Challenges of effective Challenges of effective state land managementstate land management

Willi ZimmermannWilli Zimmermann

Land Policies and Legal Empowerment of the PoorLand Policies and Legal Empowerment of the PoorWorkshop November 2-3, 2006 Workshop November 2-3, 2006 World Bank, Washington DC World Bank, Washington DC

Challenges of effective Challenges of effective state land managementstate land management

The range of problemsThe range of problems Why should we bother Why should we bother The challenge aheadThe challenge ahead Learning from country cases: Learning from country cases:

Canada, Egypt and CambodiaCanada, Egypt and Cambodia Towards a governance and accountability Towards a governance and accountability

chain: building a framework around good chain: building a framework around good practicespractices

What could be done at international levelWhat could be done at international level What could be done at national levelWhat could be done at national level

The story of public landThe story of public land

is a mixed story about power relations, is a mixed story about power relations, the ever changing relationship between the ever changing relationship between the state and the citizens, bad the state and the citizens, bad experiences during periods of experiences during periods of colonisation and nationalisation. In colonisation and nationalisation. In some countries we see positive trends some countries we see positive trends during the last two decades in terms of during the last two decades in terms of restitution, acceptance of native claims, restitution, acceptance of native claims, decentralisation and the new role of the decentralisation and the new role of the state; in other places we face state; in other places we face accelerated looting of state assets.accelerated looting of state assets.

The Range of ProblemsThe Range of Problems Political interference in allocation and acquisition Political interference in allocation and acquisition

of public landof public land Vested interest of powerful people lead to strong Vested interest of powerful people lead to strong

resistance for better governance and resistance for better governance and transparency (free good), land grabbing, illicit transparency (free good), land grabbing, illicit land swaps and evictionland swaps and eviction

Lack of policy orientation (Land Policy, Fiscal Lack of policy orientation (Land Policy, Fiscal Policy, central level versus local governance)Policy, central level versus local governance)

Lack of information about where is whatLack of information about where is what Fragmented institutional arrangements (often on Fragmented institutional arrangements (often on

purpose)purpose) The state does not protect its property assetsThe state does not protect its property assets Central level interests over-ride local resource Central level interests over-ride local resource

rightsrights

In summary: In summary: Deficiencies in managing state land Deficiencies in managing state land

could be divided into four topics:could be divided into four topics:

1.1. There is a lack of awareness and policy There is a lack of awareness and policy orientation (fiscal policy, land policy)orientation (fiscal policy, land policy)

2.2. The state is failing in providing enabling The state is failing in providing enabling infrastructure, information and services infrastructure, information and services for managing state land for managing state land

3.3. The state is violating basic rights of the The state is violating basic rights of the peoplepeople

4.4. Powerful people are looting state Powerful people are looting state property assetsproperty assets

Just a few examples out of hundredsJust a few examples out of hundredsfor illustrating the reality: for illustrating the reality:

Global survey on forced evictions on state Global survey on forced evictions on state land (cohre land (cohre www.cohre.orgwww.cohre.org))

Land grabbing in Kenya (Human right Land grabbing in Kenya (Human right watch, report Kenya, watch, report Kenya, www.hrw.orgwww.hrw.org

Human right violation on state land Human right violation on state land Cambodia: UNHCR report 2004Cambodia: UNHCR report 2004

Mining concessions on state land violating Mining concessions on state land violating state common property rights (ILC)state common property rights (ILC)

Illicit land swaps Indonesia and CambodiaIllicit land swaps Indonesia and Cambodia Central government allocations over-ride Central government allocations over-ride

local common property rights (OXFAM)local common property rights (OXFAM) Beneficiaries of land allocation are mainly Beneficiaries of land allocation are mainly

politicians and a privileged minority (IIED)politicians and a privileged minority (IIED)

Searching for good experiencesSearching for good experiences

Only few countries did explicitly and Only few countries did explicitly and comprehensively tackle the deficiencies of comprehensively tackle the deficiencies of their public land management system their public land management system

Little information is available on such Little information is available on such reform processes compared to land reform processes compared to land registration supported by intern. donors registration supported by intern. donors

FAO, UN-Habitat, GTZ and some others are FAO, UN-Habitat, GTZ and some others are working on the subject but have not yet working on the subject but have not yet come up with conclusions come up with conclusions

Good Governance in Public Property Good Governance in Public Property Management is work in progress; there is Management is work in progress; there is a long way to goa long way to go

Searching for pattern and country clustersSearching for pattern and country clusters

To understand the syndromes of weak To understand the syndromes of weak governance in managing state land we have governance in managing state land we have to understand the underlying problems and to understand the underlying problems and identify country clusters broad enough to identify country clusters broad enough to preserve important communalities preserve important communalities

Cluster 1: New public management countriesCluster 1: New public management countries

Cluster 2: Influence markets and elite cartels Cluster 2: Influence markets and elite cartels

Cluster 3: Oligarchs and clans Cluster 3: Oligarchs and clans

Cluster 4: Capture StatesCluster 4: Capture States

Cluster 5: Conflict and post-conflict countriesCluster 5: Conflict and post-conflict countries

Property Property categorycategory

TrendsTrends Cluster Cluster specificsspecifics

State / State / Public Public PropertyProperty

Capitalisation and DisposalCapitalisation and Disposal

DecentralisationDecentralisation

Privatisation, restitution Privatisation, restitution Regulating bundle of rights Regulating bundle of rights Looting state assets and Looting state assets and encroachingencroaching

Cluster 1-3Cluster 1-3

Cluster 3Cluster 3

Transition 2-3Transition 2-3

Cluster 1-3Cluster 1-3

Cluster 4-5Cluster 4-5

Common Common and and Community Community PropertyProperty

Regulating traditional land Regulating traditional land claims (ZA, NZ, CA)claims (ZA, NZ, CA)

Overriding local land rights Overriding local land rights through privatisation, through privatisation, nationalisation, concessionnationalisation, concession

Cluster 1-3Cluster 1-3

Cluster 3-5Cluster 3-5

Private Private PropertyProperty

Increasing public law Increasing public law restrictionsrestrictions

Cluster 1-3Cluster 1-3

Principles for selecting Principles for selecting country casescountry cases

Look at different cluster situationsLook at different cluster situations In different regionsIn different regions In countries where some lessons In countries where some lessons

can be learned from processescan be learned from processes

1.1. Canada, cluster 1 , AmericasCanada, cluster 1 , Americas2.2. Egypt, cluster 3, North AfricaEgypt, cluster 3, North Africa3.3. Cambodia, cluster 5, East-AsiaCambodia, cluster 5, East-Asia

Case study Canada Case study Canada www.tbs.sct-gc.cawww.tbs.sct-gc.ca and and Urban Institute WashingtonUrban Institute Washington

Canada initiated a state reform program in Canada initiated a state reform program in the 90th with fundamental changes for the 90th with fundamental changes for public sector services and fiscal policypublic sector services and fiscal policy

Resulting in: “Resulting in: “Treasury Board Public Treasury Board Public Property Management Framework”,Property Management Framework”, guiding principles for result orientation, guiding principles for result orientation, stewardship, values and citizen focusstewardship, values and citizen focus

The custodian concept is the heart, TB as The custodian concept is the heart, TB as center and networks with 87 custodians center and networks with 87 custodians

A complete accountability chain is in place A complete accountability chain is in place (legal framework, custodian portfolio, (legal framework, custodian portfolio, auditing, reporting, performance indicatorauditing, reporting, performance indicator

DFRP Federal and provincial public property data DFRP Federal and provincial public property data base: 26 000 properties of 87 custodians, base: 26 000 properties of 87 custodians,

306 000 sqkm public property, 47 000 buildings306 000 sqkm public property, 47 000 buildings

Highest functionality standards (Directory)Highest functionality standards (Directory) Easy access to information and knowledgeEasy access to information and knowledge Custodians are accountable for the quality Custodians are accountable for the quality

and adequacy of informationand adequacy of information Publication of comprehensive audit guide Publication of comprehensive audit guide

for public propertyfor public property Disposal of all surplus land by special Disposal of all surplus land by special

purpose cooperation CLCpurpose cooperation CLC Good practice example in handling native Good practice example in handling native

claims (dialogue, legal base, transparency)claims (dialogue, legal base, transparency) What core elements (not the model as What core elements (not the model as

such) that could be used in other such) that could be used in other countries?countries?

Case study EgyptCase study Egypt

WB, Public Land Management Strategy, April 2006WB, Public Land Management Strategy, April 2006

Population concentrates on 5 % of EgyptPopulation concentrates on 5 % of Egypt Up to now: Sectoral development modelUp to now: Sectoral development model Accumulation of layers of legislation (40 y)Accumulation of layers of legislation (40 y) 45 laws and degrees often conflicting45 laws and degrees often conflicting Highly complex institutional landscape for Highly complex institutional landscape for

managing public property (Zimam system)managing public property (Zimam system) System has no relevance for urban dev.System has no relevance for urban dev. Prime Minister is guiding reform processPrime Minister is guiding reform process Three stage model: short, medium, long Three stage model: short, medium, long

Reform process for public property is part of Reform process for public property is part of the state reform (Urban dev., Investment)the state reform (Urban dev., Investment)

Development and discussion of three reform Development and discussion of three reform scenarios: scenarios:

1.1. Retain existing institutional landscape and Retain existing institutional landscape and improve coordination and mandatesimprove coordination and mandates

2.2. Reengineer and consolidate institutional Reengineer and consolidate institutional system and establish a public land banksystem and establish a public land bank

3.3. Reengineer institutional system following a Reengineer institutional system following a decentralized approach (Governorates)decentralized approach (Governorates)

There is Internal and external policy dialogueThere is Internal and external policy dialogue

Accompanying the process will provide lessonsAccompanying the process will provide lessons

Case study CambodiaCase study Cambodia Tackling the overall state land topic in a Tackling the overall state land topic in a

post-conflict/transition situationpost-conflict/transition situation 80 % should be public property, but 80 % should be public property, but

reality on the ground differs totallyreality on the ground differs totally LMAP is supporting RGC in all aspects of LMAP is supporting RGC in all aspects of

the land sector. (Multi-donor program)the land sector. (Multi-donor program) Broad internal and external dialogueBroad internal and external dialogue Enabling rules and regulations (policy Enabling rules and regulations (policy

papers, land law, 6 degrees, technical papers, land law, 6 degrees, technical tools)tools)

State land matters come under the Land State land matters come under the Land Policy Board and the provincial PLUACPolicy Board and the provincial PLUAC

Strong engagement and role of NGOsStrong engagement and role of NGOs

Achievements: State land component is Achievements: State land component is operational in building the regulatory operational in building the regulatory framework (including recovery of state framework (including recovery of state land), institutional setting, enabling land), institutional setting, enabling technical tools and capacity buildingtechnical tools and capacity building

But: In a cluster 5 situation laws are not But: In a cluster 5 situation laws are not enforced, there are impunity practices, enforced, there are impunity practices, rule of power continues, there is no rule of power continues, there is no disclosure of old concession contractsdisclosure of old concession contracts

Conclusion: Don’t give up but projects in Conclusion: Don’t give up but projects in cluster 4 and 5 situations dealing with cluster 4 and 5 situations dealing with state land require complementary state land require complementary diagnostic surveys beyond the project diagnostic surveys beyond the project design, strategic support (conditionality, design, strategic support (conditionality, anti-corruption agency, judicial reform)anti-corruption agency, judicial reform)

Land Swap Phnom PenhLand Swap Phnom Penh(value added model)(value added model)

Fill water bodies, grab Fill water bodies, grab and fence adjacent and fence adjacent land (through shadow land (through shadow land developer)land developer)

Make use of public Make use of public infrastructure (financed infrastructure (financed by ADB and EU)by ADB and EU)

Swap and consolidate Swap and consolidate with central city public with central city public land (MJ, Court)land (MJ, Court)

Sell the land to Sell the land to investor for some investor for some millions of $millions of $

Towards a framework for Towards a framework for public land governancepublic land governance

Policy orientation and strategyPolicy orientation and strategy A regulatory framework, law enforcementA regulatory framework, law enforcement Expanding the tool boxExpanding the tool box Regularization processRegularization process Specialized anti-corruption agency Specialized anti-corruption agency Land management rules for public Land management rules for public

propertyproperty Institutional landscapeInstitutional landscape Fiscal management, audit, annual Fiscal management, audit, annual

performance indicatorsperformance indicators Inventory and information systemInventory and information system The role of civil society and profess. AssocThe role of civil society and profess. Assoc

Policy and strategy considerationsPolicy and strategy considerations Building awareness, driving forces? Fiscal Building awareness, driving forces? Fiscal

reform, conditionality, public sector reform, conditionality, public sector reformreform

Statement, that public property is held in Statement, that public property is held in trust for the peopletrust for the people

Rules for transfer from central to local Rules for transfer from central to local government and for disposal of surplusgovernment and for disposal of surplus

Rules for allocation and acquisitionRules for allocation and acquisition Principle for capitalization of public Principle for capitalization of public

property, market value principle, auctionproperty, market value principle, auction Classification of public property 1, 2, 3Classification of public property 1, 2, 3 Defining the accountability principlesDefining the accountability principles Defining the custodian conceptDefining the custodian concept

Regulatory frameworkRegulatory framework

Defining public property and classifying Defining public property and classifying public propertypublic property

Conversion rules, acquisition, allocationConversion rules, acquisition, allocation Resettlement regulation (fair and just)Resettlement regulation (fair and just) Land exchange (land swap) regulationLand exchange (land swap) regulation Contracts (regulation for concessions and Contracts (regulation for concessions and

leasing like disclosure, public display, right leasing like disclosure, public display, right to appeal), contract law complianceto appeal), contract law compliance

Continuum of common property rights on Continuum of common property rights on state land, partial interest, bundle of rightsstate land, partial interest, bundle of rights

Mechanism for dispute resolutionMechanism for dispute resolution

Expanding the operational tool box, Expanding the operational tool box,

depending on cluster specific situationsdepending on cluster specific situations Land acquisitionLand acquisition Land allocationLand allocation Land disposal, Land disposal,

privatisationprivatisation Land expropriationLand expropriation Land regularisationLand regularisation Land valuation for non-Land valuation for non-

economic use of state economic use of state landland

Land settlementLand settlement ResettlementResettlement Land exchange (swap)Land exchange (swap) Land licenses, leasesLand licenses, leases Land concessionsLand concessions

Land banking Land banking Recovery of state Recovery of state

property property Land use planning, Land use planning,

zoningzoning Co-management Co-management

models between models between central and local central and local government and government and between state and the between state and the commonscommons

State land inventory State land inventory and LISand LIS

Dispute resolution and Dispute resolution and conflict preventionconflict prevention

Regularization of public property is an Regularization of public property is an important governance procedure: Why?important governance procedure: Why?

Existing cases of invasionExisting cases of invasion Informal settlements in rural and urban Informal settlements in rural and urban

public landpublic land Public land cannot be located Public land cannot be located Appropriation of public right of wayAppropriation of public right of way Fuzzy boundaries and unclear bundle of Fuzzy boundaries and unclear bundle of

rights in natural resource tenurerights in natural resource tenure Partial interest or clarification of continuumPartial interest or clarification of continuum Concession areas on public land are not Concession areas on public land are not

demarcated and are uncleardemarcated and are unclear

Good practices for Regularisation:Good practices for Regularisation:South Africa, Trinidad Tobago, UN-Habitat, Cambodia, South Africa, Trinidad Tobago, UN-Habitat, Cambodia,

visual evidence; informal possession;visual evidence; informal possession; illegal occupation ??illegal occupation ??

1991 2002

Anti-corruption Agencies: Anti-corruption Agencies: Hongkong, Pakistan, Uganda, BotswanaHongkong, Pakistan, Uganda, Botswana

Botswana DCECBotswana DCEC www.gov.bw/government/dcec/www.gov.bw/government/dcec/

Three pronged attack principle: Three pronged attack principle: Investigation, Prevention and EducationInvestigation, Prevention and Education

Annual reporting (published and www.)Annual reporting (published and www.) 2001 report: abuse of Land Board procedures and 2001 report: abuse of Land Board procedures and

allegations of corrupt state land allocations have allegations of corrupt state land allocations have been reported in press and received by DCEC. been reported in press and received by DCEC. DCEC conducted a detailed study with a view to DCEC conducted a detailed study with a view to eliminate opportunities for corruption and make eliminate opportunities for corruption and make allocation processes fully transparentallocation processes fully transparent

Specific training for land boardsSpecific training for land boards Convicting of two land board staffConvicting of two land board staff

Land management andLand management and public propertypublic property

Clarification of different classification Clarification of different classification modelsmodels

Public land and common property regimesPublic land and common property regimesState common property, clarification of State common property, clarification of

resource rights, bundle of rightsresource rights, bundle of rights Registration of partial interestRegistration of partial interest Co-management models for NRM (the Co-management models for NRM (the

concept of sharing power IUCN, IIED,,,concept of sharing power IUCN, IIED,,, Participatory LUP, (FAO, GTZ, PLUP)Participatory LUP, (FAO, GTZ, PLUP) Common property regimes, case studies Common property regimes, case studies

2005 (FAO, IFAD, CAPRi, ILC2005 (FAO, IFAD, CAPRi, ILC

Good governance principles forGood governance principles forpublic land concessionspublic land concessions

Agricultural concessions Agricultural concessions Malaysia model and new regulations CambodiaMalaysia model and new regulations Cambodia

Forest concessions Forest concessions (FAO Forestry series 145 (FAO Forestry series 145 and 139 on law compliance and principles)and 139 on law compliance and principles)

Extracting industries (mining) Extracting industries (mining) Transparency Transparency initiative, publish what you pay, finding common initiative, publish what you pay, finding common ground, mining and indigenous rights (IIED), ground, mining and indigenous rights (IIED), resource revenue guide IMF)resource revenue guide IMF)

Carbon sequestration schemes Carbon sequestration schemes on pasture on pasture land and degraded forest, social forestryland and degraded forest, social forestry

Auditing guides: Good practicesAuditing guides: Good practices

Governance in the Public Sector: Governance in the Public Sector:

A Governing Body Perspective (A Governing Body Perspective (www.ifac.orgwww.ifac.org ) )

Revised Code of Good Practices on Fiscal Revised Code of Good Practices on Fiscal Transparency, IMF 2005Transparency, IMF 2005

Real Property Information Audit GuideReal Property Information Audit Guide

DFRP CanadaDFRP Canada

Good practices: Information systems and mappingGood practices: Information systems and mapping

Egypt: all state land on one map scaleEgypt: all state land on one map scaleCanada: Meta data map and identifier for small state parcelsCanada: Meta data map and identifier for small state parcels

Example of a land status map for strategic Example of a land status map for strategic decision making (Australia)decision making (Australia)

Performance ReportingPerformance ReportingGood PracticesGood Practices

BLM 2005 Annual ReportBLM 2005 Annual Report http://http://www.blm.govwww.blm.gov// The BLM’s Mission and Organizational Structure The BLM’s Mission and Organizational Structure Performance Goals and Results Performance Goals and Results Systems, Controls, and Legal Compliance Systems, Controls, and Legal Compliance Discussion and Analysis of the Financial Discussion and Analysis of the Financial

StatementsStatements Financial Statements Financial Statements Stewardship Assets and Lands Stewardship Assets and Lands Natural Heritage Assets Natural Heritage Assets Cultural Heritage Properties Cultural Heritage Properties Investment in Research and Development Investment in Research and Development BML Independent Auditors’ ReportBML Independent Auditors’ Report

What can be done at international levelWhat can be done at international level

Creating awareness : Creating awareness : managing government managing government property assets: the challenge of governance and property assets: the challenge of governance and accountabilityaccountability

Model diagnostic governance checkModel diagnostic governance check Cluster specific tailored advisory services for Cluster specific tailored advisory services for

financial and technical cooperation (based on good financial and technical cooperation (based on good practicespractices

Knowledge management: updated statistical Knowledge management: updated statistical information and analysis on state property (global information and analysis on state property (global scale), knowledge network scale), knowledge network

Create network and modules for capacity buildingCreate network and modules for capacity building More tailored research on topics like compendium More tailored research on topics like compendium

of state property legislation, capitalisation of state of state property legislation, capitalisation of state property, partial interest registrationproperty, partial interest registration

Integrate and discuss the state land issue in Integrate and discuss the state land issue in professional circles WB TF, UN-Habitat, UNDP, FIG, professional circles WB TF, UN-Habitat, UNDP, FIG, FIAC, local government associationsFIAC, local government associations

What could be done at national level: 10 pointsWhat could be done at national level: 10 points

1.1. Awareness and recognition in Governments Awareness and recognition in Governments 2.2. An explicit policy framework and commitment to An explicit policy framework and commitment to

this framework is developed: governance checkthis framework is developed: governance check3.3. The regulatory framework is reviewed, analysed The regulatory framework is reviewed, analysed

and eventually complemented or made coherentand eventually complemented or made coherent4.4. Accountability chain and performance benchmarksAccountability chain and performance benchmarks5.5. Transparent fiscal management procedures Transparent fiscal management procedures 6.6. The institutional stakeholder model (custodians) The institutional stakeholder model (custodians)

designed and approved (assess different options)designed and approved (assess different options)7.7. Government property asset board is set up to lead Government property asset board is set up to lead

and integrate strategy and integrate strategy 8.8. Inventory and regularisation of public land is Inventory and regularisation of public land is

regulated and initiated regulated and initiated 9.9. Information system and knowledge network is Information system and knowledge network is

establishedestablished10.10. Public property asset (and facility) management is Public property asset (and facility) management is

recognised as a professional occupationrecognised as a professional occupation