Sh5b marked for Kibaale

Sep 28, 2011

The Government has earmarked sh5b for the compensation of people in Kabaale village, Buseruka sub-county in Hoima district, where an oil refinery is to be established.

BY ROBERT ATUHAIRWE

The Government has earmarked sh5b for the compensation of people in Kabaale village, Buseruka sub-county in Hoima district, where an oil refinery is to be established.

Fred Kaliisa, the Permanent Secretary in the Ministry of Energy, said a team had been sent on a fact finding exercise.

Kaliisa said the team will get statistics on population and property on the land where the multi-billion dollar project is to be built.

He was speaking during a field tour with officials from the Ministry of Water last Friday to ascertain how they can build other infrastructure at the refinery.

He said the Government had earlier planned to use 20 square miles of land but increased it to 60 square miles.

Kaliisa explained that some of the land would be allocated to investors to set up industries to process by-products.

“The refinery shall comprise many things including water that will be used by the industries,” Kaliisa said.

He also said a 3km modern airport will be built at Kabaale.

He explained that the refinery would produce crude oil for export and domestic consumption.

Kaliisa also explained that the Government had no intentions of grabbing people’s land.

He ruled out evictions without compensation.

Vincent Opio, the councillor for Kabwoya sub-county, said about 30,000 people will be affected by the project.

He said residents of Nyahaire, Kyapoloni, Bukona, and Kabaketo villages are affected.

Other villages are Nyamasoga, Rugashare, Katooke, Kijumba, Kitegwa and part of Kaayera.

Opio, however, said the Government had not sensitised residents on the exercise.

He advised that the local leaders be involved in the sensitisation exercise.

He observed that some parents had stopped their children from going to school, fearing they would be evicted soon.

The Government plans to construct an oil refinery for its petroleum extracts at Kabaale in Buseruka sub-county in Hoima District.

Construction works on the refinery are expected to start next year. The proposed refinery will produce diesel, kerosene and oil for electric power generation.

Uganda discovered oil deposits in the Albertine rift basin in 2006.

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