14 Aug 2018 08:40am
NKURENKURU, 14 AUG (NAMPA) The Nkurenkuru Town Council needs N.dollars 137 million to compensate 706 households to make way for the towns development.
This was revealed by the councils Chief Executive Officer (CEO), Petrus Sindimba in an interview with Nampa here on Monday.
Sindimba explained that the town council does not have the money to compensate residents, a challenge that is hindering the development process of the town.
He said before Nkurenkuru was proclaimed as a town in 2006, it was a settlement area and many people were residing within the communal area.
For development to take place, we need to compensate residents as per the government compensation policy, but due to the current economic crisis there are no funds, he said.
Article 16(2) of the Namibian Constitution gives Parliament power to make laws that allow state-established bodies such as local authorities to expropriate property in the public interest, on condition that it pays compensation to those affected by such expropriation.
Sindimba noted that as per the towns developmental plan, there are 19 extensions identified for the development of houses of which six have been fully serviced.
The CEO added the town has a shortage of serviced land and there is a high demand for it as many government and private companies need land to build due to decentralisation of services.
Since the town council does not have money to develop the town entirely on its own, it has thus far partnered with two companies, Etemo Investment Property and G-Investment Property in October 2017 through public-private partnerships to develop parts of the land, Sindimba explained.
The tender given to the two companies is to service erven with tarred roads and water, electricity and sewer connections as well as to build affordable houses on some erven.
A related challenge at Nkurenkuru is lack of infrastructural development, with Sindimba pointing out that some government agencies and ministries were not developing land that was allocated to them free of charge.
The donation of land to these institutions was an effort by the council to fast-track development in the town, the smallest in Namibia, and bring needed services to its residents.
The town, described by Sindimba as being in its infant stage, is home to around 15 000 inhabitants.