Gov’t loses Shs150m Daily to Compensation Delays on Kampala Northern Bypass

Uganda National Roads Authority (UNRA) Director Land Acquisition, William Matovu has appealed to politicians and leaders in the Central region to help with the delays on road constructions that are caused by huge compensation claims.

Matovu made the call during a one day engagement of stakeholders from central region on the progress of the multi-lane project aimed at decongesting the city centre.

Matovu said that government loses a lot of money due to the delays caused in negotiating compensations which sometimes fail to yield results.

The director revealed a case the reason which government is currently losing Shs150m daily to the contractor of Kampala Northern Bypass Highway due to delays caused by huge compensation claims put across by the landlady at a section around Namungona roundabout.

According to Matovu, the contractor MOTA-ENGIL, Engenharia E Construcao SA, a Portuguese construction company demobilized machinery from the section until he gains access to the land which is costing government lots of funds.

“Government is losing approximately Shs150m everyday. We have engaged the landlady for two months now and have so far failed to reach an agreement; the affected portion of land is very small, the building is intact, only the perimeter wall and gate were affected,” Matovu said.

Matovu said that, “The affected structures were valued at Shs60m which she accepted in the first place but later rejected it demanding a compensation of Ssh398m.”

He added that such compensation delays have affected several road projects urging leaders to always speak to land owners to allow free passage of road projects.