A draft Green Paper on Land Reform has now been released.

As a policy, the State is to continue to invest in the transformation of land relations. This is clearly to continue to re-dress the historical background of the country.

The vision for land reform positively recognises clearly defined property rights secure forms of land tenure and an accountable land administration system. It further recognises effective land use planning. This is a very positive aspect of the Paper as it entrenches our current registration and planning system which is accurate, reliable and consistent.

What is interesting is that there is recognition as a policy weakness of the current restitution system. Problems arising out of that system such as beneficiary’s selection, consequent administration and governance, attainable targets, declining agricultural contribution, the unrelenting increase in rural unemployment and a problematic restitution model. The current restitution system has few success stories for a multitude of reasons.

The Green Paper further recognises the problems arising out of communal tenure and that there should be a review of the acquisition of land for re-distribution. Further the definition of and qualification of beneficiaries land settlement and production model. It also recognises that the policy has varied in different circumstances. This clearly recognises the failed strategic partnerships that have been set up under the restitution process, driven by the economic difficulties of such a partnership.

The Paper further recognises the concept that the three spheres of government should consult one another in the event of intended disposals of land to avoid the fragmentation of government land. This is also as positive recognition of the problems inherent in the alienation of Government land.

A positive recognition is that of citizen’s continuation to exercise free hold rights of land. This is of course the right to out right ownership which the Green Paper seems to entrench. It is anticipated that there will be regulatory limitation relating to prime unique agricultural land and on resident absentee landlord properties.

It is envisaged that foreigners will no longer hold free hold title but be entitled to lease hold titles subject to limitations imposed by Government. Those may include certain conditions and partnership with South Africans. This in itself is probably not out of keeping with many other countries in the world.

It is interesting that there is to be an establishment of a Land Management Commission to control State and public land, as well as an office of a Valuer General to co-ordinate the valuation of land. Further regulatory body, the Land Rights Management Board will be established appraising us of the private and Government sector. The issue here is the creation of further commissions and boards, the success of which will remain to be seen.

Finally, there is recognition that the social economic re-dress from past practices will take time and an enduring national political effort.

Contact:

Andrew Bembridge, Director: Real Estate, Norton Rose South Africa
Email: andrew.bembridge@nortonrose.com