energy supply, affordable financing for manufacturers and measures to strengthen local production.

HDAN made the demands in a special policy research report titled, “Reducing the High Cost of Building Materials in Nigeria and Across Africa: Towards Affordable Housing, Stronger Local Manufacturing and Sustainable Construction,” released by its Research and Economic Development Unit.

The organisation warned that persistently high prices of essential construction materials, including cement, reinforcement steel, roofing sheets, tiles, glass, electrical fittings and plumbing materials, were making homeownership increasingly difficult for millions of Nigerians.

Speaking on the report, HDAN Executive Director, Festus Adebayo, described the rising cost of building materials as a national economic challenge requiring urgent legislative and executive intervention.

He said affordable housing could not be achieved through government promises and ambitious housing targets without addressing the cost of construction inputs.

“Housing affordability cannot be achieved through speeches, promises and ambitious housing targets alone. The cost of building materials must become a major national policy priority,” Adebayo said.

He added that expensive construction materials were pushing the dream of homeownership further away from ordinary Nigerians while discouraging investment in the housing sector.

As part of its proposed 100-day emergency programme, HDAN called for a nationwide assessment of construction materials costs, an examination of manufacturing and distribution expenses, a review of existing tax incentives and an evaluation of possible competition concerns in the industry.

The organisation also recommended an assessment of progress on the Federal Government’s proposed building materials manufacturing hubs.

HDAN identified expensive energy, transportation costs, foreign exchange pressures, high financing costs, inadequate industrial infrastructure and import dependence as some of the major factors contributing to the rising prices of building materials.

It urged the National Assembly, particularly its relevant committees on housing, industry, trade, finance and economic development, to conduct a comprehensive parliamentary investigation and public hearing into the high cost of construction materials.

According to the organisation, the investigation should involve cement and steel manufacturers, the Federal Competition and Consumer Protection Commission (FCCPC), the Standards Organisation of Nigeria, relevant ministries, real estate developers, financial institutions and housing consumers.

HDAN cited figures disclosed by the FCCPC in August 2026, which indicated that Nigeria had an estimated installed cement production capacity of between 60 million and 65 million metric tonnes annually, compared with estimated domestic consumption of 25 million to 30 million tonnes.

However, the organisation acknowledged that installed production capacity does not necessarily translate into actual output or market supply.

It therefore called for an independent, evidence-based assessment of the cement and steel markets to examine production efficiency, operating costs, distribution arrangements, competition and pricing practices.

The group also proposed six major areas of reform to reduce building materials costs.

These include a comprehensive review of taxes and tariffs affecting essential construction materials, targeted and time-bound relief on critical manufacturing inputs, improved electricity and gas supply to manufacturers, and measures to reduce transportation and logistics costs.

Other recommendations include accelerated development of building materials manufacturing hubs across the six geopolitical zones, affordable long-term financing for local manufacturers, greater investment in indigenous building materials and the establishment of a national building materials price monitoring system.

The proposed monitoring system would track factory, wholesale and delivered prices of major construction materials across the country to improve market transparency and help policymakers identify unusual price developments.

HDAN further called for increased investment in research, testing and commercialisation of alternative building materials, including stabilised earth blocks, laterite-based products and prefabricated components, while maintaining appropriate building safety standards.

On financing, the organisation recommended dedicated funding arrangements through relevant development finance institutions to support local production of roofing materials, steel components, ceramics, glass, sanitary fittings and other construction products.

It also urged the government to ensure that any tax concessions or other incentives granted to manufacturers translate into measurable benefits for consumers.

“Any government incentive granted to manufacturers must produce measurable public benefits. We cannot continue to provide concessions without establishing whether they translate into reduced construction costs, increased production, more jobs and more affordable housing,” Adebayo stated.

The organisation further advocated the establishment of a National Building Materials Affordability and Local Manufacturing Compact involving federal and state governments, manufacturers, financial institutions, construction professionals, housing developers and consumer representatives.

It said the proposed framework should establish measurable commitments on manufacturing efficiency, industrial investment, energy supply, logistics improvements, price transparency and affordable housing delivery.

HDAN also called for stronger regional cooperation among African countries in building materials production, research, industrial financing and trade.

The organisation cited experiences in Ghana, Rwanda, Kenya, South Africa and Tanzania as potential sources of policy lessons on market transparency, indigenous materials development, industrial financing and construction cost monitoring.

It urged the government to leverage the African Continental Free Trade Area (AfCFTA) to improve access to certified construction materials, production equipment, manufacturing technology and regional markets.

Adebayo warned that the consequences of high building materials prices extended beyond individual homebuilders, noting that expensive construction inputs could delay housing projects, discourage investment, increase development costs and put additional pressure on rents.

He maintained that reducing construction costs should be treated as an economic development strategy capable of stimulating industrial production, creating jobs and improving living conditions.

“Nigeria must move from merely reacting to rising cement and steel prices to implementing a deliberate national strategy for reducing construction costs,” he said.

HDAN urged the leadership of the Senate and House of Representatives to work with the executive arm of government to develop a sustainable national response.

The organisation also reaffirmed its readiness to submit its research report and detailed policy recommendations to the National Assembly, the Federal Ministry of Housing and Urban Development and other relevant institutions.

“The ultimate objective must not simply be cheaper cement or cheaper iron rods. It must be cheaper, safer and more accessible housing for Nigerians. That is the real measure of success,” Adebayo added.