SYNOPTIC REFLECTION ON URBAN LAND ADMINISTRATION ISSUES IN ETHIOPIA

1. Decision Makers Meeting On Good Administartion of Lands Polytechnic Hotel School, Windhoek, Nambia 7-8 December 2006 SYNOPTIC REFLECTION ON URBAN LAND ADMINISTRATION ISSUES IN ETHIOPIA Abuye Aneley Alemu

2. URBAN Challenges and Trends • Urban population ~ 16% • Fast Urbanization rate ~4.3% (up to 8%); urban population about 12 Million, by the year 2020~25Mill • Growing youth Population (<30 years) • Urban dwellers living in extreme poverty~40% • Urban un-employment ~26% (~40% in bigger cities) • Cities are essentially slums (~70% are slums) • Critical housing shortage (2.25 million in ten years) • Weak, lagging urban infrastructure; • Weak Municipal Finance • Low Governance & Institutional capacity

3. Opportunities • Urban Development Policy in place , principles of good governance and urban land allocation defined. • Increased Recognition of Urban Agenda • Institutions for urban Sector –MWUD established • PASDEP and Urban Packages prepared • Urban Good Governance Package is prepared • DDTA (CBDSD) studies being completed • The Legal & Institutional conditions for the Establishment of IULIS &RPRS drafted

4. PART ONEURBAN LAND OWNERSHIP and TENURE

5. Land ownership & Tenure ( Historical perspective) • Under the Emperor (pre-1975) there was freehold title. Private land ownership by individuals was encouraged, although the number of people who were actually able to own land was very restricted. • Under the DERG (1975-1993) all land was nationalized. Private land ownership outlawed. Right to use property and own buildings were possible but no private ownership of land. • The current government maintained the public ownership of land but allowed for land to be held by individuals and companies by way of a lease.

6. Objectives of the Land Lease Policy • Market value to Land • Encourage Investment • Control the undesired expansion of cities • Provision of housing and infrastructure • Combating speculation & non-transparent system of land allocation

7. Main challenges in Land lease Implementation • The existing land tenure system in cities is complicated and resource draining. • The conversion of “permit” land to lease; • The current system of mass land allocation; • The absence of an independent system of registering real estate transactions; • The detail requirements of land right registration system; • A lack of street addressing system;

8. PART TWO LAND ADMINISTRATION AND LAND MANAGEMENT

9. Summary of Main issues On Land Markets • Market demand is not considered in Land allocation • Increasing informal occupation of land (Active informal market) • Majority of property acquired with out mortgage

10. Main Issues of Land Administration • Urban planning poorly related to rapidly evolving situation • Exhaustion of available land for urban expansion • Problems and costs related to existing and new urban infrastructure services • Problems with the Leasehold and Permit Land regimes • Not all lands are titled • Land administrations devolved at the city level but,swamped by petty routines(time taking land transfer procedures) • Weak Land Records (existing land records management systems are inefficient; In some cities only about 20- 30% are registered )

11. …Main issues on Land Administration • Land Rents and taxes • Difficult to collect • Data demanding, complex unclear • Land Surveying • Constraining cadastre projects • Causing boundary conflicts • Map exists but generally inaccessible • ICT & Geographical information Systems • Unsustainable due to financial & human resource constraints • Data collection driven by master planning & property valuation

12. Proposed actions for Enhanced Land Administration and Management Systems • streamline administrative routines, • Introduce strategic spatial analysis, land budgeting, and associated capacity building: • Set up an improved, multipurpose land grading system in municipalities; • Introduce new parameters and standards for residential subdivisions with pro-poor objectives

13. Main Proposals… • Institute a Progressive Reform of the Leasehold Regime, including increasing rates • Raise permit regime land rents to improved leasehold rent levels • Improving Land Records and Associated Billing for Revenue Enhancement • Establish municipal land servicing funds in the medium term • National standards, norms and procedures for land registration, But with local objectives • More secure and efficient real property registration system • Better and more accessible land information

14. Implementing Proposals • Apply over 5 to 10 years through “learning by doing” • Municipal land administration capacity improvements must be mainly “on the job” training • Based on priorities (Economic analysis) Begin implementation first in pilot ULGAs • Provide practical technical assistance imbedded at municipal level in pilot ULGAs • Launch pilot digital mapping initiative urgently • Institutional capacity to address land administration issues