In what seems like a contradiction in terms, the Land Reform Advisory Panel has found that there’s about 30% of available government land that could be redistributed as part of expropriation without compensation (EWC).
But the redistribution part of such an exercise, and the costs attached to that, will have a price tag itself of about R240 billion - and the government can’t afford it.
In other words, to paraphrase Wandile Sihlobo of Agbiz who served on the panel, the government will not be able to pay for transferring land to the dispossessed masses without being compensated.
The land in question is said to be mainly under-utilised or unutilised.
It also includes stands acquired for equity exercises that have failed.
Sihlobo also remarked that for EWC to be successful, significant changes would have to be made at an institutional level. It’s not certain whether he meant this with reference to the public or private sectors, or both.
The report in which the panel published it findings will now make its way to an inter-ministerial committee on land reform.
In the meantime calls have been made for the establishment of a private fund to encourage financial contributions for the enablement of EWC.
