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DEPARTMENT OF LAND AFFAIRS. PRESENTATION TO THE JOINT BUDGET COMMITTEE ON THE BUDGET EXPENDITURE MS C CHOANE: CHIEF FINANCIAL OFFICER MR T GWANAYA: CHIEF LAND CLAIMS COMMISSIONER 23 MAY 2005. Vision.
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DEPARTMENTOF LAND AFFAIRS PRESENTATION TO THE JOINT BUDGET COMMITTEE ON THE BUDGET EXPENDITURE MS C CHOANE: CHIEF FINANCIAL OFFICERMR T GWANAYA: CHIEF LAND CLAIMS COMMISSIONER 23 MAY 2005
Vision An equitable and sustainable land dispensation that promotes social and economic development Mission To provide access to land and to extend rights in land, with particular emphasis on the previously disadvantaged communities, within a well planned environment Accelarating Land Delivery for Sustainable Development
POLICY CONTEXT Accelarating Land Delivery for Sustainable Development
STRATEGIC CONTEXT (2005/2006) Framework for implementing land and agrarian reform • International: Millenium Development Goals • Regional: NEPAD • Subregional: SADC Land Technical facility • National:- • Vision 2014: Poverty Alleviation and Job Creation • Ten year review • 2005 cabinet lekgotla resolutions • 2004 & 2005 state of the nation address • 2005 directives from the executing authority Consolidating the African Agenda Socio-economic development Rural Development Urban Renewal Accelarating Land Delivery for Sustainable Development
STRATEGIC CONTEXT (2005/2006) • Integrated land and agrarian reform implementation strategy • Micro Economic Reform Strategy (MERS) • Comprehensive policy review process • Development planning within an African context • Contribution towards URP and ISRDP (land needs) • Facilitating development planning for land reform projects • Devolution of functions to local government • Skilling land reform beneficiaries Accelarating Land Delivery for Sustainable Development
STRATEGIC CONTEXT (2005/2006) • Stateland disposal and management • Land for Housing • Land for human settlement strategy • CASP and LRAD • TRANCRAA • Decentralisaion of Land Planning and Information finction (Project Mutingati) • eCadastre Accelarating Land Delivery for Sustainable Development
STRATEGIC CONTEXT (2005/2006) Governance Increase the capacity of the International Relations Unit Training on diplomatic relations and protocol Project Mutingati Internship and Learnership programme Management development programme Information security in terms of MISS Human Resource Plan Skills audit Citizen Satisfaction Survey Service Delivery Improvement Plan (Programme) Accelarating Land Delivery for Sustainable Development
AMOUNT OF LAND TO BE DELIVERED • The total size of land in South Africa = 122 m (ha) • Total farmland = 100 million ha. • Total white-owned agricultural farmland = 82 million ha • The Government has set itself the target of delivering 30% of commercial agricultural land by 2014 • 22 million ha of agricultural land must have been delivered by 2014. • Therefore 20.6 million hectares must still be delivered • On average 1.87 million ha must be delivered per year to meet target Accelarating Land Delivery for Sustainable Development
LAND DELIVERED SINCE 1994 • Total size of land delivered since 1994 is about 3,5 million ha ( 3 536 756.06 ha) • This includes land delivered through the restitution, redistribution and state land. • The total number of household/individuals that have benefited from land reform is 1 028 887 • The contribution per programme is as follows: Accelarating Land Delivery for Sustainable Development
LAND DELIVERED SINCE 1994 • Redistribution: 1, 780, 260. 35 ha • Restitution: 887,093.00 ha • Tenure Reform: 171, 554. 72 ha • Stateland: 772, 660. 00 ha Accelarating Land Delivery for Sustainable Development
Restitution • From 1999 to 31 March 2005: 59,345 claims settled • Benefited 172,769 households • Delivering to 887,093 ha of land. • 31 December 1998: Validation project ascertained that 79 696 claims had been lodged. • Total of 28 087 claims yet to be settled by 2008/2009 • 18 238 claims to be settled by 2005/2006 • Remainder of 9 808 claims to be settled between 2006/2007 and 2008/2009 • These claims have an impact on the economy of South Africa, i.e. agriculture is the backbone of the economy in KwaZulu-Natal, Mpumalanga and Limpopo. Accelarating Land Delivery for Sustainable Development
Restitution • As part of its settlement process, the Commission developed an implementation plan that indicates how the process is to be finalised. • The development of the plan involved MINMEC and other stakeholders • The President approved a 3 year extension for restitution to be finalised by 31 March 2008 • Minister of Finance announced a R6billion increase in the budget for restitution over the next 3 years • Commission has created 280 posts to be able to increase capacity to process claims Accelarating Land Delivery for Sustainable Development
Restitution Ctd. • New strategies have been developed to fast-track the processing of claims e.g. batching/grouping of claims, standard settlement offer, outsourcing, use of interns and seconded officials • Belgium Government has approved 6million Euros for fast-tracking settlement of claims and a further 6million Euros for post-settlement support • To this end, the process is beginning to bear fruit for the much needed support in the Post settlement process i.e. some Provincial initiatives have even begun to commit funds towards this to guarantee a sustainable settlement. Accelarating Land Delivery for Sustainable Development
Restitution Accelarating Land Delivery for Sustainable Development
Budget for the MTEF period up to 2007/2008 - Capital Accelarating Land Delivery for Sustainable Development
RESTITUTION (CONT.) BUDGET 2005/2006 • The commission has over the Years managed to spent its budget allocation. The past financial year was no exception the total budget spent by the branch was R1.18 billion. The original allocation was depleted in October 2004 and an additional allocation of R200m, was advanced by National treasury in January 2005 Accelarating Land Delivery for Sustainable Development
BUDGET 2005/2006 (REST) • For the new financial year the commission was allocated a total budget of R2,7 billion broken down as follows: Capital – R 2,5 billion ( 92% ) Current - R 0.2 billion (0.08%) Accelarating Land Delivery for Sustainable Development
BUDGET ALLOCATION PER PROVINCE Accelarating Land Delivery for Sustainable Development
BUDGET 2005/2006 • For the remainder of the claim settlement period, the commision is left a good number of complex and high valued claims; • The estimated prices range is between R120m to R250m. • This the acquisition of land excluding the Business operations. • Strategic partnering with the claimants is being advocated to mitigate against having to pay for the costly operations and in particular to ensure business continuity and skills transfer. Accelarating Land Delivery for Sustainable Development
Meduim term output targets –Restitution Accelarating Land Delivery for Sustainable Development
2005/06 MTEFper Programme Accelarating Land Delivery for Sustainable Development
2005/06 MTEFper Programme Accelarating Land Delivery for Sustainable Development
CHALLENGES • Ensure implementation of land reform at a reasonable level • Finalising restitution process in 2007/2008 • Managing risks inherent in the restitution ‘high drive’ • Not much State land exists for redistributive or restitution purposes (most of it is already settled) Accelarating Land Delivery for Sustainable Development
CHALLENGES • High land prices • Some unco-operative sellers • Organised agriculture must demonstrate more concrete commitment to land reform • Increasing the culture of respect for land rights of vulnerable groups like labour tenants, occupiers and other farm dwellers • Skilling of and technical support to land reform beneficiaries is critical for sustainable land & agrarian reform Accelarating Land Delivery for Sustainable Development
CONCLUSION • Significant progress has been made towards the implementation of the land policy in South Africa • Additional resources are required to meet the 30% target for 2014 • The Land Summit (27-30 July 2005) will help in identifying areas for policy reviews, such as the willing-buyer-willing-seller policy, international experience in land reform and the financing of land reform • The role of Provincial departments of Agriculture, organised agriculture, NGO’s and the private sector, is critical for post-settlement support to land reform beneficiaries Accelarating Land Delivery for Sustainable Development
THANK YOUTime for questions and answers Accelarating Land Delivery for Sustainable Development