HC Deb 20 April 1983 vol 41 cc97-9W
Mr. Canavan

asked the Secretary of State for Foreign and Commonwealth Affairs (1) how much of the £6.4 million which the Commonwealth Development Corporation intends to invest in NGPI, Philippines, will be allocated to compensating the land claims of farmers who surrendered their land to the company between its inception and December 1982; and what information he has as to the proportion of the total costs incurred by NGPI and its partners in setting up the plantation at San Francisco, Agusan Del Sur, between its inception and December 1982 spent on compensating farmers who surrendered their land to the company during the same period;

(2) whether, in respect of the Commonwealth Development Corporation project in San Francisco, he will request the Commonwealth Development Corporation to require its partners, NGPI and the National Development Council, to grant additional compensation to farmers who surrendered their land to NGPI between its inception and December 1982 for no money, or inadequate sums; and whether he will ensure that steps are taken to discover which farmers have legitimate, unsatisfied compensation claims.

(3) whether, in view of the request of the Minister for Overseas Development to the Commonwealth Development Corporation to negotiate with its partners in the NGPI project in Agusan Del Sur, Philippines terms to end land abuses on that plantation, he is satisfied that the land claims of all those who surrendered their land to NGPI have been properly investigated and that all claimants have been fully compensated.

Mr. Raison

[pursuant to his replies, 31 March 1983, c. 221–22]: All costs of land acquisition are for the account of NDC, the sole agency authorised to acquire such land which is subsequently leased to the project company, NGPI. CDC's loan is to NGPI for project costs incurred by NGPI.

I have no information on land acquisition costs, which do not fall to the project company.

I am however assured by the Commonwealth Development Corporation that there are proper procedures being applied to the acquisition of land and to the investigation and settlement of genuine claims, including those arising from the period before these procedures were perfected.

Mr. Canavan

asked the Secretary of State for Foreign and Commonwealth Affairs (1) if he will add to his reply to the hon. Member for West Stirlingshire, on 21 March, Official Report, c. 534, in relation to the La Paz and Loreto projects, in the light of further investigations he has made;

(2) whether he is being kept informed of the progress in land settlements on the sites in the Philippines which the Commonwealth Development Corporation hopes to develop with the National Development Company in La Paz and Loreto; and whether the Commonwealth Development Corporation rather than the National Development Company will be responsible for the evaluation, examination and payment of land claims on the proposed National Development Company-Commonwealth Development Corporation plantation.

Mr. Raison

[pursuant to his replies, 31 March 1983, c. 221–22]: As I have informed the hon. Member, the corporation has not yet approached me for final approval of this project which would be undertaken jointly by CDC with the National Development Company. The corporation does not expect to be in a position to submit final proposals much before the end of the year. When the time comes both the board and I will give very careful consideration to the project having regard to such questions as the economic and social benefits it would provide, satisfactory land tenure arrangements and the security situation in the area.

I am being kept informed of progress. No land in the La Paz and Loreto areas has yet been acquired. It has been agreed between CDC and the NDC that any project which may emerge should contain a substantial outgrower element so as to minimise the need to acquire land. CDC are making their own inquiries with the assistance of Philippine consultants to establish whether the local population would be prepared to co-operate with such a development.

If on this basis the project proceeds, CDC would establish, jointly with NDC as the purchasers, the basic price to be paid to title holders, as well as fixed scales of compensation for improvements, and CDC would be directly concerned, jointly with an NDC team, with the determination of payments to be made to those willing to dispose of their land.

Mr. Canavan

asked the Secretary of State for Foreign and Commonwealth Affairs whether it is a condition of Commonwealth Development Corporation investment in the Philippines that the Lost Command and similar forces are removed from the area of potential investments before any large sums of money are committed; and whether the presence of such forces is a factor borne in mind when the Commonwealth Development Corporation considers whether its commitment to such projects should be continued.

Mr. Raison

[pursuant to his reply, 31 March 1983, c. 221]: The CDC did not proceed with its commitment to the NDC/Guthrie project until acceptable new arrangements had been agreed for the project's security involving NDC screening, recruiting and training men to assume duty on the project on or before 30 June 1983. Under its agreements CDC has powers to withhold disbursements in the event that this date is not met or CDC's monitoring of conditions on the project give it cause for concern. Similar criteria will be applied to any CDC investment for any project in La Paz and Loreto.

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