State to issue payout for Dongo Kundu Special Economic Zone landowners this week

Residents of Dongo Kundu will start receiving compensation for parcels of land allocated to the Economic Zones this week, Trade and Investment Cabinet Secretary Salim Mvurya stated on Monday.

Mvurya stated that the main hurdle for investors in the Dongo Kundu Special Economic Zone project has been the issue of compensating over a thousand landowners who gave up their parcels of land for development projects.

"The major impediment has been the issue of compensation because we wanted to ensure that everyone affected by the project gets compensated," Mvurya told me.

The CS, who was flanked by Kenya Ports Authority Chairman Benjamin Tayari, Principal Secretary for Investment Promotions Abubakar Hassan, and other officials, stated that the compensation will continue for a few more days beginning Tuesday.

According to Mvurya, 1,648 people affected would be paid. He expressed hope about the initiative after the administration received approximately 97 applications from both domestic and international investors.

"Significant progress is being made in Dongo Kundu. We received 97 applications from investors totalling Sh 500 billion," stated Mvurya.

According to him, the investments are primarily in the energy sector and are both domestic and international. These investments are primarily in the energy sector. There are 60 per cent of investors from foreign circles and 40 per cent from the local market.

Mvurya's announcement comes as a huge relief to Dongo Kundu locals, particularly those in Mwangala village, who have been pressuring the government to reform the land compensation plan.

They argue they have been short-changed since the money they have been awarded does not reflect the investments they made in their farms.

Residents are being moved to make room for the development of the Sh39 billion project. The Kenya Ports Authority intended to spend Sh1.4 billion to compensate families who will be harmed by the project.

KPA has already prepared the Resettlement Action Plan (RAP), which will resettle 1,648 residents from Dongo Kundu, Mwangala, Mrongondoni, Kaya Mtongwe, Mbuta, and Siji villages on a 357-acre plot of land.

The RAP also includes a compensation component for 2,585 structures that will be removed to make space for the establishment of the SEZ.

The project, which covers 3,000 acres, is estimated to generate 100,000 employees once completed. The government is actively working on several projects, including the implementation of the relocation action plan for project-affected persons and the demarcation and titling of land for lease to investors.