Politics 16 April 2026 Parliament of Uganda
Parliament Urges Shs689 Billion Release for PAP Compensation to Prevent Project Delays
Uganda's Committee on Physical Infrastructure has urged the government to release Shs689 billion immediately for compensating Project Affected Persons (PAPs), warning that delays could halt key infrastructure projects and risk losing Shs3.7 trillion in external funding for 2026/2027. Over 7,000 PAPs remain unpaid, blocking contractor access to sites like Bukasa Port and Standard Gauge Railway. Source: https://www.parliament.go.ug/news/4402/release-shs689-billion-pap-compensation-avert-delay-govt-projects
The Committee on Physical Infrastructure has pressed the government to prioritize the release of Shs689.513 billion in the first quarter of the 2026/2027 financial year to compensate Project Affected Persons (PAPs). This call came during a plenary session on April 16, 2026, chaired by Speaker Anita Annet Among.
Deputy Chairperson Hon. Tony Awany highlighted that 7,767 PAPs under government projects, totaling Shs533.23 billion, and 6,597 under donor-funded initiatives worth Shs320 billion, are still awaiting payments. Affected developments include Bukasa Port, Standard Gauge Railway (SGR), Tororo-Gulu Metre Gauge Railway, and Gulu Logistics Hub.
Awany explained that unpaid compensation prevents contractors from accessing sites, causing delays, disrupting payments, and risking unutilized external financing up to Shs3.7 trillion.
The committee also addressed mounting arrears in the transport sector. The Ministry of Works and Transport ended 2024/2025 with Shs1.489 trillion in debts; despite Shs541 billion paid via supplements, Shs948 billion remains outstanding. No funds from the approved Shs218.456 billion for 2025/2026 have been released, leading to suspensions and extra costs.
Recommendations include restoring arrears funding to Shs900 billion, a three-year clearance plan, and releasing the remaining Shs1.696 trillion in supplementary funds.
Speaker Among flagged ongoing issues despite Shs8 trillion allocated, referring the report to the Budget Committee and scheduling a debate with the Ministers of Works and Transport and Finance. She also raised concerns over district mechanical workshops and a Presidential directive for equipment support.
MPs like Hon. Benjamin Kamukama and Hon. Ibrahim Ssemujju criticized funding delays and called for investment-return guided financing.
Source: Parliament of Uganda