By Brian Mayanja
Wakiso and Mukono districts are demanding the Central Government to pay over sh940m they lost during the period Pioneer Easy Bus Company was operating in their areas.
This followed an order issued by Parliament last week for Government to pay Wakiso, Mpigi and Mukono districts.
The local government committee recommended that the amount be amicably agreed upon among the parties involved, and it be paid before the end of this financial year.
“The council members will soon sit to discuss a Parliamentary report, but we want sh240m from Government,” said Mamerito Mugerwa, the mayor Kira Town Council. Meanwhile Mukono Municipality Mayor, Johnson Muyanja Senyonga, said they expected the Government to pay over sh700m.
“Owners of the bus company thought they only had to sign agreement with KCCA.They refused to pay license fees because we are under Metropolitan Physical Planning Authority,” he added.
The local government committee report also recommended that the bus company signs an agreement with the three districts.
Mugerwa, who did not declare how much the town council was proposing as a licence fee, he explained that in the new contract, they would demand a monthly fee.
Senyonga noted that the municipality had constructed six bus stages, adding that they do not expect buses to stop everywhere.
When Saturday Vision contacted the bus company on whether it will accept terms proposed by urban authorities, one of its directors, John Masanda, said they would respond after perusing through the report.
“I do not think it would be fair to respond to the issue without reading the report,” Masanda said.
Urban authorities’ demand for revenue lost comes after Uganda Revenue Authority (URA) impounded over 100 buses on Thursday for failure to clear sh8b tax arrears. The tax body’s move followed reminders to the bus company to clear the monies since operation last year in most of Kampala suburbs.
The URA manager in charge of debt collection, Abudu-Sallam Waisswa, said Pioneer buses directors failed to honour the memorandum of understanding signed in October last year.