News: Mekelle residents protest housing scheme turnabout after five-year wait; demand accountability over sudden policy change

Addis Abeba – Residents of Mekelle, who have been waiting for five years to build their own homes under a government-backed initiative, are now up in arms.

The Tigray interim administration’s abrupt decision to shift the project from individual G+1 houses to apartment buildings of up to seven stories has sparked protests.

Although the interim administration adjusted its stance by lowering the requirement to G+4 houses later, participants in the housing scheme argue that the decision undermines their years of savings and violates a long-standing agreement.

Commonly known as “70 Care,” named after the promise of 70 square meters of land for each participant, the initiative was launched in Mekelle, the capital of the Tigray region, five years ago.

Over 3,043 associations, each comprising 20 members, registered for the third round of the program. Participants contributed an initial 20,000 birr and continued to save monthly.

However, the interim administration of Tigray unexpectedly decided to alter the housing initiative from individual G+1 homes to apartment complexes, sparking protests.

On 15 October, 2024, members of the associations gathered in front of the office of the president of the Tigray interim administration to voice their dissatisfaction with the decision. They accused the government of canceling the agreement made at the time of registration, thereby denying their right to acquire land.

Kahsay Abreha, a member of the Hidmona Association and a leader of the committee tasked with negotiating with the interim administration on this issue, expressed frustration over the administration’s breach of the agreement.

In an interview with Addis Standard, Kahsay stated, “Despite resuming savings after the war, the administration has violated the original agreement to provide land to these associations that were formed before the war.”

Kahssay explained that participants in the housing initiative began saving for their plots before the Tigray War broke out in 2020.

“Due to the war and its subsequent economic hardships, we have been waiting for five years to receive the land,” he stated.

To illustrate how their savings have lost value, Kahssay recalled that at the time of registration, $1 was approximately 27 birr. “However, the birr has significantly devalued since then,” he added.

Kahssay further noted that the regional government has held onto participants’ funds, violating the original agreement.

“They have informed us that they will initially construct G+7 apartments, only to later reduce them to G+4,” he emphasized.

He emphasized that Mekelle does not face a shortage of land. “According to the local municipality, city land administration officials have confirmed that there is ample land available but explained that its allocation is governed by regional state guidelines.”

Kahsay underscored that participants have endured severe socioeconomic challenges due to the government’s failure to meet its housing obligations as outlined in Directive 4/2019.

He added, “The Tigray Urban Development and Construction Bureau’s responses to our inquiries have been both inaccurate and inadequate.”

Prior to the third round of registration in 2019, the housing scheme had been operating for the first and second rounds since 2017, providing beneficiaries with land for the construction of G+1 apartment units.

Baraki Tesfaye, another member of the committee, disclosed that this is the third time participants in the housing program have protested en masse in front of the President’s Office, seeking a meeting with Getachew Reda, president of the Tigray interim administration.

“However, we have yet to be granted an audience or receive any response,” he emphasized.

Both Baraki and Kahssay informed Addis Standard that the interim administration has recently issued a new directive to be implemented by the Tigray Urban Development and Construction Bureau and the Housing Development and Administration Agency regarding the implementation of the “70 Care” self-help housing program.

However, they asserted that this new directive significantly deviates from the agreement established at the time of registration, which does not align with Directive 4/2019.

Hagazi Nigus, a legal expert who has closely followed the issue for years, explained that the Self-Help Housing initiative involves cooperatives in which members construct single-story houses using their own funds.

“While they are struggling to secure land and build homes, facing severe socioeconomic challenges due to housing shortages, rising living costs, and high school fees, the regional government has exacerbated the situation by issuing a new decree to replace Directive 4/2019,” he emphasized.

According to the legal expert, there is no clear guidance regarding the G+4 construction that the administration is insisting upon, which contradicts the interests of the beneficiaries and the legal agreement they signed with the government prior to the Tigray war.

Hagazi elaborated that there is uncertainty surrounding how the construction will be managed and who will be responsible for its execution.

“The previous agreement made no mention of providing land for apartment construction, and none of the associations possess the financial capability for such a project,” he stated. “However, the directive emphasized the provision of land for G+1 construction.”

He further emphasized that “the government must adhere to that directive, as there are no grounds to withdraw it.”

“Recognizing their financial challenges, the regional previous government enacted Directive 4/2019, which reduced the initial required savings amount for each individual from 48,000 to 20,000 birr, a measure implemented for the first and second batches,” Baraki told Addis Standard.

He added that following the Cessation of Hostilities Agreement signed between the federal government and TPLF in Pretoria, the associations resumed saving their money in compliance with Directive 4/2019.

According to Hagazi, the new directive has violated the previous one.

“The interim administration has disregarded the rights of the individuals who entered into agreements based on the 2019 directive,” he argued. “The current directive requires a budget that exceeds the financial capacity of the members, which is why they are urging the administration to adhere to the previous directive.”

The legal expert noted that over 80% of the members are government employees with low incomes, making it challenging for them to meet the new requirements.

“Additionally, the money they have deposited thus far has already depreciated, and they are unable to manage the construction of apartments,” he explained. “This would pose a significant challenge, and it would likely take them more than ten years to accomplish.”

The legal expert further contended that no decree can be applied retroactively.

“The new directive is improperly designed and violates Directive 4/2019 regarding land provision for housing construction,” he asserted. “The money saved by members of the associations at Dedebit Microfinance has already lost its purchasing power.”

The head of the Tigray Urban Development and Construction Bureau, Almaz Gebretsadik, recently told Dimtsi Weyane that no land would be allocated to beneficiaries unless they agreed to construct G+4 apartments.

However, Hagazi has rejected this position, arguing that it contradicts Directive 4/2019, which emphasizes that cooperatives and members may build single-story houses using their own funds.

Addis Standard’s attempts to speak with officials were unsuccessful. AS