The determination of compensation payable in the Niger Delta for compulsory acquisition and the need for sustainable practice

Akujuru, V; Ruddock, L

Abstract

The right to compensation for the compulsory acquisition of real property is constitutional and most enabling laws
prescribe valuation methods to be adopted in determining the compensation payable. This paper aims at ascertaining the
implications of the constitutional provisions and its impact on the compensation payable. It reviews some legislation,
prescribed compensation rates and a valuation report on the Obite- Ubeta- Rumuekpe (OUR) pipeline acquisition and
analyses the valuation method used. When compared with internationally prescribed standards, the paper concludes that
the compensation determined does not meet the compensation requirements of adequacy and that the use of
predetermined compensation- rates corroborates the inadequate compensation determination and renders agricultural
practices unsustainable. It recommends the adoption of valuation methods that indicate compensation sums that are
equivalent to market realities to sustain agricultural practices.

Citation

Akujuru, V., & Ruddock, L. (2014). The determination of compensation payable in the Niger Delta for compulsory acquisition and the need for sustainable practice. Journal of sustainable development in Africa, 16(2), 102-114

• Journal Article Type: Article
• Publication Date: Jan 1, 2014
• Deposit Date: Jun 16, 2015
• Publicly Available Date: Jun 16, 2015
• Journal: Journal of Sustainable Development in Africa
• Peer Reviewed: Peer Reviewed
• Volume: 16
• Issue: 2
• Pages: 102-114
• Publisher URL: http://www.jsd-africa.com/Jsda/Vol16No2-Spring2014B/PDF/The%20Determination%20of%20Compensation%20Payable.pdf
• Related Public URLs: http://www.jsd-africa.com/