Mombasa Leaders Demand Transparency in Dongo Kundu SEZ Land Allocation Amidst Compensation Hurdles

Mombasa leaders have raised serious concerns about the transparency of land allocation processes. This call for clarity comes as the project, poised to transform the region’s economic landscape, grapples with significant challenges, including compensation disputes affecting thousands of individuals.

The Dongo Kundu SEZ, envisioned as a major economic hub, has been earmarked to attract substantial investments, including a notable $130.5 million liquefied petroleum gas (LPG) plant by Tanzanian investor Rostam Aziz’s Taifa Gas Company. However, transparency issues have overshadowed the project, particularly after claims emerged that land was allocated to Taifa Gas without public disclosure or proper oversight.

During a recent progress update meeting held at the Kenya Ports Authority (KPA) headquarters, Mombasa Senator Mohamed Faki voiced his concerns about the opaque manner in which land allocations have been handled. Faki specifically highlighted the case of Taifa Gas, questioning the legitimacy of the land grant and demanding a more transparent approach for future investments. “We need transparency on investors who will come to invest in Dongo Kundu,” Faki emphasized. “Let there be no secrets in allocating land for the investments. The investors should be clearly known and the kind and size of investments they want to undertake.”

Investment, Trade, and Industry Cabinet Secretary Salim Mvurya acknowledged that the compensation process for the 1,648 individuals affected by the project has been a significant bottleneck. According to Mvurya, these compensation challenges are impeding the project’s progress, as unresolved compensation issues delay the development of essential infrastructure such as roads, water supply, and power stations.

To address these issues, Mvurya revealed that the government is working diligently to resolve the compensation hurdles. The Kenya Ports Authority has committed Sh1.4 billion towards completing the compensation program, with a plan to resolve the outstanding issues within the next month. As part of the compensation strategy, the affected individuals will be allocated new land and provided with support to develop their new areas. Currently, 430 acres have been identified for this purpose.

Despite these efforts, the compensation process remains a significant obstacle, impacting the overall development of the SEZ. Mvurya expressed optimism that once the compensation issues are addressed, the project will gain momentum, allowing for the development of the necessary infrastructure to support the SEZ’s growth.

The Dongo Kundu SEZ is a critical component of Kenya’s broader strategy to enhance its industrial and economic capabilities. However, the current challenges underscore the need for more transparent and efficient processes to ensure that the project’s benefits are realized without unnecessary delays or controversies.

As the situation unfolds, the demand for transparency remains a central issue for Mombasa leaders and stakeholders. The public’s confidence in the project hinges on the government’s ability to address these concerns effectively and to ensure that all investments are handled with the utmost openness and integrity. With the compensation process and land allocation issues still in flux, the future of the Dongo Kundu SEZ will largely depend on how swiftly and transparently these challenges are resolved.