NEBBI, December 18, 2025 — More than 100 local traders involved in a public–private partnership [PPP] agreement with Nebbi Municipal Council are demanding compensation over the stalled construction of the Nebbi taxi and bus terminal parks.
Under the arrangement, the traders invested heavily in the project, but say they have failed to realise any return on their investment after four years of inactivity. According to the developers, 534 individuals each paid Shs 500,000 for lock-up units, 418 paid Shs 200,000, while eight developers paid Shs 3 million each for bus terminal spaces. However, construction stalled before completion, leaving many structures unfinished.
Some of the partners report that walls at the site are collapsing and accuse the municipal authorities of failing to provide technical guidance and enforce regulations. They say delays in the construction of the Nebbi Modern Market contributed to the suspension of the taxi and bus terminal project, resulting in significant financial losses that should be compensated.
Powel Ongei, Secretary of the Nebbi Drivers and Transporters Cooperative, said the cooperative secured a Shs 40 million bank loan in anticipation of revenue from the completed terminals. However, the failure to operationalise the facilities left them unable to service the loan.
“The Municipal Council must bear responsibility for the losses incurred by developers who invested money and materials in constructing lock-ups, most of which stopped at ring-beam level because the council failed to bring business to the taxi parks,” Ongei said.
He added that a memorandum of understanding between the developers and Nebbi Municipal Council was signed in 2021. Under the agreement, developers were to use the lock-ups at the taxi and bus terminals for a period of 15 years from the date of commissioning. However, the project stalled and the site was eventually abandoned.
Local leaders say the project was expected to generate more than Shs 500 million annually in local revenue. The taxi and bus terminals along the Nebbi–Arua road were intended to boost municipal revenue to support essential services such as waste collection and road maintenance. However, the council has failed to meet these targets for the past four years.
Nebbi Municipality Mayor Geoffrey Ngiriker said the project was designed to provide temporary accommodation for traders displaced by the construction of the Nebbi Modern Market and to decongest street loading, unloading and parking.
He explained that the project stalled after some developers were financially constrained due to the effects of COVID-19, which severely disrupted businesses.
Ngiriker added that the Uganda Cities Infrastructure Modernisation Initiative Development [UCIMID] programme would take over the taxi and bus terminal project, allowing room for negotiations with the developers.
“The Municipal Council will engage local developers to harmonise compensation arrangements, since the Nebbi taxi and bus terminal project will be taken up by UCIMID in the next financial year,” Ngiriker said.
Another developer, Mohammed Ozele, blamed poor planning by the Municipal Council, saying developers lost billions of shillings after being encouraged to invest in the project.
“We invested all our money in constructing the Nebbi taxi and bus terminal with expectations of immediate revenue, but now we are struggling and failing to repay borrowed loans,” Ozele said.
Flavia Oyenboth, the Principal Physical Planner for Nebbi Municipal Council, confirmed that the council has been awarded Shs 2.4 billion under the UCIMID programme for the construction of the Nebbi bus and taxi park, with works expected to commence in the next financial year.
She assured developers that they would be compensated as sitting tenants for a period of 20 years once the project is completed.
“The Municipal Council [Nebbi] will compensate the developers as sitting tenants, based on resolutions mutually agreed upon with the council,” Oyenboth said.
https://thecooperator.news/nebbi-district-stuck-with-over-300-cattle-abandoned-by-balalo/
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