Rupa community establishes trust to manage mining wealth in Uganda

The Rupa community in Moroto District, Uganda, signed a Community Development Agreement with Sunbird Resources Limited to manage benefits from limestone mining.

Residents spent nearly a decade negotiating terms that would allow them to participate in the mining economy rather than just receiving one-time payments for land access. The agreement covers a 21-year mining licence where the company extracts limestone at a rate of 8,000 tonnes per day.

To manage these benefits, the community organized itself into a trust with a board of trustees and a secretariat. This structure represents approximately 43,000 people, including representatives from different clans, women, and other community sectors. The trust established an investment company to fund long-term projects such as roads, scholarships, a health centre, an ambulance, and an irrigation dam. The deal also includes ten university scholarships every year for 49 years and annual training for ten women.

Mining industry representatives and civil society members expressed different views on how these legal obligations should function. Kenneth Asiimwe, the Chief Executive Officer of the Uganda Association of Artisanal and Small-Scale Miners, argued that mining companies should not replace the government in providing public services. He warned that without strong governance, large sums of money could cause internal community divisions. He also noted that only one mining project typically emerges for every 5,000 exploration licences.

The Mining and Minerals Act, 2022, now makes these agreements a legal requirement for most mineral rights holders in Uganda. The law requires inclusive and non-coercive consultations that include men, women, youth, and vulnerable groups. While the Rupa experience serves as a model for turning mining benefits into sustainable investments, critics emphasize that these agreements must include clear accountability and plans that survive after the mine closes.