Unpacking the challenges of land reform in South Africa: a 30-year struggle for success
According to Peter Setou, CEO at the Vumelana Advisory Fund, this was due to a myriad of factors, like it being strangled by under-resourcing, budget constraints and poor delivery mechanisms.
For decades, land reform in South Africa has not been as successful as it should be.
The recent report of the Portfolio Committee on Land Reform and Rural Development, on the 2025/26 Annual Performance Plans and the Budget of the Department of Land Reform and Rural Development and its entities, reflected that South Africa is sitting on a slow-moving, underfunded and unsustainably structured land reform system.
The country is said to need a robust conversation on how to address these challenges sustainably.
The release of government-owned land remains ever more important in South Africa, says Wandile Sihlobo, the chief economist at the Agricultural Business Chamber of South Africa(Agbiz).
He said that, disappointingly, the Department of Land Reform and Rural Development has made limited progress on this matter despite this being one of the central aspects of the country's inclusive growth agenda.
'In essence, while we confront many present-day challenges, these long-term reforms of the AAMP and land release must continue for the sector to achieve its inclusive growth aspirations,' Sihlobo said earlier this week.
Vumelana said the Department of Agriculture, Land Reform and Rural Development (DALRRD) has a land restitution budget of R3.7 billion in 2025/26, a nominal 5% increase from last year, but a real-terms decline of 1.12%.
Meanwhile, the organisation said the Commission on Restitution of Land Rights is expected to settle just 281 land claims this year, down from 288 in 2024/25, and to finalise only 277.
'At this rate, it will take 30 years to settle the estimated 5 719 outstanding claims, and that excludes the thousands of newer claims awaiting resolution after the 2014 lodgement window was reopened but later halted by the courts.
"We therefore need to explore innovative ways of funding land reform, which will require a broader conversation and buy-in from all key stakeholders,' Vumelana said.
According to the Commission on Restitution of Land Rights' Chief Land Claims Commissioner Nomfundo Ntloko, as of January 2024, the CRLR had a total of 5 985 old order backlog claims still outstanding, a significant portion of which needs to be processed and recommended for settlement within the implementation period of this plan.
She said the current budgetary allocations, as has been indicated previously, remain regrettably insufficient to meet the desired upscaling of claims settlement to eliminate the remaining old order backlog in the short term.
'It is critical that there is additional funding for the land restitution programme. Part of this includes urgently exploring the possibility of ring-fencing the Commission's budget, which is currently included in the budget of DALRRD.'
Setou said that more strikingly, the Commission is functioning at just 51.7% of its approved staff capacity, with only 680 posts out of 1 447 filled. He said these bottlenecks need to be reviewed and addressed if the country is to make meaningful progress.
'Arguably, to settle all outstanding old-order land claims alone would cost an estimated R129 billion, according to Project Kuyasa-far beyond the Commission's annual budget.
"In contrast, the Agricultural Land Holding Account (ALHA), the key trading entity meant to fund land acquisition, will spend just R1.1 billion in 2025/26. That's a 22% nominal increase from last year, far short of the scale required.'
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IOL News
18-07-2025
- IOL News
Unpacking the challenges of land reform in South Africa: a 30-year struggle for success
'In addition, too little attention has been given to enabling the productive use of land,' Setou said. According to Peter Setou, CEO at the Vumelana Advisory Fund, this was due to a myriad of factors, like it being strangled by under-resourcing, budget constraints and poor delivery mechanisms. For decades, land reform in South Africa has not been as successful as it should be. The recent report of the Portfolio Committee on Land Reform and Rural Development, on the 2025/26 Annual Performance Plans and the Budget of the Department of Land Reform and Rural Development and its entities, reflected that South Africa is sitting on a slow-moving, underfunded and unsustainably structured land reform system. The country is said to need a robust conversation on how to address these challenges sustainably. The release of government-owned land remains ever more important in South Africa, says Wandile Sihlobo, the chief economist at the Agricultural Business Chamber of South Africa(Agbiz). He said that, disappointingly, the Department of Land Reform and Rural Development has made limited progress on this matter despite this being one of the central aspects of the country's inclusive growth agenda. 'In essence, while we confront many present-day challenges, these long-term reforms of the AAMP and land release must continue for the sector to achieve its inclusive growth aspirations,' Sihlobo said earlier this week. Vumelana said the Department of Agriculture, Land Reform and Rural Development (DALRRD) has a land restitution budget of R3.7 billion in 2025/26, a nominal 5% increase from last year, but a real-terms decline of 1.12%. Meanwhile, the organisation said the Commission on Restitution of Land Rights is expected to settle just 281 land claims this year, down from 288 in 2024/25, and to finalise only 277. 'At this rate, it will take 30 years to settle the estimated 5 719 outstanding claims, and that excludes the thousands of newer claims awaiting resolution after the 2014 lodgement window was reopened but later halted by the courts. "We therefore need to explore innovative ways of funding land reform, which will require a broader conversation and buy-in from all key stakeholders,' Vumelana said. According to the Commission on Restitution of Land Rights' Chief Land Claims Commissioner Nomfundo Ntloko, as of January 2024, the CRLR had a total of 5 985 old order backlog claims still outstanding, a significant portion of which needs to be processed and recommended for settlement within the implementation period of this plan. She said the current budgetary allocations, as has been indicated previously, remain regrettably insufficient to meet the desired upscaling of claims settlement to eliminate the remaining old order backlog in the short term. 'It is critical that there is additional funding for the land restitution programme. Part of this includes urgently exploring the possibility of ring-fencing the Commission's budget, which is currently included in the budget of DALRRD.' Setou said that more strikingly, the Commission is functioning at just 51.7% of its approved staff capacity, with only 680 posts out of 1 447 filled. He said these bottlenecks need to be reviewed and addressed if the country is to make meaningful progress. 'Arguably, to settle all outstanding old-order land claims alone would cost an estimated R129 billion, according to Project Kuyasa-far beyond the Commission's annual budget. "In contrast, the Agricultural Land Holding Account (ALHA), the key trading entity meant to fund land acquisition, will spend just R1.1 billion in 2025/26. That's a 22% nominal increase from last year, far short of the scale required.'
IOL News
15-07-2025
- IOL News
Limited progress in South Africa's release of government-owned land: what it means for development
A file picture showing a KwaZulu-Natal North Coast sugarcane farm. Beneficiaries of a settled land claim for prime land in KwaDukuza were yet to benefit from the property due to disputes. Image: Karen Sandison/ Independent Newspapers While the release of the government-owned land remains ever more important in South Africa's development, the country has seen very little progress in that regard. Disappointingly, the Department of Land Reform and Rural Development has made limited progress on this matter despite this being one of the central aspects of the agricultural sector's inclusive growth agenda, says Wandile Sihlobo, the chief economist at the Agricultural Business Chamber of South Africa(Agbiz). 'In essence, while we confront many present-day challenges, these long-term reforms of the AAMP and land release must continue for the sector to achieve its inclusive growth aspirations,' Sihlobo said. Delivering the Department of Land Reform and Rural Development Budget Vote Speech last week, Minister Mzwanele Nyhontsho said the overall budget of the Department for the 2025 financial year is R9 820 billion. He said relative to the total allocation, Land and Tenure Reform and Restitution have received the largest share, amounting to R6 168 billion or 63 per cent of the total allocation. 'This demonstrates that our budget is grounded on our core mandate. "The Land Redistribution and Tenure Reform branch has been allocated a total budget of R1 073 billion. Within this budget, a total allocation of R559 million has been set aside to acquire and allocate 44 000 hectares of land,' Nyhontsho said. He added that the department continues to process applications for awards of land to labour tenants, which were lodged not later than 31 March 2001. He said it should be acknowledged, though, that the area of tenure security for labour tenants, including the continuing spate of illegal evictions, remains an unacceptable situation. 'The Department is implementing a comprehensive plan to address historical inefficiencies relating to the management of state land. This includes calling for accountability from some recalcitrant officials and ensuring consequence management. "Our Department is also addressing the challenges related to Communal Property Associations (CPAs), particularly their dysfunctionality. To address this challenge, the Department is implementing measures that include the establishment of an independent CPA office, which is currently headed by an Acting Registrar. "Furthermore, a continuous process of training the executives of these structures on governance, financial management, land management, and related skills and capabilities is currently underway. A series of roadshows that will culminate with a CPA Indaba has also been planned.' The Minister said the Commission on Restitution of Land Rights has been allocated a budget of R3.7 billion for the current financial year. He said the speed with which the claims are settled is heavily reliant on the allocated budget year on year. 'To address the challenge of expediting the pace of settling of the old order land claims, i.e. those lodged before the original cut-off date of 31 December 1998, the Commission is streamlining processes, underwritten by new policies and standard operating procedures (SOPs), as part of an acceleration strategy. "That said, however, additional financial and human resources will still be required, and in general terms, we have to focus on enhancing the efficiency of the offices of the Land Claims Commission in the whole country.' Speaking at the NARYSEC YOUTH pass-out event last month, Stanley Mathabatha, the Deputy Minister in the Department of Land Reform and Rural Development, said they were well aware of the challenges facing rural communities. He said these challenges include high levels of poverty and unemployment. 'One of the most pressing issues is the legacy of colonial and apartheid uneven development between, on the one hand, developed metropolitan regions and, on the other hand, underdeveloped rural areas. "The development challenge is evident in the limited access rural communities have to economic infrastructure, economic investment, economic resources and economic opportunities that you find in developed metropolitan regions,' Mathabatha said. The deputy minister said that as a result, they continue to see growing migration patterns from rural areas to developed metropolitan regions, as people search for economic opportunities and resources. 'Some refer to this process simply as urbanisation. However, we understand that successful rural development, grounded in equitable investment and distribution of resources, and in continuously improved integrated strategic planning, can change this pattern. "By making rural areas more attractive and economically viable, we can begin to redress the uneven development imbalance and create a more inclusive, balanced national development path.' The Department of Land Reform and Rural Development said it knew the strength, resilience and untapped potential in the rural space. 'We are investing in skills, from agriculture to engineering, technology and rural industrialisation, from new venture creation to economic and social infrastructure development, to name but a few, so that youth become the drivers of rural transformation.' Independent Media Property
The Citizen
02-07-2025
- The Citizen
South Gauteng deeds office remains open for business
The Department of Land Reform and Rural Development has reassured that the South Gauteng Deeds Office remains open and fully operational, despite recent media reports claiming the facility's closure. In a statement issued on Tuesday, the department acknowledged that while the facility is experiencing infrastructure challenges, services to the public and clients continue uninterrupted. 'The department has previously acknowledged the Occupational Health and Safety (OHS) issues in the building, which include, sometimes, dysfunctional lifts, intermittent poor lighting, and other challenges. 'Additionally, we have indicated that the Department of Public Works and Infrastructure is in the process of securing a suitable building. It has been incorrectly reported by the media that services have been compromised,' the department said. The department said the area, which is currently experiencing delays, is the data capturing after registration. Despite these challenges, the department has assured that performance targets continue to be met and exceeded. 'In terms of the target of 95% of deeds and documents made available within seven days from the date of lodgements for execution, the office performance is at 97%. The office exceeded the target. 'In terms of the target of 95% of deeds delivered within 10 days from the date of registration, the office delivered 99% in 32 days. The backlog is due to the Occupational Health and Safety challenges,' the department said. To address the situation, interim alternative working arrangements have been implemented to ensure business continuity, and additional measures are underway to address the data capturing backlog. 'Members of the public and clients requiring services at the South Gauteng Deeds Office are advised to note that the office is open and operational,' the department said. – At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
