Rubanda Iron Ore Project: Prime Minister Orders Fresh Land Valuation Amidst Compensation Complaints

Prime Minister Robinah Nabbanja has intervened in the land compensation process for the Rubanda iron ore mining and processing project, ordering a fresh valuation. This directive comes after several local leaders and residents voiced concerns that the compensation offered to affected individuals was insufficient to secure alternative land for settlement and farming.

During a ceremony where 60 acres of iron ore-rich land in Mufumba Village were officially handed over to Devki Steel Mills (U) Ltd, local officials highlighted the dissatisfaction among project-affected people. Rubanda District LCV chairman Stephen Kasyaba noted that while the community welcomes the investment, the current compensation package does not adequately facilitate relocation.

Ms Nabbanja instructed Ministry of Lands officials to conduct a thorough, house-to-house review with local leaders to address the under-valuation concerns. She stressed the importance of ensuring all affected individuals are satisfied, stating her intention to return in two weeks to verify the resolution of these issues. The Prime Minister also urged the Ministry of Energy and Mineral Development to expedite the processing of Devki Steel Mills’ mining license.

Officials from the Ministry of Lands defended their initial valuation, with chief government valuer Gilbert Kermundu explaining that the Shs40 million per acre rate, along with a 30% disturbance allowance, considered land scarcity and individual landholding sizes. He indicated that approximately 99% of those affected had already been compensated, raising questions about the basis of the current complaints.

Devki Steel Mills chairman Raval Narendra appealed for government support in extending hydropower to the project site and pledged to prioritize local employment and community development through educational initiatives. The government aims to resolve these land matters swiftly to allow the mining operations to commence.