Mbale city suspends collection of street parking fees

Mbale, Uganda | THE INDEPENDENT | Mbale City Council has suspended the collection of street parking fees over the continued fights between its contractors.

On Monday afternoon, business in Mbale city came to a halt as workers of the companies physically fought to collect the revenues.

The companies include Nalu Tours and Travels Limited, and Central Investments Agency Limited, that have over two months been fighting for a contract of collecting the revenues on behalf of Mbale city.

Machete and stick wielding men attacked employees of Nalu Tours and Travels Limited at City council and it took intervention of the police to quell the attack.

Nalu Tours and Travels was contracted by Mbale City Council in January 2022 at a contract fee of Shillings 17 million per month to collect the street parking fees after the expiry of the contract with Central Investments last year.

However, Central Investments has continued to collect the revenues despite the termination of their contract with the city council which has caused tension in Mbale city.

Now, the City Council Public Relations Officer James Kutosi told journalists that until they sort out the contractual problems, no company will be allowed to collect any street parking revenues on behalf of council.

Kutosi says the suspension will run for two weeks and urged the public not to make any payments to any company as they sort out the issue of the rightful contractor.

Abdallah Magambo, the Mbale City Deputy speaker said the ongoing fights have exposed the weakness of the city contracts management committee. He said the city is losing millions of money because of the fights adding that the city council should streamline on who is supposed to collect revenues in the city.

Robert Kamya Luze, the Director Nalu Tours and Travels Limited says the council’s decision to suspend collection of revenues is long overdue, noting that his company is taking on council in court for failing to handover the site yet they have already paid.

He condemned the actions of people he called thugs who attacked his employees with machetes and sticks.

Rajab Namakoola, a resident of the city says that the ongoing fights have exposed the city’s weakness as they failed to hand over the site to the new contractor.

He said the city has failed on its duty of clearing the field and protecting the contractor who is supposed to collect money on its behalf leaving the company to be attacked by goons on the street.

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