Mr Speaker and His Excellency the Deputy President, the Constitution of the Republic provides for the protection of property and the expropriation of property for public purposes or in the public interest, subject to the just and equitable principle enshrined in our Constitution. South Africa has begun a new and far-reaching phase of its democratic transition. This calls for bold and decisive steps to place the economy on a qualitatively different path.
As the ANC government, we boldly present the Property Valuation Bill to the House today. This Bill will ultimately ensure effective, efficient and economical support in respect of property valuations undertaken in the public interest or for public purposes.
This is a transformative Bill which will move the ANC's economic transformation agenda forward. The Bill introduces the Office of the Valuer- General. It's an autonomous statutory body which will be accountable to the Minister. It will be responsible for the valuation of all property identified for purposes of land reform, while having regard for the equitable balance between the public interest and the interests of those affected by the acquisition, and taking into consideration all relevant circumstances, such as the following: current use of the property; history of the acquisition and use of the property; market value of the property; extent of direct state involvement and subsidy in the acquisition and beneficiary capital improvements of the property and purpose of the acquisition.
For the first time these constitutionally entrenched considerations will be embedded in our valuation system and will form the basis for valued determinations in respect of land reform-related acquisitions. With the passing of this Bill into law, government will no longer be subject to the willing-buyer, willing-seller model when acquiring land in the public interest or for public purposes.
The Bill provides for voluntary valuation services to other departments and public entities, and provides for the setting of criteria procedures and the monitoring of valuations. It is our firm belief that the setting of such valuation criteria procedures and the monitoring of valuation practices will soon translate into a tangible hoard of evidence informing our land acquisition processes now and into the future, thus ensuring the constitutionality of such practices.
We are moving South Africa forward despite the screams and shouts of resistance from representatives in this House of the landed class, both domestically and internationally. Thank you very much. [Applause.]
Hon Speaker, hon Deputy President, Ministers, and colleagues in the House, a central feature of the Land Reform Programme has been the acquisition of land on the basis the of willing-buyer, willing- seller principle; a demand-driven and market-base model predominantly based upon the historical value at the time of dispossession. Through this programme, government has set a target of delivering 30% of commercial agricultural land, about 25 million hectares, by 2015.
To date only a quarter of the 30% target has been reached. The escalation of land prices has been among the main challenges, which have significantly contributed to the slow pace of land redistribution. This had raised questions about the efficacy of the market-based land reform system and the government's ability to participate therein without influencing the market and, thus, land prices. The experience in implementing the Land Reform Programme since 1994's democratic breakthrough shows that there has been slow progress regarding land redistribution.
Faced with this situation, the ANC, at both its 52nd National Conference in 2007 and the 53rd National Conference in 2012, characterised what needed to be done as follows: Land reform must represent a radical and rapid break from the past without significantly disrupting agricultural production and food security; the resources of the state must be mobilised to reverse the human and material conditions of those displaced by previous land policies; and the equitable allocation of the use of land across class, race and gender must be ensured.
The central pillars of an ANC programme of rural development, land reform and agrarian change is based on the following: firstly, the provision of social and economic infrastructure and the extension of government services; secondly, the fundamental changes in the patterns of land ownership to the redistribution of land as part of the deracialisation of the rural economy; thirdly, the agrarian transformation with production discipline so as to support subsistence food production; expanding the role of productivity from modern smallholder farming and maintaining a vibrant agricultural sector; and changing the patterns and modes of ownership of production.
Informed by this, the ANC-led government has therefore focused on the realisation of the constitutional injunction, as per section 25(5) of the Constitution of the Republic of SA, that:
The state must take reasonable legislative and other measures, within its available resources, to foster conditions which enable citizens to gain access to land on an equitable basis.
The willing-buyer, willing-seller approach has constrained the pace of land reform due to the fact that the market is unable to effectively alter the patterns of land ownership in favour of an equitable and efficient distribution of land. The ANC is resolute that replacing the existing system with a just and equitable constitutional principle, where the state is acquiring land for land reform purposes, remains the only viable solution to deal with challenges of land reform.
The ANC policy position, which has informed this Bill, proposes the institution of a land valuation service which includes the Office of the Valuer-General. Land is a fundamental feature of ownership and control. The setting up of institutions to regulate land use, standardise land valuations and normalise land use and distribution is vital. In this context, the Office of the Valuer-General is central.
What is the problem statement that this Bill has to address? Firstly, the country lacks a comprehensive and reliable, collated set of property values which in itself raises very serious questions of overpricing. Secondly, until this Bill there has been an absence of a legislative framework to determine when market value is one of the variables in determining value as opposed to being the only criterion. Thirdly, there has been a history of conflict of interest and malpractice. Lastly, the approach of valuation has been unhistorical and mechanical.
The Bill, therefore, in addressing this problem statement, provides a framework for fair and consistent land values. It provides for determining financial compensation in cases of land expropriation, and it sets norms, standards and guidelines to validate the integrity of valuation data. In the context of land restitution, this Bill is essential. In order to deal with the challenges outlined, new legislation was required to: give effect to the provisions of the Constitution; provide for land reform and land restitution; and facilitate land reform and land restitution through the valuation of property. The Property Valuation Bill was developed to meet these challenges.
The Bill provides for the establishment, functions and powers of the Office of the Valuer-General, which will provide a compulsory valuation service in respect of property that has been identified for land reform, as well as a voluntary valuation service to departments for the acquisition or disposal of property. The Office of the Valuer-General will also play a major role in providing a regulatory service which will entail the setting of criteria and procedures for valuations as well as the monitoring of valuations to ensure compliance.
What is clear is that we cannot continue with the situation wherein the price of land is artificially set at a very high level, taking advantage of the government's efforts of redistributing land. The ANC seeks to avoid redistribution and restitution that will not generate forms of farming with aggregate net benefits in the pursuit of agrarian transformation in terms of livelihood, employment and incomes. For the ANC, a clear purpose of both redistribution and restitution will be to continue offering the landless the best prospects of access to land for productive use in order to improve their income and quality of life.
Let me now turn to what is likely to be said by particular political parties in this debate. The notion from these parties will relate to constitutional issues, and they will even make threats of what they intend doing. Section 25(1) of the Constitution states:
No one may be deprived of property except in terms of law of general application, and no law may permit arbitrary deprivation of property. On constitutional legal advice, this clause cannot impede the state from taking legislative and other measures to achieve land, water and related reforms in order to redress the injustices of the past, provided that any departure from the provision of this section is in accordance with section 36(1) of the said Constitution, which states:
The rights in the Bill of Rights may be limited only in terms of law of general application to the extent that the limitation is reasonable and justifiable in an open and democratic society based on human dignity, equality and freedom ...
For that matter, the Constitution, in section 25(3) allows payment of compensation for property acquired in the public interest by the state on a basis other than compensation to market values. It does not give market value any priority over other factors, nor does it imply that it must be the entry point for the calculation of compensation. Let us ensure that we ground our arguments on what the Bill as an expression of policy ensures, and not on what our subjective emotions may desire.
The material conditions of people and the historical circumstances that have necessitated the ANC to intervene in order to improve the living conditions of the people is the prime objective of this Bill. [Interjections.]
Mr Speaker, will the hon Thibedi take a question? [Interjections.]
Will you take a question, hon member?
No, I will not take a question, hon Speaker.
Proceed, sir!
Our mission as the ANC is clear: We want to build a united country. We want to reconcile our people and we believe that this is one of the instruments that we can pursue in doing so. However, once more, we also want to build a national democratic society. That society will be characterised by a nonsexist outlook. If you look to my right, you will see the state that we seek to build. That state will also be nonracial in character, the opposite of what I see on my left.
The ANC is a party that can be trusted. We were trusted since 1912, when we said to our people that we will return the land back to them. They trusted us in 1955 when we said, "The land shall be shared amongst those who work it." They trusted us in 1994, when we said, "Elect us into power; we will help you and move with you towards a national democratic society. I have spoken about. They trusted us in 1996 when we adopted the Constitution of the Republic of South Africa. We will be here tomorrow as we have been here yesterday and today, leading our people. Thank you very much. [Applause.]
Hon Speaker, the Property Valuation Bill aims to create the Office of the Valuer-General, which will value properties earmarked for land reform purposes or any other acquisition or disposal of land by a department. Land earmarked for reform will be valued on a just and equitable basis and will almost certainly be below the market value. This is regrettable.
The Bill is the first step towards scrapping the accepted willing-buyer, willing-seller principle and the DA views this as unnecessary, given that it is yet to be conclusively established that the policy is the root cause of the slow pace of land reform. We see slow land reform as the inefficiency of the department as well as corruption and collusion between land commission officials and some landowners.
The Bill's definition and criteria are too broad and may be prone to manipulation and abuse, and may well weaken the relationship between government and the private sector. South Africa needs experienced and skilled farmers to mentor new emerging farmers. The Banking Association of South Africa cautioned against placing the Office of the Valuer-General under the undoubtedly biased Department of Rural Development and Land Reform. They proposed that the office should be placed under the Department of Public Works to avoid a conflict of interests.
Le ge re se ra kgotsofalela Molaokakanywa wo, re amogela go tsent?hwa ga Kgoro ya Tsheko go thu?a ka tharollo. DA e dumela gore Molaokakanywa wo o tla hlola dithulano go ya ka Molaotheo wa naga mo Molaong wa T?hirelet?o ya Dithoto t?a batho, karolo ya masomepeditlhano karolwana ya boraro ya tlhatswamatsogo. DA e amogela diphetogo t?eo di dirilwego ge go lekolwa Molaokakanywa wo go ya ka tshepedi?o ya Palamente. Go fetot?we maemo a Motlat?a Molekodi-Kakaret?o go ba Molaodimogolo wa Tshepedi?o. Go tsent?we nako ya dikgwedi t?e tshelelago gore balekodi ba fe mongnaga dipoelo, ntle le ge go na le seo ba sa se nyaki?i?ago.
DA e nyaka go bona mo?omo wa balekodi o sepela ka tshwanelo. Re dumela gore MaAfrika Borwa ba rata naga ya bona gomme ba rata go bona e na le t?welopele. Re nyaka go bona ekonomi ya rena e t?wela pele e sa senywe ke diphapano t?eo di le go gona magareng ga rena le beng ba naga. Re nyaka go bona molao o sepedi?a taba ye ya t?a mafase ka tsela yeo e lego gore re tla kgona go holega go t?a ekonomi.
DA e re, naga ye ke ya rena ka moka ga rena ka fao re swanet?e go ?omi?a molao ka dinako t?ohle. Re lemoga gore ge ele nako ya dikgetho, go t?welela melawanalawana ye ment?i yeo e lego gore e ka gakant?ha set?haba, eup?a set?haba sa rena se tseba gore mo mengwageng ye masome a mabedi ya pu?o ya ANC, ga se sa ka sa bu?et?wa naga ya sona. Re gopot?a MaAfrika Borwa gore DA e gona, t?eo di diragalago gonabjale le se ke la di t?eela hlogong, le se ke la di tshepa ka gore e sa le ditshepi?o t?e dingwe t?eo e lego gore di ka se tsoge di phethaget?e.
Rena ba DA re re emang le rena le re tshepeng, re feng maatla, re feng dibouto t?a lena gore le kgone go humana bophelo bjo bokaone bjoo e lego kgale le bo emet?e. Ke kgale go dirwa ditshepet?o, bjale re le kgopela gore le feng DA sebaka e swane le mekgahlo ye mengwe, e kgone go bu?a gomme e le direle t?eo di le loket?ego. Re re le tlai?egile mengwaga ye masome a mabedi, ka fao re kgopela gore le re fe sebaka. Fetolang dibouto t?a lena gomme le di fe DA. Ke a leboga. (Translation of Sepedi paragraphs follows.) [Even if we may not agree with this Bill, we welcome the court to assist in resolving this. The DA believes that the Bill will cause conflicts in terms of section 25(3) of the Constitution of the country, regarding protection of property. The DA welcomes the amendments made when the Bill was reviewed in terms of the parliamentary procedure. The status of the Deputy Valuer- General has been changed to that of the chief executive officer. A timeframe of six months has been given for the valuers to report on the results to the head of state, unless there is still something under investigation. The DA would like to see the smooth running of the work performed by the valuers. We believe that South Africans are patriotic and want the best for the nation. We would like to see economic development not being tarnished by conflicts which are prevalent among us and the ruling authorities of the country. Let the law take its course on land issues in a manner befitting for the economic benefit.
The DA says that the country belongs to all of us and therefore we need to implement the law all the time. We are aware that, as the elections are approaching, a number of laws are arising which might be confusing to the public, but the public should know that during the 20 years that the ANC has been leading the government the land was not returned to the rightful owners. We remind South Africans to vote for the DA as the party of choice. People must not be misled by the empty promises made that will never be fulfilled.
As the DA we urge the public to have confidence in us and give us power by voting for us for the better life that they have been long waiting for. Like it happened with other organisations, we appeal to you to afford the DA the chance to govern and provide services according to your needs. You have suffered enough, and therefore we request you to give us the chance. Change your votes to DA. I thank you.]
Hon Speaker, hon Minister and hon members, the Property Valuation Bill is, in essence, accelerating transformation and is pro- justice and equity. I quote from the Constitution of South Africa of 1996, section 25(8), which stipulates:
No provision of this section may impede the state from taking legislative and other measures to achieve land, water and related reform, in order to redress the results of past racial discrimination ...
The following are among the challenges that had to be addressed: The demand- driven and market-based model, better known as the willing-buyer, willing- seller model, for the acquisition of land was an important characteristic of the land reform programme. This was mainly based on the historical value at the time the land was dispossessed. Only 7,5% of government's intended target of 30% delivery of agricultural land by 2015 was reached. This means just over 6 million hectares of the 25 million hectare target has been reached.
Another challenge in land reform was the escalating land prices. It contributed tremendously to the slow pace of land redistribution. Property valuation was identified as the central problem in government's implementation of land reform. Gently stated, valuations have not been interpreted and applied in a uniform manner. Therefore the need has arisen, upon proper analysis, to aggressively implement the framework of how to deal with valuations.
During the oversight periods we became aware of sky high prices charged for land by some owners who conducted business with the state. It was then reported, for example that maintenance of these properties stopped before it changed hands. Hence to curb these challenges, new legislation is required to give effect to the provisions in the Constitution. It is the Property Valuation Bill. This Bill provides for the functions and powers of the Office of the Valuer- General, which will provide compulsory valuation services in respect of property that has been identified for land reform. The Office of the Valuer- General will also provide voluntary valuation services to departments for the acquisition or disposal of property.
The Office of the Valuer-General will provide a regulatory service that will entail the setting of criteria and procedures for valuations as well as the monitoring of valuations to ensure compliance. Amongst others, provision is made for authorised valuers, the proper identification of valuers conducting valuations and for the conduct of these valuers. On the other hand, the co-operation of all the interested parties in order to ensure a smooth process is of the essence.
The Bill is funded for the first three years of operation and is supported by National Treasury. Cope is therefore satisfied that enough checks and balances have been built into the structure of this Bill to prevent absolute power. Cope supports the Bill. Thank you. [Applause.]
Deputy Speaker, this Bill revolves around one issue and that is, what is a fair price? The Valuer-General will have an office, but the basic point is, what is a fair price for the property that the state wishes to take? Despite what the hon member said about section this and that of the Constitution, I can predict today that there will be numerous court cases, fighting about what is a fair price. As an attorney I look forward to getting much legal work to defend the Minister's law. [Laughter.]
Hon Deputy Speaker, hon members, the effects of the Natives Land Act of 1913 and any other land grabs before that will never be properly addressed until the land is returned to its rightful and legitimate owners. This is an issue which some people would prefer not to talk about, but unfortunately, it will remain a disaster-in-waiting until it is properly addressed.
Even though there were never negotiations when the land was taken away from its people, the government, in dealing with land reform and land restitution, opted for democratic principles and came up with the willing- buyer, willing-seller concept. I believe it is now patently clear to everyone that the willing-buyer, willing-seller concept really inhibited the government's target of 30% of delivering commercial agricultural land. Actually, it has led government to achieve only a quarter of that 30% target.
The reason for the failure of this concept is the unscrupulous landowners who requited government's kindness with ingratitude. They manipulated the process and caused the prices to skyrocket in collusion with valuators. This brings me to something which has nothing to do with this Bill, but that I feel is relevant. Something has to be done by this Parliament about the exorbitant prices of immovable property in South Africa, especially here in Cape Town. Also the rentals that are being paid by people here are ridiculous.
The manipulation of the willing-buyer, willing-seller principle resulted in a snail's pace of land redistribution, hence this Bill before us. It follows automatically therefore that the UDM welcomes the establishment of the Office of the Valuer-General. Clause 12(1)(a) provides that whenever a property has been identified for purposes of land reform, that property must be valued by the Office of the Valuer-General for purposes of determining the value of the property, having regard to the prescribed criteria procedures and guidelines.
Idamsese, inyama yedada iphelile ngoku. [The time for freebies is over.]
We believe this will give an impetus to land reform and land restitution. It is also my submission that, believing otherwise, might be a case of one bigot attracting another mad bigot. It is actually people with a sporadic grip on reality.
This Bill is the same as the Restitution of Land Rights Amendment Bill. It is the dichotomy of goats and sheep. The UDM supports the Bill. [Applause.]
Agb Adjunkspeaker, die hele rede hoekom hierdie wetsontwerp op die tafel is, is omdat die regerende ANC dink dat die beginsel van vrywillige koper, vrywillige verkoper nie werk nie. Maar wat s die ANC se eie voormalige Minister van Landbou, die agb mnr Derek Hanekom? Hy was die heel eerste Minister wat te make gehad het met grondhervorming. Hy het verlede jaar in April by Graan SA ges dat as die regering s die beginsel van vrywillige koper, vrywillige verkoper beginsel nie werk nie, is dit die regering se eie skuld. [Tussenwerpsels.] Dit is die waarheid.
U wil nou di beginsel gebruik as gevolg van die onbevoegdheid van amptenare wat nie hulle werk kon doen nie. U moet 'n sondebok kry. U wil populisties wees.
Die VF Plus sal nie hierdie wetsontwerp ondersteun nie. Die agb Thibede het verlede week hier ges dat hulle deur die agb Minister van 'n olifant voorsien is wat grondhervorming betref. Hulle gaan hom stukkie vir stukkie eet.
Hierdie Waardeerder-generaal is deel van daardie stukkie vir stukkie eet. Dit bedreig eiendomsreg in Suid-Afrika. Die miljoene rande wat bestee word aan die vestiging van 'n kantoor van die Waardeerder-generaal kon die Minister eerder gebruik het om swart opkomende boere finansieel te ondersteun sodat hulle 'n sukses kan maak. Dit is maar net die begin hierdie en die mense van Suid-Afrika moet kennis neem dat eiendomswaarde in Suid-Afrika verlaag gaan word.
Ek wil vir die ANC s ek hoop dat hulle ook dan die eiendomsbelasting sal aanpas as gevolg van die verlaagde eindomswaarde. U gaan die ekonomie strem. U gaan mense ryk maak soos die agb Koos van der Merwe, wat 'n prokureur is en wat na die sake moet gaan kyk. Dit is waar.
As daar nou een stukkie van die wetgewing is wat die rooiligte aanhou laat brand, dan is dit di van die Waardeerder-generaal, omdat u op 'n verkeerde basis glo dat die beginsel van vrywillige koper, vrywillige verkoper nie werk nie. U is verkeerd. Dit werk. As di beginsel die werk doen, sal u behoorlike grondhervorming kry in Suid-Afrika. Ek dank u. [Applous.] (Translation of Afrikaans speech follows.)
[Dr P J GROENEWALD: Hon Deputy Speaker, the whole reason why this Bill was tabled is because the ruling ANC thinks that the principle of willing buyer, willing seller is not working. But what does the ANC's own former Minister of Agriculture, the hon Mr Derek Hanekom, say? He was the very first Minister who had to deal with land reform. He said at Grain SA in April of last year that if the Government stated that the willing buyer, willing seller principle was not working, it would be the Government's own fault. [Interjections.] That is the truth.
You now want to use this principle because of the incompetence of officials who could not do their work. You have to find a scapegoat. You want to act populist.
The FF Plus will not support this Bill. The hon Thibede said here last week that, in respect of land reform, they had been provided with an elephant by the hon the Minister. They were going to eat it piece by piece.
This Valuer-General is part of that eating piece by piece. This is a threat to property rights in South Africa. The Minister should rather have used the millions of rands that are being spent on establishing an Office of the Valuer-General on financial support for emerging black farmers so that they can become successful. This is only the beginning, and the people of South Africa must take note that property values in South Africa are going to drop.
I want to tell the ANC that I hope they will then also lower the property rates in terms of the reduced property values. You are going to hold up the economy. You are going to enrich people such as the hon Koos van der Merwe, who is an attorney and who will have to look into these matters. This is true.
If there is one aspect of this legislation that causes the red lights to keep on flashing, it is the one in terms of the Valuer-General, because you believe on an incorrect basis that the principle of willing buyer, willing seller is not working. You are wrong. It does work. If it does the job, you will achieve proper land reform in South Africa. I thank you. [Applause.]]
Hon Deputy Speaker, hon Deputy President, Ministers, Deputy Ministers, hon members, ladies and gentlemen ...
... ons gaan die olifant stukkie vir stukkie eet. Die rede daarvoor is dat elkeen sy stukkie moet kry. (Translation of Afrikaans paragraph follows.)
[... we are going to eat the elephant piece by piece, the reason being that everyone should get a piece.]
Hon Swathe, kukho intetho esiXhoseni ethi thenga inyaniso ungathengisi ngayo. [Buy the truth, and sell it not.]
Our Constitution sets out the legal basis for land reform, particularly in the Bill of Rights. Section 25 puts a patent obligation on the state to carry out land and related reforms, and grant specific rights to victims of past discrimination. It further allows for expropriation of property for a public purpose or in the public interest, subject to just and equitable compensation, and states explicitly that the public interest includes the nation's commitment to land reform, and to reforms to bring about equitable access to all South Africans to South Africa's natural resources. This is the Constitution which the ANC seeks to defend.
The policy framework for land reform was originally set out in the 1997 White Paper on South African Land Policy. It identified three broad categories of the programmes of land reform, namely, land restitution, which provides relief for victims of forced dispossession; landholding, a discretionary programme to redress the racial imbalances in landholding; and tenure reform, intended to secure and extend the tenure rights of the victims of past discriminatory practices.
Through the Green Paper on Land Reform published by hon Minister Nkwinti in 2011, and subsequent policy development processes, land development support has been introduced as a distinct programme to complement the other three components of the programme of land reform.
The House will probably know that government has delivered 30% of government targets for land redistribution. It is widely acknowledged within and outside government that the pace of land redistribution has been slow. Among the many contributing factors has been the willing-buyer, willing-seller approach to the acquisition of land.
I have looked at the ANC policy documents as the ruling party, and the concept of willing-buyer, willing-seller was entirely absent from the Freedom Charter, which advocated for the distribution of land among those who worked on it, along the lines of land-to-the-tiller model. I have also looked at the ANC's "Ready to Govern" policy statement of 1992, and the willing-buyer, willing-seller approach was also entirely absent. It appears that the willing-buyer, willing-seller concept crept into the discourse on land reform gradually between 1993 and 1996, such that when the White Paper on South African Land Policy was adopted, it had become the cornerstone of the policy. Hence we speak of the market-based land reform.
I would strongly argue that the willing-buyer, willing-seller approach was not dictated by our Constitution. The Constitution makes explicit provision for expropriation for the purpose of land reform and for compensation at below market prices. Section 25(3) of the Bill of Rights in the Constitution provides that the amount of the compensation and the time and manner of payment must be just and equitable, reflecting an equitable balance between the public interest and the interests of those affected, having regard to all relevant circumstances, including the current use of the property; the history of the acquisition and use of the property; the market value of the property; the extent of direct state investment and subsidy in the acquisition and beneficial capital improvement of the property; and the purpose of the expropriation.
Within these policy constraints, the ANC-led government managed to ensure land redistribution. As the ANC, we have already said that this is not the pace that we would have liked. We need to accelerate transformation of property and power relations in the countryside.
Notwithstanding the challenges of land redistribution, we celebrate the achievements of this government. Over 7 million hectares of land has been redistributed to the communities through the programme of land reform. In addition to that, the recapitalisation and land reform programme is assisting in improving productivity of land reform farms. We congratulate the hon Minister Nkwinti on these achievements.
The Property Valuation Bill before this august House will go a long way to assist government to curb the challenges of escalating land prices and related purchases of land at prices above the market value, and delays in purchase price negotiations. [Interjections.] The greatest intervention this Bill proposes is in the area of valuations. Over the past 20 years, our valuations of properties for land reform were not linked to section 25(3) of the Constitution in its totality. They singled out 25(3)(c), which addresses the market value.
Therefore, the Bill defines value for purposes of land reform to mean the value of the land properly identified for purposes of land reform, which must reflect an equitable balance between the public interest and the interests of those affected by the acquisition, having regard to all the relevant circumstances, including the provision of section 25(3) of the Constitution.
South Africans should understand that there are competing versions of land reform. The programme has had to navigate through a mix of interests among those who wish to ensure that land reform in general, and land redistribution in particular, is left to the markets. We can limit the role of the state to the processing of applications and releasing of funds or signing of leases. We need a more proactive state to intervene and correct the market imperfections and policy constraints.
The ANC supports the Bill. [Time expired.] [Applause.]
Deputy Speaker, the ACDP fully appreciates that the land issue in South Africa is a very sensitive and emotional one, and for those reasons, supports the land restitution process. Land reform must be addressed in a responsible manner to the satisfaction of all parties concerned within constitutional parameters.
A central feature of the land reform programme has been the acquisition of land on the willing-buyer, willing-seller model. According to the memorandum to this Bill, government is concerned that the principle of market value is not interpreted correctly and applied in a uniform manner, hence the need for yet another new level of bureaucrats, the Office of the Valuer-General.
The previous speaker spoke about a productive state. Our concerns relate to how productive this Office of the Valuer-General would be and the impact it would have on our nation. The Bill gives the Valuer-General exclusive power to value property in cases of expropriation, land reform and other acquisition such as leasing by the state. Property is broadly defined to include immovable, movable as well as any right to or in property.
These provisions must also be read with the Expropriation Bill and will allow for the expropriation of not only farmland, but also of farm equipment, vehicles, irrigation systems and livestock at a value to be determined by the Valuer-General.
Last week we shared that 90% of the 5,9 million hectares of land purchased by the state for emerging farmers is no longer productive. This, we said, is a severe indictment of the land reform process. The question is: How will this Bill address that?
Minister, you are on record as saying, and I quote:
The agriculture sector's production, as a proportion of GDP, is going down ... Land has been given to people and they are not using it. No country can afford that.
Those were your words, and the ACDP agrees with that. We have to balance land restitution and land reform, understanding the sensitivities about that, against property rights, productivity and food security. That is the difficult balance we have to strike.
As previous speakers have alluded, what we failed to recognise is that the primary reason for the slow pace of land reform is not so much the willing- buyer, willing-seller principle, but incompetence and corruption within the Department of Rural Development and Land Reform itself. There, is collusion between the department and land owners, and we have to address that. Again, how will this Bill address that? This is a serious shortcoming.
Agriculture is a primary source of income for as many as five million people and their dependants in this country. Finding solutions to the land and the agricultural issues is ultimately in the best interests of the country's political and social stability and its economic future.
The ACDP has concerns about the constitutionality of this Bill and we will therefore, regrettably, not be able to support it. I thank you.
Madam Deputy Speaker, land was taken by force from the masses in this country. Three hundred and sixty two years after the arrival of Jan van Riebeeck, our people are still battling to take back what was rightfully theirs. We need to make sure that we address the atrocities of the past.
The 1913, 1946 and 1950 Acts fundamentally robbed black, Indian and coloured people of their land. Now tell me, can you really fix 362 years of colonial oppression in just 20 years? For political parties like the DA, who look for every opportunity to criticise, land reform is not a priority. Why? Because they only care about protecting the interests of the elite.
They stand here in Parliament, debating against legislation which will actually benefit the suffering masses. Therefore, their slogan, "we serve all", is totally inaccurate and misleading. We must utilise this opportunity to safeguard the future of the poor and marginalised. We cannot maintain the status quo. If we do, it would mean that 80% of the land would remain in the hands of 10% of the population, and this is not on.
The fact that the DA opposes this legislation smacks of their unwilling commitment to transformation. Their agenda is very clear - to maintain the status quo so that the riches in this country stay in the hands of a selected few. Indeed, I believe that women are the personification of self-sacrifice. Many DA members, and I don't see the hon More here today, who was blowing hot air, would go back to the community to galvanise the coloured, Indian and black votes. Yet, when hon More comes to Parliament, she only fights in the interests of the white minority. [Interjections.] It seems as if she has forgotten the basic tenets of black consciousness. She must go and hang her head in shame.
If you have experienced forced removals, lived in a township, or suffered the indignity of providing a pass to walk on your own land, you will understand the necessity of this Bill. The introduction of the Valuer- General to the land redistribution process is necessary. Government can now take a more active role. We cannot simply leave it up to the market, with the willing-buyer, willing-seller notion. The market is controlled by those who benefitted from the apartheid regime.
Without the presence of the Valuer-General, we will see the escalation of prices, which will result in the suburban lifestyle being reflective of only one demographic element. This will further hamper the economic emancipation of our people. Indeed, the MF reiterates the call for a 2030 vision of each South African having security of tenure. Hence we need to move towards a property-owning democracy, and this Bill is indeed the step in the right direction.
Currently, we have only delivered a quarter of the 30% target. We need to hasten up the process. At the heart of the slow pace has been the willing- buyer, willing-seller method. It is very clear that the elite that the DA defends do not want to relinquish the land. Although the MF does not support a land grab, it is necessary to make sure that the market prices do not protect and only enrich the selected few, while the masses are sidelined and marginalised. The MF will support the Bill. [Time expired.] [Applause.]
Deputy Speaker, it is amazing what the hon Bhoola says, knowing that he was rejected by the DA.
Let me state at the outset that the DA is appalled at the way that this piece of legislation has been bulldozed through Parliament. I objected during the committee process about the limited time that had been allowed for public comment, and was assured that at least three weeks had been granted.
According to the departmental website, the Property Valuation Bill was advertised for public comment on 4 February, and the closing date for submissions was 15 February - a mere eight working days. In the committee, we took just three days, despite comprehensive amendments, to hear the submissions, obtain a response from the department, consider all the commentary, conduct a clause by clause analysis, amend the Bill further and adopt a report on the Bill. As of 17:00 yesterday, I still had not received a final, cleaned-up version of this Bill. We have already heard that the committee report had gone missing.
We also have concerns around the tagging of this Bill. Despite assurances from the parliamentary law adviser that there are no provincial impacts, I ask that the following scenario be considered: A land restitution claim is submitted for a piece of land owned by either the province or a municipality; the Office of the Valuer-General conducts a valuation in terms of section 12(1)(a), which determines a value. The province or municipality is substantially disadvantaged as the realisable value is significantly lower than market value. This implies that the Bill should have been tagged as a section 76(4) Bill as it affects the financial interests of provinces.
Turning now to the content of the Bill, it has been argued by various speakers that letting the market alone determine the pace of land reform delivery is not desirable and that escalating land prices are the primary cause of the slow implementation of land reform. But is this in fact the truth?
A key purpose of this Bill is to speed up land reform. However, as we have heard from the hon Swart, the main obstacle hampering success in this regard is not the willing-buyer, willing-seller principle, Minister Nkwinti, that the Bill seeks to circumvent; rather it is the state's failure to support emerging farmers and the maladministration within your own department that is primarily responsible for the failures of land reform.
Furthermore, when one considers the amount of agricultural land that has changed hands over the past 20 years, at market value, nearly the entire land reform process could have been completed with the funds expended to date. To put it in perspective, about 3% to 5% of South Africa's agricultural land comes on to the market annually. Over 20 years, we could have turned over at least 60% of the agricultural land in South Africa at market value.
This Bill uses the expropriation criteria from section 25(3) of the Constitution to arrive at a just and equitable value, which almost by definition would have to be lower than market value. While some concerns around the determination of value were noted by the committee, a key consideration has been ignored. The Banking Association of South Africa's submission highlighted the fact that the regulations of the Banks Act require that the security value of loans be derived from the market value of the property. If the value determined by the Valuer-General and used for expropriation purposes is less than market value, banks will have to adopt a much more conservative approach in lending. This could include increasing the interest rates significantly; withdrawing from the market; or offering a significantly lower loan to market value. The net effect is that the cost of production, particularly of agricultural products, will be much higher, and the impact on South Africa's food security is potentially enormous.
It is also important to note the impartiality required by the Valuer- General. Clause 5(b) of the Bill requires that he/she be impartial and exercise the powers and perform the functions of office without fear, favour or prejudice. However, the very next clause - clause 5(c) - states that the Valuer-General is accountable to the Minister, who also, in terms of clause 8(1), appoints him or her.
The DA supports the view that this Office should, in the first instance, be placed within the Department of Public Works and, secondly, that the appointment follow a parliamentary process through a multiparty committee.
Lastly, the provisions of section 25(2)(b) of the Constitution cannot be overstressed. Regardless of the value placed on a property by the Valuer- General, the amount of compensation and the time and manner of payment thereof must either have been agreed to by those affected, ie the landowners, or decided on and approved by a competent court. Any attempt to bypass the courts would result in land restitution becoming further mired in corruption and inefficiency.
Speaker, the Democratic Alliance opposes this Bill.
Hon Deputy Speaker, hon Deputy President, Ministers and Deputy Ministers, Members of Parliament and colleagues, good afternoon.
Ndimi apha phambi kwenu namhlanje ndixheleke umphefumlo. Ndinyembezana ngoba umzukulwana kaMandela uza kukhwela inqwelomoya namhlanje ajonge kwelasekhaya. Iza kuchopha eMonti inqwelomoya ndize ndibe ndigalelekile kumhlaba wamaXhosa, kumhlaba wamaTshawe ndijonge kwelasebaThenjini.
Ndiza kuphuma ndikhahlela kwiinkosi neekumkani zelizwe lakowethu, kodwa andizi kuva mpendulo evumayo ngoba uluntu lwakowethu lukhathazeke njengam ngoba umhlaba wooyise nooyisemkhulu, ookhokho babo emva kweminyaka sisenza amalinge okuba ubuye awukabuyeli kubo. Ndiza kuwela uMbhashe ndikhahlele kukumkani wakowethu uNgubengcuka, ndikhahlele kumanyange akowethu, kodwa akukho ngoma iza kuvunywa. Endaweni yoko baza kuba beenyembezana bekhathazekile ngoba umhlaba wooyise nooyisemkhulu awukabuyi.
Ndiza kuvela ekhaya kwikomkhulu uMvezo ndihlale ecaleni kothango, kuhle iingwevu neengwevukazi zakowethu zifike zoyame uthango sitye imbadu ngasebuhlanti sisebenzise namathambo entloko. Bazakuthi sizukuzuku sikaMandela, uphi na umhlaba wakowethu? Ndiza kuthandabuza ukuphendula, Sekela Somlomo, kuba namhlanje, xa ndijonga emva kwiminyaka ngeminyaka uluntu lwakowethu lwalahlekelwa ngumhlaba, sisaxova udaka, kunzima kuyenyuka ngoba umhlaba woobawo, oobawomkhulu nookhokho bethu awukabuyi.
Uluntu lwakowethu lalwa iimfazwe lwabulawa, igazi labantwana begazi laphalala bathathwa bagityiselwa esiqithini bexuthwa umhlaba wooyisemkhulu. Namhlanje sithetha ngondoqo ozama ukubuyisa umhlaba wakowethu. (Translation of isiXhosa paragraphs follows.)
[I stand here before you today broken-hearted. I am tearful, because as Mandela's grandson I am going to board an aeroplane and head home. When the aeroplane lands in East London on my way to Thembuland, I will have reached the land of the Xhosa people, the Tshawe clan in particular.
On the way I am going to salute the chiefs and kings of our land, but this is not going to elicit any positive response because, like me, our people are not happy that after many years of trying their land has not yet been returned to them. I am going to cross the Mbhashe River and salute our King Ngubengcuka, and pay tribute to our ancestors, all of this without singing a song. This is because the communities in these areas will be in tears, concerned that their fathers' and forefathers' land has not yet been returned.
When I get to the Mvezo Great Place I am going to sit by the kraal where elderly men and women of the village will join me in deliberating matters pertaining to them. They are going to ask me, "Mandela's grandson, where is our land?" I will hesitate before I answer, Deputy Speaker, because after all the years that our people have lost their land, we are still miles away from returning to them the land of their forefathers.
Our people died in wars fighting for their land, and the blood of members of royal families was shed as the land of their forefathers was forcefully taken away from them. Today we are addressing the key issue of returning land to its rightful owners.]
Allow me, Deputy Speaker, to emphasise that this will be a milestone achievement on the part of our people, and it will ensure what was envisioned at the Congress of the People in Kliptown on 26 June 1955, that "the land shall be shared amongst those who work it". It can no longer be that, in our land, land ownership is defined according to racial bases.
Hon Speaker, it can never be accepted that only a few enjoy land ownership and that the vast majority are denied access to what we regard as a human right. The willing-buyer, willing-seller policy has frustrated many of our people as we have seen property prices being hiked beyond affordability.
Kudala sizama, amalinge ngamalinge, okufumana umhlaba woobawo, kodwa xa sijonga ezoqoqsho ziya zisenyukela phezulu, umhlaba awufumaneki. Urhulumente wakowethu uyawenza amatiletile okuba ubuye umhlaba kodwa bavalile besithi "soze". Basize ngomqolo. (Translation of isiXhosa paragraph follows.)
[We have embarked on various efforts to get the land of our forefathers back, but economic considerations take precendence over this issue. Our government is doing everything in its power to make sure that land is returned to its rightful owners, but there are those who are putting their foot down saying, "Never!" They won't move an inch.]
This policy has so far allowed property owners to block the redistribution of land.
Mandikhe ndithi xa ndigoduka ndikwazi ukuvakalisa nokunika ithemba kuluntu lwakowethu ukuba enyanisweni umbutho wesizwe i-ANC, umhlaba owasilahlekelayo uza kuwubuyisa. (Translation of isiXhosa paragraph follows.)
[When I go home to Mvezo Great Place I want to be able to give hope to our people that the national movement, the ANC, is going to return the land we lost.]
The Office of the Valuer-General will be an independent statutory body that will assist with the valuation of land and will ensure proper market value of the land which is available in the country.
Yeyona ngxaki le sikuyo, ngoba abafuni side sifikelele ukuze siwujongisise ngeliso elibukhali umhlaba wakowethu khon' ukuze siqinisekise ukuba ngokwenene yimalini le mihlaba kuthiwa urhulumente makayithenge.Sithi sisemandleni nezi senti zikhona zokuba siqokelele impahla yethu nomhlaba wookhokho bethu, kube nzima kunyukele, siqonde ukuba abavumi. Kodwa ndifuna ukuthi nilibambe lingatshoni, ngoba umhla we-7 kuCanzibe uyeza kwaye uluntu lwethu esilumeleyo kweli cala luthi kwanele ngoku. Umhlaba woobawo mawubuye. (Translation of isiXhosa paragraph follows.)
[This is where we have a problem, because they do not want us to access the land they want government to buy so that we can determine the market value thereof. Despite the fact that we are willing and able to raise the monies required to buy back the land of our forefathers, we keep hitting a brick wall. But I want to say to them, they must not let their guard down, because 7 May is coming and the people we represent as this side of the House say enough is enough. The land of our forefathers must be returned.]
The Valuer-General will be responsible for issues such as the provision of fair and consistent land values for rating and tax purposes and determining financial compensation following expropriation under the Expropriation Act or any other policy and legislation which is in compliance with the Constitution.
Kukho le mibutho ingovuk'engceni ihamba ixelela uluntu lwakowethu, ingakumbi ulutsha, ukuba lube ngabarhwaphilizi bomhlaba. Ndifuna ukubacacisela ukuba ufafa olude lukaMandela, uNkosi uLuthuli, ubawo uTambo, iinkokeli zelizwe lakowethu, ezingazange ziyibone inkululeko zisamile zithi nzala yaseMzantsi Afrika sinishiye noMgaqo-siseko oyimbali kuni. Yamani ngawo nenze konke okusemandleni ukuqinisekisa ukuba umhlaba woobawo, umhlaba woobawomkhulu, umhlaba wookhokho bethu uyabuya. [Kwaqhwatywa.]
Sithi kuni umhla we-7 kuCanzibe ugalelekile. Singxamile siyaya, ngoba uluntu lwaseMzantsi Afrika luthi unotshe DA unotshe, umhlaba woobawo mawubuye. Ngomhla we-7 kuCanzibe baza kuqinisekisa ukuba baphuma ngobuninzi babo befunga bengajiki besithi umhlaba wethu mawubuye. Sikhulule, Sekela Somlomo, namaLungu ahloniphekileyo ale Ndlu ahleli kweli cala, masizidine siqinisekise ukuba oko besikuthunyiwe ngookhokho bethu noobawomkhulu noobawo siyakwenza, sifunga singajiki sisithi umhlaba mawubuye. Soze sihlale sonwabe umhlaba ungabuyanga. Into esasiyizabalazela, siyilwela, sade sayifela ngumhlaba. Ixesha lifikile ngoku, umhla we-7 kuCanzibe ugalelekile ngoku, mawubuye umhlaba wookhokho bethu. Enkosi. [Kwaqhwatywa.] (Translation of isiXhosa paragraphs follows.)
[There are these fly-by-night political parties that encourage our communities, particularly the youth, to engage in land grabbing. I want to tell the youth that those giants of men, Mandela, Chief Luthuli and Mr Tambo - our former national leaders who never lived to witness freedom - left South Africa's next generation a historic Constitution. They must use it to do everything in their power to make sure that the land of our fathers, our forefathers and ancestors is returned. [Applause.]
We say to you, 7 May is just around the corner. We are in a hurry because the people of South Africa are saying, "Never, DA, never!" Our fathers' land must be returned.
Deputy Speaker and hon members on this side of the House, let us become resolute in pursuing that which our forefathers sent us to do, namely to make sure that their land is returned to us. We are not going to rest until land is returned to us. We struggled, and some of us died, for land. Now is the time! Seven May is here! The land of our forefathers must be returned. [Applause.]]
Hon Deputy Speaker, "the white ox has all the pasture ... and the black ox has nowhere to graze. I am sorry if I cannot make that clear to you." [Interjections.] That was John Langalibalele Dube addressing a commission of white South Africans, protesting against this law, the 1913 Natives Land Act.
So, we are back to square one. That is what it is all about. Cope, thank you very much. It is clear that you read the Bill. I like hon Van der Merwe very much; however, he spoke for himself here. He did not speak for the IFP. He is a lawyer, and indeed we have a lot of land cases in which his firm is involved. [Interjections.] That is not the point. The point here is that even then, in 1913, John Langalibalele Dube had to speak like that out of frustration and had to say, "I am sorry if I cannot make that clear to you". He was speaking to people who did not listen. Even if they did listen, they were still reckless, because today, 100 years later, we are dealing with the same problem. What does this mean, white South Africans?
Ithetha ukuthini le nto? Ngoba kukho abantu abamhlophe nangoku kule Ndlu, sohlukene ngemibala. [What does this mean? Because there are whites in this House, we are different colours.]
It is clear. It's a question of a landed class, which is white in colour, and a landless class, which is black in colour, in South Africa. That is what it is all about. The hon Groenewald and some hon members talked about incompetence. Can you imagine this? Think about what Verwoerd said about the kind of education black people should have. Think about it! [Interjections.] You see, we were defined by white people, under Verwoerd, as "hewers of wood". That's all that we were.
Sithuthe amanzi, sithuthele nina. [We fetched water for you.]
Nee, daardie tyd is verby. [No that time has passed.]
Asikwazi ukuphila ngolo hlobo, ntozakuthi. Masisebenze sonke. [We can't live like that, colleagues. Let's work together.]
Join us! The ANC has strengths and weaknesses. The ANC's strength is that it had determined long ago that its responsibility is to move South Africa forward. [Applause.]
You know, when Chris Hani was killed, Nelson Mandela, talking to all South Africans who were involved in the struggle for a free South Africa, said that it was not the responsibility of the National Party to lead this country towards the one-man, one-vote majority rule election. He said so. He said it is our responsibility and that we should not follow what they had done. What they had done was to try and derail the process towards a democratic South Africa. This is what Nelson Mandela said.
That is what we are still dealing with here. Those who claim to be following Nelson Mandela's legacy, who are sitting on my left here, are not. They are just talking. They are blowing hot air. It is us, the ANC, that must push this country forward. Let them follow us. They've been following us for the last 100 and something years. Let's proceed. Hon Deputy Speaker, thank you very much. [Applause.]
Debate concluded.
Deputy Speaker, I move: That the Bill and the Report of the Portfolio Committee on Rural Development and Land Reform thereon be referred back to the committee for reconsideration of the committee's report.
Motion agreed to.
Bill and Report of the Portfolio Committee on Rural Development and Land Reform thereon accordingly referred back to the Portfolio Committee on Rural Development and Land Reform for reconsideration of the committee's report.