COMPENSATION OF CROPS AND ECONOMIC TREES IN ABUJA.

By ESV Fatima Aleoghena.

Compensation for crops and economic trees in Abuja is closely linked to land acquisition, resettlement, and livelihood restoration for Project Affected Persons (PAPs). In the Federal Capital Territory (FCT), the process is primarily guided by the Land Use Act of 1978, which empowers government authorities to acquire land for public purposes while mandating compensation for improvements on land such as crops, economic trees, and structures.

However, compensation is usually paid for surface improvements rather than the land itself, since land is legally vested in the state.

Compensation for crops and economic trees serves as a mechanism for mitigating livelihood losses among farmers and indigenous communities displaced by urban development projects.

The Federal Capital Territory Administration (FCTA) implements these processes through the Department of Resettlement and Compensation, which is responsible for valuation, planning of resettlement sites, and payment of compensation for affected assets. In practice, affected farmers are enumerated, their crops and trees are valued by professional assessors, and compensation is paid prior to project implementation or relocation.

Current practices in Abuja show that compensation for crops and economic trees often occurs during major infrastructure or urban expansion projects.

However Despite these frameworks, several challenges persist in the compensation system. One major issue is that compensation rates have historically been outdated and often fail to reflect the current economic value of crops and long-term investments such as oil palm, or cashew trees.

Many of these trees represent long-term livelihood assets accumulated over decades, making under-valuation a significant concern for affected households. Recognizing this problem, the Federal Government initiated a review of compensation rates in 2024 to ensure payments reflect current market realities and provide fair restoration for project-affected persons.

The resettlement policy perspective, effective compensation should go beyond cash payments to include livelihood restoration and adequate resettlement planning. International best practices emphasize that displaced households should be assisted to restore or improve their living standards after displacement. In Abuja, resettlement programmes such as the development of new resettlement sites (e.g., Apo and Wasa) demonstrate attempts to combine physical relocation with compensation for crops and economic trees, although implementation challenges such as delayed payments and valuation disputes remain.such as Fair Market Value: Compensation should reflect current market price for crops and trees. .
Transparency: Clear guide lines and communication are essential for landowners and farmers. Prompt Payment:Timely compenstion is critical to support affected communities.