Web agri june 2016

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agri Nuus/News <<< page 29 If the state is unable to pay compensation within a reasonable period of time the land should not be expropriated.
 • It is very important that a transparent process be followed with regard to valuations. 
 • Payment must be made immediately and in cash. The new Expropriation Bill to a large extent meets these requirements. Agri SA was closely involved in negotiations around this bill and significant improvements were made during the Nedlac process, after which amendments were effected to the bill. However, there is a concern regarding the definition of expropriation, which was inserted into the Bill during the Portfolio Committee stage. Agri SA is in the process of making further inputs in this regard, as well as on the issue of the timing of payment of compensation. Agri SA’s provincial affiliates were requested to attend the provincial hearings on the Bill in April and were empowered with information to be able to provide input. It is important to bear in mind that expropriation is not aimed solely at land and will also not be used solely for land reform purposes. Expropriation for infrastructure purposes takes place on a weekly basis. With regard to land reform, the Constitution specifically stipulates that expropriation may also be used for this purpose. Agri SA’s view that it should be a last resort was noted – the Bill requires that all attempts should be made to reach an agreement with the land owner before resorting to expropriation. It is also important to understand that the Expropriation Bill as such does not create new powers for expropriation, but merely dictates the process to be followed when a power to expropriate (as enacted in other legislation) is exercised. To avoid a situation of chaos and self-help, it may under certain circumstances be necessary for the state to exercise its expropriation powers in respect of land.

 During its submissions within Nedlac and in Parliament, Agri SA adopted a very firm view that land reform should be funded from the Treasury and that individuals cannot be expected to bear such costs. Agri SA asked that compensation should as far as possible be equal to market value. The deputy-minister, Jeremy Cronin, repeatedly emphasised that compensation must be fair and equitable and said the amount payable may even sometimes exceed market value.

 However, the fact is that expropriation has a place – also in the context of land reform. What is important is to ensure that the process is transparent and fair; that land owners have full access to the courts; and that fair and equitable compensation is paid in all situations where land owners’ property rights are curtailed or they stand to suffer significant financial loss. There is also certainly a need for functional partnerships between the state and private sector to expedite rural development and land reform and to make it more sustainable. Agri SA has made certain proposals in this regard, which includes a financing model that will hopefully soon be discussed with government at high level. The greater the progress made with these initiatives, the smaller the need for expropriation will probably be. The Constitution entrenches the rights and responsibilities of government, land owners and all citizens and serves as the ultimate test for all legislation and political actions. Agri SA has sought legal opinions on the Expropriation Bill, as it often does in the case of legislation that affects the rights of its members. Agri SA will also seek a legal opinion on the Regulation of Land Ownership Bill which, according to minister Nkwinti, will soon be published for public commentary. agri JUNIE/JUNE • JULIE/JULY ‘16 bladsy/page

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