A Journey Toward Solutions A STORY OF COMMUNITY-COMPANY DISPUTE RESOLUTION IN UGANDA About CAO The Office of the Compliance Advisor Ombudsman (CAO) is the independent accountability and recourse mechanism for the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA), the private sector lending and insurance arms of the World Bank Group. CAO addresses complaints from people affected by IFC and MIGA projects with the goal of improving social and environmental outcomes on the ground and fostering greater public accountability of IFC and MIGA. CAO reports directly to the President of the World Bank Group. For more information about CAO, please visit www.cao-ombudsman.org Cover photo: Rural landscape in the Mubende district, Uganda (Felix Davey/CAO). A Journey Toward Solutions A STORY OF COMMUNITY-COMPANY DISPUTE RESOLUTION IN UGANDA © 2015 Compliance Advisor Ombudsman (CAO) All rights reserved. Office of the Compliance Advisor Ombudsman (CAO) World Bank Group Rights and Permissions 2121 Pennsylvania Avenue NW Washington, DC 20433 USA The material in this publication is copyrighted. Copying and/or Telephone: + 1 (202) 458-1973 transmitting portions or all of this work without permission may be Web site: www.cao-ombudsman.org a violation of applicable law. CAO encourages dissemination of its e-mail: [email protected] work and will normally grant permission to reproduce portions of the work promptly. The findings, interpretations, and conclusions expressed herein are those of the author(s) and do not necessarily reflect the views of the For permission to photocopy or reprint any part of this work, please Executive Directors of the World Bank Group or the governments send a request with complete information to the Office of the they represent. Compliance Advisor Ombudsman, 2121 Pennsylvania Avenue NW, Washington, DC 20433 USA; fax: +1 (202) 522-7400; e-mail: cao@ CAO does not guarantee the accuracy of the data included in this worldbankgroup.org. work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on All other queries on rights and licenses, including subsidiary rights, the part of CAO concerning the legal status of any territory or the should also be addressed to the Office of the CAO at the above endorsement or acceptance of such boundaries. address. CONTENTS Case Timeline .................................................................................................... iv FIGURES Overview ..............................................................................................................1 Figure 1. The Stakeholders ............ 5 The Complaints ...............................................................................................2 Figure 2. The Dispute Assessment .........................................................................................................6 Resolution Process ................... 12 Listening to Local Voices .................................................................................6 Supporting Informed Decision Making for Dispute Resolution..........................7 BOXES Determining Community Representation .........................................................8 Box 1. Ensuring Broad Dispute Resolution ..............................................................................................9 Community Representation ........ 7 Establishing Ground Rules ..............................................................................9 Box 2. Respecting Confidentiality .. 9 Defining the Issues ........................................................................................10 Box 3. Establishing Legitimacy Building Community Capacity .......................................................................11 and Sharing Information with Role of Observers and Advisors ....................................................................13 the Broader Constituency ......... 13 Building the Mediation Team .........................................................................14 Box 4. Measuring Success .......... 23 Forming Community Cooperatives ................................................................15 Settlement and Outcomes ................................................................................16 MAP Reaching Agreement ....................................................................................16 The Kiboga and Mubende Implementation .............................................................................................18 Districts in Uganda ..................... 3 Outcomes: Resettlement ..............................................................................19 Outcomes: Agriculture ..................................................................................20 Outcomes: Local Development Initiatives ......................................................21 Outcomes: Sustainability ...............................................................................22 Conclusion .........................................................................................................25 Reflections on the Process ............................................................................25 In Memorium ......................................................................................................27 CASE TIMELINE APRIL 2012 MAY 2014 CAO assessment report JULY 2013 Kiboga community and released, outlining the Mubende the New Forests Company parties’ decision to community and sign final agreement. Full address issues through the New Forests and final settlement of dispute resolution. Company sign final MARCH 2013 agreement. Full the complaint to CAO. Mubende APRIL 2013 and final settlement CAO starts monitoring community and Kiboga of the complaint implementation of the the New Forests Twegatte to CAO. CAO agreed actions. Community JANUARY 2012 Company sign Cooperative starts monitoring Development Coordinator CAO finds the framework Society implementation of starts working with both complaints eligible. agreement. registered. the agreed actions. communities. 2011 2012 2013 2014 DECEMBER 2011 FEBRUARY–MARCH 2012 APRIL 2012–MARCH 2013 MAY 2014–PRESENT CAO receives two CAO team travels to Uganda CAO facilitates extensive bilateral and plenary CAO continues complaints from to meet with community sessions between the New Forests Company monitoring the Mubende members, the New Forests and the Kiboga and Mubende communities, implementation of and Kiboga Company, Oxfam, the as well as their advisors (Oxfam) and legal agreements. Mubende communities in Uganda Land Alliance, representatives. Representation of parties community resettle Uganda supported government representatives, established. Two separate mediation processes onto land, harvest by Oxfam and the National Forestry are initiated between the New Forests Company first crops, and build the Uganda Land Authority, and Uganda and the Mubende and Kiboga communities, homes. Community Alliance. Investment Authority as part respectively. Informational meetings held with development projects of the CAO assessment. government representatives, where relevant. underway. Kiboga community acquires JUNE 2013 land for resettlement. Mubende Bukakikama Cooperative Society registered. iv “Life is changing and I am humbled by the tireless efforts of CAO, Oxfam, and NFC.” Mrs. Tumuhirwe Khedris, Member of the Mubende Bukakikama Co-operative Society Local children run past the New Forests Company plantations in Uganda (Felix Davey/CAO). OVERVIEW As Uganda has sought growth in investment in the forestry sector This case study tells the story of what happened next. CAO through public-private partnerships, changes in land use in some provided a neutral, impartial process for the company and affected instances have caused frictions to flare between stakeholders. communities to jointly explore resolution of the issues—a process In 2011, the government of Uganda claimed responsibility for the that moved beyond judgment and finding fault to focus on practical, eviction of community members from Central Forest Reserves in effective, and sustainable solutions for all involved. As part of the Uganda, stating that the land had been demarcated for commercial process, the focus shifted from rights violations and reparations forestry plantations and had been illegally occupied. The company to a forward-looking focus on sustainable financial benefits and operating the plantations, the New Forests Company, is an investee collective development for the community. Today, the agreements of the Agri-Vie Agribusiness Fund, a private equity fund supported by reached between the parties have started a process through which the International Finance Corporation (IFC), the private sector arm of community livelihoods are being enhanced and restored, and the World Bank Group. In December 2011, two affected communities more broadly, have helped build community capacity, foster social lodged complaints to IFC’s independent recourse mechanism, the cohesion, and promote economic independence. Compliance Advisor Ombudsman (CAO). 1 THE COMPLAINTS In December 2011, CAO received two complaints from communities is the Agri-Vie Agribusiness Fund, a private equity fund supported by in the Kiboga and Mubende districts of central Uganda. The IFC. The company claimed that it had identified two communities living community members filed their complaints with assistance from in the Namwasa and Luwunga Central Forest