Impact of Compulsory Acquisition and Compensation Process on Urban Fringe Resident’s Satisfaction in Abuja

Abstract

Acquisition is deemed necessary when there is a need for development or redevelopment resulting in the payment of damages to those whose properties have been affected by the constituted authority. The study aimed at assessing the impact of compulsory acquisition and compensation on urban fringe residents’ satisfaction using Gwagwalada area council of Abuja as a study area. Survey research was carried out using questionnaires. The simple random sampling technique was adopted for the study, while data obtained from the field were analysed using statistical package for social sciences. The study found out that notice of taking possession, planning for the project, receiving of award for compensation and disbursement of compensation money were the three (3) procedures of compulsory acquisition and compensation process considered effective by the residents while the remaining procedures were considered ineffective. Further findings revealed that residents were dissatisfied with the compulsory acquisition and compensation process in the study area. The study finally found out that compulsory acquisition and compensation process have the lowest effect on residents’ satisfaction as indicated by standardized beta coefficient of 0.458 while adequacy of compensation payment to the claimant has the highest positive effect on resident’s satisfaction with compulsory acquisition with standardized beta coefficient of 0.580. The study recommended that the government should also improve significantly in the transparency of standards involved in the process of land acquisition as this will ensure best practices that will enhance community’s satisfaction.