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Development banks have no business financing agribusiness

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On the eve of an annual gathering of public development banks in Rome, 280 groups from 70 countries have signed a letter slamming them for bankrolling the expansion of industrial agriculture, environmental destruction and corporate control of the food system. The signatories affirm only fully public and accountable funding mechanisms based on people’s actual needs can achieve real solutions to the global food crisis.

Over 450 Public Development Banks (PDBs) from around the world are gathering in Rome from 19 to 20 October 2021 for a second international summit, dubbed Finance in Common. During the first summit in Paris in 2020, over 80 civil-society organizations published a joint statement demanding that the PDBs stop funding agribusiness companies and projects that take land and natural resources away from local communities. This year, however, PDBs have made agriculture and agribusiness the priority of their second summit. This is of serious concern for the undersigned groups as PDBs have a long track-record of making investments in agriculture that benefit private interests and agribusiness corporations at the expense of farmers, herders, fishers, food workers and Indigenous Peoples, undermining their food sovereignty, ecosystems and human rights.

Our concerns

PDBs are public institutions established by national governments or multilateral agencies to finance government programs and private companies whose activities are said to contribute to the improvement of people’s lives in the places where they operate, particularly in the Global South. Many multilateral development banks, a significant sub-group of PDBs, also provide technical and policy advice to governments to change their laws and policies to attract foreign investment.

As public institutions, PDBs are bound to respect, protect and fulfil human rights and are supposed to be accountable to the public for their actions. Today, development banks collectively spend over US$2 trillion a year financing public and private companies to build roads, power plants, factory farms, agribusiness plantations and more in the name of “development” – an estimated US$1.4 trillion goes into the sole agriculture and food sector. Their financing of private companies, whether through debt or the purchase of shares, is supposed to be done for a profit, but much of their spending is backed and financed by the public – by people’s labor and taxes.

The number of PDBs and the funding they receive is growing.The reach of these banks is also growing as they are increasingly channeling public funds through private equity, “green finance” and other financial schemes to deliver the intended solutions instead of more traditional support to government programs or non-profit projects. Money from a development bank provides a sort of guarantee for companies expanding into so-called high-risk countries or industries. These guarantees enable companies to raise more funds from private lenders or other development banks, often at favorable rates. Development banks thus play a critical role in enabling multinational corporations to expand further into markets and territories around the world – from gold mines in Armenia, to controversial hydroelectric dams in Colombia, to disastrous natural gas projects in Mozambique – in ways they could not do otherwise.

Additionally, many multilateral development banks work to explicitly shape national level law and policy through their technical advice to governments and ranking systems such as the Enabling the Business of Agriculture of the World Bank. The policies they support in key sectors — including health, water, education, energy, food security and agriculture — tend to advance the role of big corporations and elites. And when affected local communities, including Indigenous Peoples and small farmers protest, they are often not heard or face reprisals. For example, in India, the World Bank advised the government to deregulate the agricultural marketing system, and when the government implemented this advice without consulting with farmers and their organisations, it led to massive protests.

Public Development Banks claim that they only invest in “sustainable” and “responsible” companies and that their involvement improves corporate behavior. But these banks have a heavy legacy of investing in companies involved in land grabbing, corruption, violence, environmental destruction and other severe human rights violations, from which they have escaped any meaningful accountability. The increasing reliance of development banks on offshore private equity funds and complex investment webs, including so called financial intermediaries, to channel their investments makes accountability even more evasive and enables a small and powerful financial elite to capture the benefits.

It is alarming that Public Development Banks are now taking on more of a coordinated and central role when it comes to food and agriculture. They are a part of the global financial architecture that is driving dispossession and ecological destruction, much of which is caused by agribusiness. Over the years, their investment in agriculture has almost exclusively gone to companies engaged in monoculture plantations, contract growing schemes, animal factory farms, sales of hybrid and genetically modified seeds and pesticides, and digital agriculture platforms dominated by Big Tech. They have shown zero interest in or capacity to invest in the farm, fisher and forest communities that currently produce the majority of the world’s food. Instead, they are bankrolling land grabbers and corporate agribusinesses and destroying local food systems.

Painful examples

Important examples of the pattern we see Public Development Banks engaging in:

  • The European Bank for Reconstruction and Development and the European Investment Bank have provided generous financing to the agribusiness companies of some of Ukraine’s richest oligarchs, who control hundreds of thousands of hectares of land.

  • SOCFIN of Luxembourg and SIAT of Belgium, the two largest oil palm and rubber plantation owners in Africa, have received numerous financial loans from development banks, despite their subsidiaries being mired in land grabbing, corruption scandals and human rights violations.

  • Multiple development banks (including Swedfund, BIO, FMO and the DEG) financed the failed sugarcane plantation of Addax Bioenergy in Sierra Leone that has left a trail of devastation for local communities after the company’s exit.

  • The UK’s CDC Group and other European development banks (including BIO, DEG, FMO and Proparco) poured over $150 million into the now bankrupt Feronia Inc’s oil palm plantations in the DR Congo, despite long-standing conflicts with local communities over land and working conditions, allegations of corruption and serious human rights violations against villagers.

  • The United Nations’ Common Fund for Commodities invested in Agilis Partners, a US-owned company, which is involved in the violent eviction of thousands of villagers in Uganda for a large-scale grain farm.

  • Norfund and Finnfund own Green Resources, a Norwegian forestry company planting pine trees in Uganda on land taken from thousands of local farmers, with devastating effects on their livelihoods.

  • The Japan Bank for International Cooperation and the African Development Bank invested in a railway and port infrastructure project to enable Mitsui of Japan and Vale of Brazil to export coal from their mining operations in northern Mozambique. The project, connected to the controversial ProSavana agribusiness project, has led to land grabbing, forced relocations, fatal accidents and the detention and torture of project opponents.

  • The China Development Bank financed the ecologically and socially disastrous Gibe III dam in Ethiopia. Designed for electricity generation and to irrigate large-scale sugar, cotton and palm oil plantations such as the gargantuan Kuraz Sugar Development Project, it has cut off the river flow that the indigenous people of the Lower Omo Valley relied on for flood retreat agriculture.

  • In Nicaragua, FMO and Finnfund financed MLR Forestal, a company managing cocoa and teak plantations, which is controlled by gold mining interests responsible for displacement of Afro-descendant and Indigenous communities and environmental degradation.

  • The International Finance Corporation and the Inter-American Development Bank Invest have recently approved loans to Pronaca, Ecuador’s 4th largest corporation, to expand intensive pig and poultry production despite opposition from international and Ecuadorian groups, including local indigenous communities whose water and lands have been polluted by the company’s expansive operations.

  • The Inter-American Development Bank Invest is considering a new $43 million loan for Marfrig Global Foods, the world’s 2nd largest beef company, under the guise of promoting “sustainable beef.” Numerous reports have found Marfrig’s supply chain directly linked to illegal deforestation in the Amazon and Cerrado and human rights violations. The company has also faced corruption charges. A global campaign is now calling for PDBs to immediately divest from all industrial livestock operations.

We need better mechanisms to build food sovereignty

Governments and multilateral agencies are finally beginning to acknowledge that today’s global food system has failed to address hunger and is a key driver of multiple crises, from pandemics to biodiversity collapse to the climate emergency. But they are doing nothing to challenge the corporations who dominate the industrial food system and its model of production, trade and consumption. To the contrary, they are pushing for more corporate investment, more public private partnerships and more handouts to agribusiness.

This year’s summit of the development banks was deliberately chosen to follow on the heels of the UN Food Systems Summit. It was advertised as a global forum to find solutions to problems afflicting the global food system but was hijacked by corporate interests and became little more than a space for corporate greenwashing and showcasing industrial agriculture. The event was protested and boycotted by social movements and civil society, including through the Global People´s Summit and the Autonomous People´s response to the UN Food Systems Summit, as well as by academics from across the world.

The Finance in Common summit, with its focus on agriculture and agribusiness, will follow the same script. Financiers overseeing our public funds and mandates will gather with elites and corporate representatives to strategize on how to keep the money flowing into a model of food and agriculture that is leading to climate breakdown, increasing poverty and exacerbating all forms of malnutrition. Few if any representatives from the communities affected by the investments of the development banks, people who are on the frontlines trying to produce food for their communities, will be invited in or listened to. PDBs are not interested. They seek to fund agribusinesses, which produce commodities for trade and financial schemes for profits rather than food for nutrition.

Last year, a large coalition of civil-society organizations made a huge effort just to get the development banks to agree to commit to a human rights approach and community-led development. The result was only some limited language in the final declaration, which has not been translated into action.

We do not want any more of our public money, public mandates and public resources to be wasted on agribusiness companies that take land, natural resources and livelihoods away from local communities. Therefore:

We call for an immediate end to the financing of corporate agribusiness operations and speculative investments by public development banks.

We call for the creation of fully public and accountable funding mechanisms that support peoples’ efforts to build food sovereignty, realize the human right to food, protect and restore ecosystems, and address the climate emergency.

We call for the implementation of strong and effective mechanisms that provide communities with access to justice in case of adverse human rights impacts or social and environmental damages caused by PDB investments.

Signatories:

Fundación Plurales – Argentina

Fundación Ambiente y Recursos Naturales (FARN) – Argentina

Foro Ambiental Santiagueño – Argentina

Armenian Women For Health &Healthy Environment NGO /AWHHE/ – Armenia

Australian Food Sovereignty Alliance – Australia

SunGem – Australia

Welthaus Diözese Graz-Seckau – Austria

Turkmen Initiative for Human Rights – Austria

FIAN Austria – Austria

Oil Workers’ Rights Protection Organization Public Union – Azerbaijan

Initiative for Right View – Bangladesh

Right to Food South Asia – Bangladesh

IRV – Bangladesh

Bangladesh Agricultural Farm Labour Federation [BAFLF] – Bangladesh

NGO “Ecohome” – Belarus

Eclosio – Belgium

AEFJN – Belgium

FIAN Belgium – Belgium

Entraide et Fraternité – Belgium

Africa Europe Faith & Justice Network (AEFJN) – Belgium

Coalition for Fair Fisheries Arrangements – Belgium

Eurodad – Belgium

Friends of the Earth Europe – Belgium

Alianza Animalista La Paz – Bolivia

Instituto de Estudos Socioeconômicos (Inesc) – Brazil

Centro Ecologico – Brazil

FAOR Fórum da Amazônia Oriental – Brazil

Articulação Agro é Fogo – Brazil

Campanha Nacional de Combate e Prevenção ao Trabalho Escravo – Comissão Pastoral da Terra/CPT – Brazil

Clínica de Direitos Humanos da Amazônia -PPGD/UFPA – Brazil

Universidade Federal Fluminense IPsi – Brazil

Associação Brasileira de Reforma Agrária – Brazil

Rede Jubileu Sul Brasil – Brazil

Alternativas para pequena agricultura no Tocantins APATO – Brazil

CAPINA Cooperação e Apoio a Projetos de Inspiração Alternativa – Brazil

Marcha Mundial por Justiça Climática / Marcha Mundial do Clima – Brazil

MNCCD – Movimento Nacional Contra Corrupção e pela Democracia – Brazil

Marcha Mundial por Justiça Climática/Marcha Mundial do Clima – Brazil

Support Group for Indigenous Youth – Brazil

Comissão Pastoral da Terra -CPT – Brazil

Equitable Cambodia – Cambodia

Coalition of Cambodian Farmers Community – Cambodia

Struggle to Economize Future Environment (SEFE) – Cameroon

Synaparcam – Cameroon

APDDH -ASSISTANCE – Cameroon

Inter Pares – Canada

Vigilance OGM – Canada

National Farmers Union – Canada

SeedChange – Canada

Place de la Dignité – Canada

Corporación para la Protección y Desarrollo de Territorios Rurales- PRODETER – Colombia

Grupo Semillas – Colombia

Groupe de Recherche et de Plaidoyer sur les Industries Extractives (GRPIE) – Côte d’Ivoire

Réseau des Femmes Braves (REFEB) – Côte d’Ivoire

CLDA – Côte d’Ivoire

Counter Balance – Czech Republic

AfrosRD – Dominican Republic

Conseil Régional des Organisations Non gouvernementales de Développement – DR Congo

Construisons Ensemble le MONDE – DR Congo

Synergie Agir Contre la Faim et le Réchauffement Climatique , SACFRC. – DR Congo

COPACO-PRP – DR Congo

AICED – DR Congo

Réseaux d’informations et d’appui aux ONG en République Démocratique du Congo ( RIAO – RDC) – DR Congo

Latinoamérica Sustentable – Ecuador

Housing and Land Rights Network – Habitat International Coalition – Egypt

Pacific Islands Association of Non-Governmental Organisations (PIANGO) – Fiji

Internationale Situationniste – France

Pouvoir d’Agir – France

Europe solidaire sans frontières (ESSF) – France

Amis de la Terre France – France

Médias Sociaux pour un Autre Monde – France

ReAct Transnational – France

CCFD-Terre Solidaire – France

CADTM France – France

Coordination SUD – France

Движение Зеленных Грузии – Georgia

NGO “GAMARJOBA” – Georgia

StrongGogo – Georgia

FIAN Deutschland – Germany

Rettet den Regenwald – Germany

Angela Jost Translations – Germany

urgewald e.V. – Germany

Abibinsroma Foundation – Ghana

Alliance for Empowering Rural Communities – Ghana

Organización de Mujeres Tierra Viva – Guatemala

Campaña Guatemala sin hambre – Guatemala

PAPDA – Haïti

Centre de Recherche et d’Action pour le Developpement (CRAD) – Haiti

Ambiente, Desarrollo y Capacitación (ADC ) – Honduras

Rashtriya Raithu Seva Samithi – India

All India Union of Forest Working People AIUFWP – India

Centre for Financial Accountability – India

People First – India

Environics Trust – India

ToxicsWatch Alliance – India

Food Sovereignty Alliance – India

Indonesia for Global Justice (IGJ) – Indonesia

kruha – Indonesia

Wahana Lingkungan Hidup Indonesia (WALHI) – Indonesia

JPIC Kalimantan – Indonesia

تانيا جمعه /منظمه شؤون المراه والطفل – Iraq

ICW-CIF – Italy

PEAH – Policies for Equitable Access to Health – Italy

Focsiv Italian federation christian NGOs – Italy

Schola Campesina APS – Italy

Casa Congo- Italy

ReCommon – Italy

Japan International Volunteer Center (JVC) – Japan

Team OKADA – Japan

taneomamorukai – Japan

VoiceForAnimalsJapan – Japan

Keisen University – Japan

000 PAF NPO – Japan

Missionary Society of Saint Columban, Japan – Japan

Migrants around 60 – Japan

Mura-Machi Net (Network between Villages and Towns) – Japan

Japan Family Farmers Movement (Nouminren) – Japan

Pacific Asia Resorce Center(PARC) – Japan

A Quater Acre Farm-Jinendo – Japan

Friends of the Earth Japan – Japan

Alternative People’s Linkage in Asia (APLA) – Japan

Mekong Watch – Japan

Family Farming Platform Japan – Japan

Africa Japan Forum – Japan

ATTAC Kansai – Japan

ATTAC Japan – Japan

Association of Western Japan Agroecology (AWJA) – Japan

Mennovillage Naganuma – Japan

Phenix Center – Jordan

Mazingira Institute – Kenya

Dan Owala – Kenya

Jamaa Resource Initiatives – Kenya

Kenya Debt Abolition Network – Kenya

Haki Nawiri Afrika – Kenya

Euphrates Institute-Liberia – Liberia

Green Advocates International (Liberia) – Liberia

Sustainable Development Institute (SDI) – Liberia

Alliance for Rural Democracy (ARD) – Liberia

Frères des Hommes – Luxembourg

SOS FAIM – Luxembourg

Collectif pour la défense des terres malgaches – TANY – Madagascar

Third World Network – Malaysia

Appui Solidaire pour le Développement de l’Aide au Développement – Mali

Réseau CADTM Afrique – Mali

Lalo – Mexico

Tosepanpajt A.C – Mexico

Maya sin Fronteras – Mexico

Centro de Educación en Apoyo a la Producción y al Medio Ambiente, A.C. – Mexico

Mujeres Libres COLEM AC – México

Grupo de Mujeres de San Cristóbal Las Casas AC – México

Colectivo Educación para la Paaz y los Derechos Humanos A.C. (CEPAZDH) – México

Red Nacional de Promotoras Rurales – México

Dinamismo Juvenil A.C – México

Cultura Ambiental en Expansión AC – México

Observatorio Universitario de Seguridad Alimentaria y Nutricional del Estado de Guanajuato – México

Centro Interdisciplinario de Investigación y Desarrollo Alternativo U Yich Lu’um AC – México

The Hunger Project México – México

Americas Program/Americas.Org – México

Association Talassemtane pour l’Environnement et Développement (ATED) – Morocco

Espace de Solidarité et de Coopération de l’Oriental – Morocco

LVC Maroc – Morocco

EJNA – Morocco

NAFSN – Morocco

Fédération nationale du secteur agricole – Morocco

Association jeunes pour jeunes – Morocco

Plataforma Mocambicana da Mulher e Rapariga Cooperativistas/AMPCM – MOZAMBIQUE – Mozambique

Justica Ambiental – JA! – Mozambique

Community Empowerment and Social Justice Network (CEMSOJ) – Nepal

WILPF NL – Netherlands

Milieudefensie – Netherlands

Platform Aarde Boer Consument – Netherlands

Both ENDS – Netherlands

Foundation for the Conservation of the Earth,FOCONE – Nigeria

Lekeh Development Foundation (LEDEF) – Nigeria

Nigeria Coal Network – Nigeria

Spire – Norway

Pakistan Fisherfolk Forum – Pakistan

Gaza Urban Agriculture Platform (GUPAP) – Palestine

Union of Agricultural Work Committees – Palestine

WomanHealth Philippines – Philippines

Agroecology X – Philippines

SEARICE – Philippines

Alter Trade Foundation for Food Sovereignty, Inc – Philippines

Association pour la défense des droits à l’eau et à l’assainissement – Sénégal

Biotech Services Sénégal – Sénégal

Association Sénégalaise des Amis de la Nature – Sénégal

Alliance Sénégalaise Contre la Faim et la Malnutrition – Sénégal

Association Sénégalaise des Amis de la Nature – Sénégal

Alliance Sénégalaise Contre la Faim et la Malnutrition – Sénégal

Green Scenery – Sierra Leone

Land for Life – Sierra Leone

JendaGbeni Centre for Social Change Communications – Sierra Leone

Sierra Leone Land Alliance – Sierra Leone

African Centre for Biodiversity – South Africa

African Children Empowerment – South Africa

Cooperative and Policy Alternative Centre – South Africa

Fish Hoek Valley Ratepayers and Residents Association – South Africa

Consciously Organic – South Africa

Wana Johnson Learning Centre – South Africa

Aha Properties – South Africa

Sacred Earth & Storm School – South Africa

Earth Magic – South Africa

Oasis – South Africa

Envirosense – South Africa

Greenstuff – South Africa

WoMin African Alliance – South Africa

Seonae Eco Centre – South Africa

Eco Hope – South Africa

Kos en Fynbos – South Africa

Ghostwriter Grant – South Africa

Mariann Coordinating Committee – South Africa

Khanyisa Education and Development Trust – South Africa

LAMOSA – South Africa

Ferndale Food Forest and Worm Farm – South Africa

Mxumbu Youth Agricultural Coop – South Africa

PHA Food & Farming Campaign – South Africa

SOLdePAZ.Pachakuti – Spain

Amigos de la Tierra – Spain

Sindicato Andaluz de Trabajadores/AS – Spain

Salva la Selva – Spain

Loco Matrifoco – Spain

National Fisheries Solidarity(NAFSO) – Sri Lanka

Movement for Land and Agricultural Reform (MONLAR) – Sri Lanka

Agr. Graduates Cooperatives Union – Sudan

FIAN Sweden – Sweden

FIAN Suisse – Switzerland

Bread for all – Switzerland

Foundation for Environmental Management and Campaign Against Poverty – Tanzania

World Animal Protection – Thailand

Asia Indigenous Peoples Pact – Thailand

PERMATIL – Timor-Leste

Afrique Eco 2100 – Togo

AJECC – Togo

ATGF – Tunisia

Forum Tunisien des Droits Economiques et Sociaux – Tunisia

Agora Association – Turkey

Uganda Land Rights Defenders – Uganda

Hopes for youth development Association – Uganda

Uganda Consortium on Corporate Accountability – Uganda

Centre for Citizens Conserving Environment &Management (CECIC) – Uganda

Buliisa Initiative for Rural Development Organisation (BIRUDO)) – Uganda

Twerwaneho Listeners Club – Uganda

Alliance for Food Soverignity in Africa – Uganda

Global Justice Now – UK

Friends of the Earth International – UK

Compassion in World Farming – UK

Environmental Justice Foundation – UK

Fresh Eyes – UK

War on Want – UK

Friends of the Earth US – US

A Growing Culture – US

Center for Political Innovation – US

GMO/Toxin Free USA – US

Friends of the Earth US – US

Thousand Currents – US

Local Futures – US

National Family Farm Coalition – US

Community Alliance for Global Justice/AGRA Watch – US

Bank Information Center – US

Seeding Sovereignty – US

Yemeni Observatory for Human Rights – Yemen

Zambia Alliance for Agroecology and Biodiversity – Zambia

Zambian Governance Foundation for Civil Society – Zambia

Urban Farming Zimbabwe – Zimbabwe

Centre for Alternative Development – Zimbabwe

FACHIG Trust – Zimbabwe

Red Latinoamericana por Justicia Económica y Social – Latindadd – América Latina

European Coordination Via Campesina – Europe

Arab Watch Coalition – Middle East and North Africa

FIAN International – International

International Alliance of Inhabitants – International

Society for International Development – International

ActionAid International – International

International Accountability Project – International

Habitat International Coalition – General Secretariat – International

CIDSE – International

ESCR-Net – International

World Rainforest Movement – International

Transnational Institute – International

GRAIN – International

Original Source: grian.org

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Acholi land dispute threatens Shs3bn govt-backed Cassava Factory in Pader

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Affected residents demonstrate at acholibur town council offices over a disputed 179-acre piece of land earmarked for a government and gulu archdiocese-backed cassava processing factory in pader district.

Pader, Uganda: A protracted land dispute in Acholibur Sub-county, Pader District, is threatening to stall a Shs3 billion cassava processing factory project jointly backed by the Government of Uganda and the Gulu Archdiocese, raising fears over the future of one of northern Uganda’s most significant agro-industrial investments.

The proposed cassava factory, which is being spearheaded by the Gulu Archdiocese with support from the Uganda Development Corporation (UDC), is expected to boost value addition, create employment opportunities and improve household incomes for thousands of cassava farmers across the Acholi sub-region.

At the centre of the dispute is a 179-acre piece of land claimed by two families, the estate of the late Ignatius Lakere Latigo and that of the late Odwong Joseph Lagoro, both of which maintain ownership rights over the property earmarked for the project.

The dispute escalated following a court-directed boundary opening exercise conducted by a joint security team led by Pader Resident District Commissioner Amos Banyizi. Several affected families have since protested the exercise, claiming it was carried out without their knowledge or participation.

Families question boundary exercise

Mr. Latigo Morris, administrator of the estate of the late Ignatius Lakere Latigo, said his family was never notified about the recent boundary demarcation despite earlier agreements that required all stakeholders to be involved.

He recalled that a stakeholders’ meeting held last year, attended by Archbishop Emeritus John Baptist Odama of the Gulu Archdiocese and other parties, had resolved that any future activities on the disputed land would involve all affected families.

According to Morris, his family was shocked to find the RDC accompanied by armed security personnel carrying out activities on land they claim belongs to them.

“We expected dialogue and participation of all stakeholders before any action was taken,” Morris said.

Local leaders have also questioned how the exercise was conducted.

The LCIII Chairperson of Acholibur Town Council, Okumu Robert, said his office was neither informed nor requested to mobilise residents before the boundary opening exercise.

Mr. Ocen Paul, one of the affected stakeholders, appealed to government to intervene, warning that nearly 150 families could lose land if the matter is not handled transparently.

He further alleged that influential individuals could be influencing the ongoing demarcation despite what he described as valid documentation showing that the affected families still hold an active 49-year lease over the land.

Source: dailyexpress.co.ug

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Oil about to flow but 2010 evicted Balaalo wait for compensation

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As Uganda races toward first oil production, promises of economic transformation are colliding with unresolved grievances from the country’s oil frontier.

In Buliisa, hundreds of Balaalo pastoralists forcibly evicted in 2010 remain uncompensated, excluded from the prosperity built on the land they once bought. Enos Mubangizi remembers being woken at 5 am in December 2010, hearing hundreds of gun-wielding soldiers and police outside, rounding up cows from his family kraals and those of his neighbours.

Local pastor Stephen Mugisha, a respected pillar of his community, received a call just a day before from then-coordinator of Uganda’s national intelligence Gen David Sejusa. Sejusa informed the pastoralists that the Ugandan army was evicting all the families and their cows from their land.

“We were the only family in the area that had a bungalow, and it was demolished,” Mubangizi says, a member of the Balaalo pastoralists who also lost cows and land.

Code-named Justice, an estimated 640 families were forced out, and 20,000 head of cattle were taken. For the Balaalo people, a nomadic pastoralist group spread out in the South, Western, and Northern parts of Uganda, cows make up most of the family wealth.

The 20,000 cows were mixed, and their owners could no longer identify them. A few managed to rescue their livestock but no longer had land to graze them. The cows who were mixed in the big herd died from a lack of pasture and water. Others were sold off cheaply, sometimes for less than Shs 50,000 ($14).

Mugisha had set up a primary school and laid the foundation for what he envisioned as a mega church. He lost all of it. Another pastor, Sam Tumwine, built a house that is now occupied by police.

“I wonder who the police are paying rent to,” he says.

When contacted, the police refused our request for comment. The parcels of land in Buliisa district targeted for eviction had become nationally significant – the site of oil discovery in 2006, and where much of the production infrastructure was installed – in a race to start extracting the country’s “black gold” by the end of 2026.

The new oil frontier turned neighbours into enemies – and the question remains whether anyone was held accountable for the devastating evictions. Almost 15 years later, Mubangizi and the hundreds of other violently evicted herdsmen say they are still counting their losses and waiting for compensation.

Conflict over land and oil-era property claims

When oil was being surveyed by Tullow Oil, a multinational UK-headquartered oil and gas exploration company, Mugisha says they asked the geologists if their cows would be allowed to continue grazing, and they were reassured this was fine.

The conflict between pastoralists and the local community started in 2007, less than a year later. Oil discovery had an immediate impact on the community: suddenly, people saw value in land and raced to transform it from a communal to an individual land tenure system.

As land values rose, disputes emerged over whether some sales of customary land were valid under local tenure arrangements. At the time, Buliisa was an extremely rural community, whose life was still communal, including land ownership.

Land possessed little value, costing about Shs 50,000 per acre at the time of Uganda’s confirmation of commercial oil discovery in 2006. District chair Fred Lukumu said he regarded some transactions as invalid because, in his view, sellers lacked exclusive title.

“It was an illegal transaction because people were selling what did not exclusively belong to them,” Lukumu said. “They were never verifying… just paying whoever told them land was theirs,” he adds.

Buliisa subcounty chairperson Kabagambe Kamanda doesn’t dispute the claim that pastoralists had bought land; rather, how the acquisitions were documented and understood locally.

By 2003, the numerous pastoralists who had come to graze cattle had started buying land. Pastoralists said they had consulted community members who informed them that they had the right to purchase and own property. Kamanda claimed that some buyers took advantage of weak land documentation and low public awareness of land law; pastoralists dispute that account.

He claims that, in some cases, acreage recorded in sale paperwork did not match what sellers believed they had agreed to. Frederick Watume, who was vice chairperson of Buliisa sub-county at the time, said some agreements brought to him lacked details he considered necessary, including acreage.

Though the herdsmen were trying to follow the law by ensuring that their land purchase agreements were stamped by local council leaders, the land purchase agreements brought to him for signing were defective.

“They would say, mukongolo (natives) sold land to such mulaalo (herdsmen), no acreage. Nothing,” he said in an interview.

“I warned them that in future, you’re going to lose this land.”

The local community says the herdsmen, who did not fence their cattle, were destroying crops. Lukumu says people were facing food shortages and the pastoralists would even beat natives trying to chase cows from their gardens.

COMING TO BULIISA IN THE 1980S

The Balaalo herder families’ ordeal began in December 2010, but the story started 30 years before. The herders thought they found a happy ending in the Buliisa area after being evicted from government property that was later sold to Indian sugarcane growers.

Balaalo people who were looking for jobs in the 1980s had come to the Buliisa community to take care of cows, and would pay them with milk, says Bernard Barugahare, an elder from the village and former district community development officer.

“They [herdsmen] kept coming, increasing, and in the process, they sold milk and started buying cows,” Barugahare said.

He says it was these herdsmen who invited their fellow tribesmen to come to Buliisa at the beginning of the 2000s. Pastor Mugisha reiterates that the invitation was extended by natives in the area.

EMPTY-HANDED, EVEN AFTER FILING CLAIMS

From interviews with more than 40 people, including the pastoralists, residents, local leaders, and civil society members, oil was the main factor in the eviction of the Balaalo.

Local leaders in the area remember the names of evicted herders well, but when asked directly about properties left behind, they give vague answers. They insist the pastoralists were compensated by the government and should not make any claims.

“Anybody who did not come back to claim property up to now has no moral authority to make a claim,” says Kamanda Kabagambe, the chairperson for Buliisa sub-county, whose office is less than two kilometres from Tumwine’s former home.

“Since 2011, I don’t think anyone would have failed to claim if there was any destruction that was not legal.”

A local journalist who covered the pastoralist-native conflicts between 2007 and 2010 describes it as “a terrible eviction,” adding that “people lost everything”.

The journalist Stephen Kabindi followed up with those he had interviewed in subsequent years, who were living with relatives for over a decade. “They will never be the same,” he says.

On X, Gen Sejusa indicated that this evacuation was carried out under orders from the Ugandan cabinet. He headed the security arm, while then-prime minister Apolo Nsibambi headed the overall task force. “No property or life was lost,” he wrote.

TURNING A BLIND EYE?

The Tilenga project is operated by French petroleum giant TotalEnergies EP Uganda on behalf of a joint venture that includes the government of Uganda and state-owned China National Offshore Oil Company. TotalEnergies is the majority shareholder with 56.67% of the project.

The French oil company acquired a stake in Uganda’s oil project 14 months after the eviction. Since then, legal battles in Uganda have ensued as pastoralists seek justice that still evades them to today. TotalEnergies maintains that the government’s responsibility is in the hands of the Ugandan authorities.

“Land acquisition has been implemented on behalf of the Government of Uganda under an approved framework aligned with national law and international standards,” François Sinecan, a press officer at TotalEnergies, said.

“Challenges – such as absentee owners or overlapping claims – have been addressed through formal grievance channels and, if unresolved, referred to competent authorities,” he adds.

Juliette Renaud, senior campaigner at Friends of the Earth France, which sued TotalEnergies over rights violations in Uganda, said that Total should have assessed more fully the human-rights risks associated with oil development in the region.

“You can see these evictions in the oil region started before TotalEnergies came to Uganda and they didn’t do a proper risk assessment of the human rights violations that could be linked to the oil development,” she says.

Sinecan says all land acquisition for Tilenga follows rigorous due diligence under The Land Acquisition Resettlement Framework (LARF) and Resettlement Action Plans (RAPs).

‘NOT INTERESTED IN OIL’

Politics too played a role in the eviction as local politicians warned the ruling party, including President Museveni, of their waning popularity if they failed to evict the Balaalo pastoralists, who share a close connection to Museveni’s pastoralist Bahima community.

After the oil discovery, a suspicion ran through local crop farming communities – who made up a large majority of the residents – that the second wave of pastoralists, who arrived in the area at the turn of the century, had come to steal their oil.

“The politicians started spreading false information that we had occupied local people’s land that had oil,” Mugisha says, adding, “as [cattle] herders, we were not interested in oil.”

Stephen Biraahwa Mukitale, a former member of parliament of Buliisa county who played a central role in pushing the government to evict the pastoralists, says he has never had a doubt that these pastoralists migrated to the area because they had prior knowledge about oil. He describes them as being fronts of powerful people who wanted to grab local people’s land.

“The locations where they went to in 2003, 2004 and 2005… the oil prospecting had started only to find out that all the oil wells and the pipeline as confirmed today are the very areas where these people had chosen to be,” Mukitale says, referring to the pastoralists. In interviews, other politicians in the Buliisa community who rallied for the eviction used terminologies like, “maybe”, “we suspect,” “we believe” in arguing that the herdsmen had prior knowledge.

HIGH COURT JUDGEMENT, BUT STILL NO RELIEF

Although there was a push for the pastoralists to be evicted after oil was discovered in 2006, the Balaalo fought it in court for four years, halting the process. In a 2013 high court judgment in a land case filed by the evicted pastoralists, Judge Ralph Ochan described their eviction as an “unlawful and a gross violation of rights” as provided for in Uganda’s constitution and other international instruments.

“The Balaalo were, on the evidence on record, violently and brutally evicted without any lawful orders of this or any other court,” wrote Judge Ochan. In the judgment, he took note of public rhetoric and demagoguery by political leaders in Buliisa district that stoked up anti-Balaalo sentiments.

Ordering the return of the pastoralists to “land they acquired through lawful purchase would in all probability lead to grave social unrest”, according to Ochan.

These reporters were shown a land purchase agreement that the herdsmen had signed with the locals, showing clear details of the land they had purchased and duly signed by all parties.

It is part of the evidence that had been presented in court and that their lawyers continue to assert while seeking compensation. The pastoralists reject the accusations of bad blood between them and the local communities, arguing that they had forged a good relationship.

“The locals loved us a lot; they never fought us. We were a united community. It’s politics that killed the good relationship and led to the eviction,” says pastoralist Mubangizi.

FORGOTTEN IN OIL COMPENSATION

The process of assessing, valuing, and acquiring land for oil projects began around 2015, and compensation for pastoralists was left out of the equation. While government officials interviewed acknowledge the “pastoralists question”, they argue that their case happened long before the land acquisition and compensation process. They further claim that a rigorous, multi-layered process ensured that compensation money was given to the rightful owners.

“For us, this process didn’t look at the particularity of the Balaalo. It looked at ownership. The Balaalo issue was 2010; the compensation was for 2019/20,” Ali Ssekatawa, director of Legal and Corporate Affairs at the Petroleum Authority of Uganda (PAU), said in an interview.

“If someone had been removed in 2010, is no longer on the ground, and there is no evidence, then there was no legal basis to be paid. If that person had a title that hadn’t been cancelled and was genuine, then that person was one of those who were paid,” he adds.

The ministry of Energy and Mineral Development, in a written response, said the 2010 eviction of the Balaalo pastoralists was a complex issue rooted in long-standing land disputes between the pastoralists and indigenous communities.

The ministry says it remains focused on its role in facilitating oil exploration and development within the broader government framework.

While the energy ministry described the eviction as a government decision based on court orders and efforts to address illegal occupation and escalating ethnic tensions, it acknowledges that it played a role in the process.

“The ministry supported the overarching government effort to enforce existing land laws and create an enabling environment for oil activities, while working with other relevant ministries to address the underlying land tenure issues. Our focus was on ensuring that any land acquired for oil development was done legally and with due process, within the context of these pre-existing disputes,” the ministry says.

DISPUTE OVER BLAME FOR ABUSES

Nicholas Opiyo, a human rights lawyer who documented the 2010 eviction, says oil companies, under the UN Guiding Principles on Business and Human Rights, have an obligation to ensure their investments do not lead to the abuse of affected communities’ rights.

Opiyo says oil companies benefiting from the project should bear a share of responsibility for harms suffered by affected communities.

“It’s clear that Total, Tullow and other companies hid behind the government to avoid responsibility, in some cases subcontracting their roles to private companies,” he said.

“They owe a duty of reparation and restitution to those communities. They can’t run away from those obligations.” A spokesperson for Tullow said the company “operates in strict accordance with all applicable international laws and regulations” and always seeks to “uphold the highest standards of ethical conduct and respect for human rights” in all its operations.

At a May 2025 conference that brought together civil society organisations, oil companies and government officials to discuss social and human rights issues in Uganda’s oil and gas sector, TotalEnergies EP Uganda General Manager Philippe Groueix said the Uganda project has become the most scrutinised project in the world.

“I would like to hear from the people themselves. To express that they have been positively impacted is not for us to decide; it’s up to them to share that their life today is better than before, and better than it would have been without the project,” Groueix said.

In a 2020 study, the World Bank estimated that Uganda could earn $800m per year, becoming a linchpin for economic transformation. But for the forgotten pastoralists, they believe that their future is doomed because of the oil.

When we arrived at the home of Mugisha on a sweltering afternoon, he was reluctant to revisit the ordeal his community had endured over the past 15 years as they sought justice. He thought speaking to strangers was pointless, as it would not bring a resolution.

Eventually, he spoke. For nearly an hour, he recounted what the eviction had meant for them, their immense losses and the suffering they had endured since.

“We are now very poor. We didn’t know that until now a person could find himself with nothing,” he said.

Source: observer.ug

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NGO WORK

‘Oil is a curse’: villages in Uganda face land ownership uncertainty

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For as long as Moses K. Asaba can remember, his family has lived on the ancestral land they call home.

A resident of Bugana village in Uganda’s Buliisa district, he speaks with a deep sense of uncertainty and frustration, no longer certain that he and his descendants will continue living there.

“I say the discovery of oil within our district, it was a curse to me and to my parents, because the land-grabbers got interested in Buliisa,” Asaba says, referring to what happened after the discovery of oil in mid-western Uganda in 2006.

In a race to kick off oil production in Buliisa, French energy and petroleum giant TotalEnergies E&P has been setting up infrastructure. While Ugandan officials promise that the industry will transform the fortunes of the country, Asaba thinks otherwise.

A SYMBOL OF CONFLICT

Their homes are located about 2.5 kilometres from an oil well, a petroleum terminology that refers to the area where a rig will be installed for drilling, one of the several places designated for drilling in the community.

Our reporters waded through a small river, guided by children found bathing in the stream, in order to get to the Ngara oil well, less than 50 metres beyond the river.

Hidden from view by tall grass and wild trees, it is neatly demarcated and fenced, with no indication that the land it sits on has been under dispute for 15 years.

This well is a symbol of the complex land conflicts sparked by the discovery of oil and the construction of oil-related infrastructure in the Albertine region. The conflict pits the local community members against Francis Kahwa, a businessman in his 70s. The businessman acquired a title deed for the piece of land.

“It’s not only Kahwa. There are very many prominent names behind the land-grabbing,” Asaba says. This land dispute also reveals how land conflicts supposedly resolved by the locals evicting the Balaalo pastoralist community due to oil discovery were never resolved.

‘It’s not the government’s fault’ government officials don’t want to take any blame for this particular strife between the local community and Kahwa.

“That dispute is not with the government,” Ali Ssekatawa, director of legal and corporate affairs at the Petroleum Authority of Uganda (PAU), said.

The Ministry of Energy and Mineral Development said the land where TotalEnergies E&P company is operating, which includes the Ngara oil well, is where “compensation remains outstanding and is subject to court proceedings”.

Government officials also insist that this conflict won’t derail the start of oil production scheduled to begin before the end of 2026.

They indicate that the Ngara oil well is not among those that will be drilled first for oil production.  Its drilling is not expected to begin for another seven to 10 years, officials said, adding that TotalEnergies can continue its operations while the ownership dispute is resolved in court. Any rent payments will be held in escrow and released to the legal owner once the case is settled.

THE SPAN OF THE CONFLICT

According to community leaders, Kahwa claims to have bought more than 500 acres from the local council chairman in the area around 2011 when the Balaalo pastoralists had been evicted.

“He has an agreement and a stamp. How is it possible?” Kamanda Kabagambe, Buliisa sub-county chairperson, said.

Repeated requests to Kahwa for an interview went unanswered. After the eviction of pastoralists, Uganda President Yoweri Museveni directed that the land should be placed under the Buliisa district land board for supervision.

Local leaders question how the land slipped through the hands of the district’s land board into the hands of a private businessman like Kahwa.

In 2011, Museveni also issued several directives – both verbal and written – that all land titles that had been issued in Buliisa district be revoked.

The Ministry of Lands announced in 2017 that it had cancelled all land titles issued in the district between 2010 and 2017.

In a subsequent interview, Uganda’s then-minister of lands Betty Amongi argued that one person couldn’t own the size of the land that Kahwa claimed to have purchased through the right channels.

Despite these directives and the cancellation of titles, Kahwa ultimately prevailed in court. In 2022, he won a ruling recognising him as the rightful owner of more than 500 acres of land.

The court issued orders directing the government to pay him rent for the oil well situated on the land. However, the community appealed to a higher court, extending the court battles. As a result, government payments for rent on the designated oil parcels stopped once again.

The money is “being held in an account until we see the winner because for us, we don’t know the winner”, Ssekatawa says.

Last year, the government’s anti-corruption unit arrested Kahwa and prosecuted him for allegedly using forged documents to claim ownership of land in the same oil district.

The case, however, concerned a different parcel from the one on which the Ngara oil well is located. Land ownership, a national challenge In interviews, Ugandan government officials credit themselves for doing excellent work.

Total Energies EP has said it has registered a 99% land compensation rate. Ssekatawa argues that the land conflicts seen in oil-producing areas are not unique to the sector or region of Uganda.

He explains that Uganda’s land tenure system is “fundamentally distorted”, with multiple ownership systems often overlapping on the same piece of land. Land disputes are a nationwide problem, with more than 70 per cent of High court cases relating to land or succession.

This, Ssekatawa adds, leads to disputes between private individuals or communities, or between individuals and the government, often regarding compensation.

“The oil and gas footprint is so small in the country,” he says, noting that the same challenges occur whether land is acquired for an oil rig or any other government project.

Collins Opio, Total Energies EP Uganda project manager for land acquisition and livelihood restoration, also says the absence of formal land titles, undocumented inheritance arrangements and unmapped land boundaries frequently lead to ownership disputes and delays in compensation.

“This resulted in recurring boundary disputes and required extensive community engagement, repeated surveys, and legal support to ensure compensation reached the rightful beneficiaries,” Opio said in a 2025 Total report.

To address land disputes, Ssekatawa says the government set up a multi-level system to verify land ownership, helping conflict parties mediate, which resulted in ensuring that compensation only went to the right people.

For the land needed for Total’s project, more than 5,500 total stakeholders were impacted by land acquisition, with 775 primary residences relocated.

“Over 99% of compensation agreements have been signed and paid, and 100% of the planned resettlement houses for physically displaced persons have been constructed and handed over, complete with land titles,” the ministry said in a written response.

In the 2025 Total report, the company says it held more than 10,000 engagements in project-affected areas of Buliisa district.

It also leveraged mass communication channels to broaden its outreach, broadcasting 1,445 radio engagements, including talk shows, advertisements and public announcements. However, it doesn’t detail if any of the engagements were related to land.

More oil-related conflicts Many other disputes in Uganda — especially land conflicts — have been sparked by oil discovery and the development of oil-related infrastructure, some of which have been in litigation for more than a decade and are still ongoing.

One such conflict involves a piece of land measuring more than 300 acres where TotalEnergies is building a central processing facility. Some of the affected landowners took the government to court, resisting attempts to resettle them in areas with poorer or no social services.

In 2023, 26 Ugandans, supported by local and international NGOs, filed a case in Paris, France, accusing TotalEnergies’ Tilenga and the East African Crude Oil Pipeline (EACOP) projects of causing serious human rights violations.

Juliette Renaud, senior campaigner at Friends of the Earth France, one of the organisations that sued TotalEnergies, said that under French law, the company has a responsibility to prevent human rights violations associated with its activities anywhere in the world.

“Part of prevention is identifying risks, and what we are saying is that they haven’t identified the human rights violations linked to the project,” she says.

Diana Nabiruma, manager for programmes and communication at the Africa Institute for Energy Governance (AFIEGO), says communities affected by the Tilenga oil project have repeatedly called on TotalEnergies to hold public meetings.

AFIEGO, a Ugandan non-profit, provides legal support to dozens of people involved in land disputes in the region. Residents want a forum to collectively discuss compensation and other concerns related to land conflicts.

Nabiruma says the company largely prefers engaging households individually rather than meeting communities as a group.

“Communities believe that when they are together, their negotiating power is much stronger,” Nabiruma says, explaining that individual meetings can leave vulnerable landowners feeling intimidated and less able to raise concerns.

Enos Babyenda, who was born in Bugana village, home to Total’s Buliisa District oil well, says whether individually or together, he feels deluded by the whole process.

“When we first heard of oil, we thought that oil had come as a blessing to us, but it has now become the opposite,” he said.

Source: observer.ug/

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