Sustainable Infrastructure Development: The Critical Role of Contract Auditing in Government-Funded Construction

Abstract

Government-funded construction projects in Nigeria are frequently undermined by cost overruns, delivery delays, and substandard outcomes, which hinder effective infrastructure governance. This study evaluates the perceived impacts of the non-adoption of contract auditing on such failures, with a specific focus on project governance, transparency, and institutional accountability. Sustainable infrastructure here refers to long-term public value, institutional trust, and economic efficiency beyond environmental indicators. While governance challenges have been broadly discussed in literature, the empirical implications of auditing gaps in construction remain underexplored, particularly in the Nigerian context. Focusing on Abuja, the federal capital territory, this study uses a post-positivist survey approach involving 304 construction professionals. Perceptions were analysed using the Relative Importance Index (RII) to identify and rank governance-related inefficiencies. The study reveals that perceived consequences include unmitigated contract violations (RII = 0.79), financial exposure, unemployment, and diminished public trust (RII = 0.41). Findings underscore that contract auditing, though not a panacea, is regarded as a vital governance tool for mitigating project risks, enhancing accountability, and supporting sustainable infrastructure delivery. The paper concludes with policy recommendations for institutionalising auditing practices in Nigeria’s public procurement systems.