Prime
Nakasero traders seek Shs300b compensation
Traders in Nakasero are pushing demands for a government-compensation to a tune of about 300b. PHOTO/COURTESY
Nakasero traders are demanding Shs300 billion if the government is to repossess both the land and the facility.
Their demand has been triggered by Cabinet’s resolution to have all public markets in Kampala repossessed by government to mitigate management wrangles.
The traders through their lawyer, Mr Paul Kenneth Kakande, argue that traders they have a 49-year lease on the land and that the abrupt takeover will cause losses to the traders.
The vendors acquired the lease from Kampala Capital City Authority (KCCA) at Shs2b and were required to pay ground rent of Shs90m, annually.
Mr Kakande also noted that government did not take time to study the legal issues surrounding Nakasero market but rather instructed KCCA to immediately takeover the facility.
Although he acknowledges that the law allows government takeover of land, he says this has to be done legally by compensating the occupants, who already have rights over the land.
“Traders have a lease which is still running and have legitimate expectation from that land that’s why they contributed money to acquire a lease. So if you are compensating them you have to compensate them in line with their legitimate expectation of what they could get in 49 years,” he said at the weekend.
Asked about how they arrived at the Shs300b compensation, Mr Kakande said Nakasero market is not only located in a prime area but it is also a business entity, where more than 5,000 traders station with aim of earning profit.
Mr Salim Mayungule, a trader, said he contributed Shs1 million towards the acquisition of the lease and that he must be compensated Shs10 million.
“It was an abrupt move by government and we were never involved before they took that decision. The ideal thing would have been to engage us through our leaders because very many people have invested in several businesses in Nakasero market and it will be unfair to just evict them without compensating them,” he said.
KCCA’s head of public and corporate affairs Daniel Nuwabiine yesterday acknowledged the takeover of Nakasero market.
He, however, noted that the issue of compensation will be determined by the Chief Government Valuer after ascertaining the market price of the land on which Nakasero market sits and the losses incurred by traders.
Government’s takeover of all public markets in the city is meant to among others reduce corruption and ensure that ordinary city dwellers get working space.
KCCA has so far taken over St Balikuddembe (Owino) market. But plans to repossess both Nakasero and Kisekka markets have since met resistance from traders who want compensation.
