South Africa president signs bill redefining compensation requirements for government expropriated land – JURIST

South African President Cyril Ramaphosa signed a controversial bill into law Thursday that authorizes the government to expropriate private land without compensation in certain cases.
The law, the product of a five-year project, repeals the predemocractic-era Expropriation Act of 1975. In a presidential press release, Ramaphosa argued that Expropriation Act, 2020 aligns the law with the Constitution.
“[It] repeals the Expropriation Act and [sic] to provide a common framework in line with the Constitution to guide the processes and procedures for expropriation of property by organs of state,” the release stated.
Ramaphosa’s party, the African National Congress (ANC), praised the law as “the step first towards transformation and land reform.”
However, political parties like the Democratic Alliance (DA) have condemned the law, suggesting it removes important limits on government power.
“While… the Constitution allows for acts of redress and restitution, including land reform, we have serious reservations about the procedure as well as important substantive aspects of the [Act]. We are in discussions with our legal team to formulate our case,” a DA press release stated.
Section 25 of the South African Constitution permits the government to expropriate land for “a public purpose or in the public interest.” It also requires the government to compensate for takings, “the amount of which and the time and manner of payment of which have either been agreed to by those affected or decided or approved by a court.”
The 1975 Act, which predates the Constitution, emphasized negotiation when determining compensation amounts and required the government to pay market price for expropriations. Under the new Act, the government only needs to pay “just and equitable” compensation for property takings. The Act specifies that “[i]t may be just and equitable for nil compensation to be paid where land is expropriated in the public interest” in a number of circumstances, including when market value falls below investment costs or when property poses public health risks.
In his release, Ramaphosa assured members of the public that the government will continue its practice of initially negotiating with property owners before expropriation steps are taken.
“Expropriation may not be exercised unless the expropriating authority has without success attempted to reach an agreement with the owner… An expropriating authority is… obliged to enter into negotiations,” the release said.
Roughly 30 years after Apartheid, South Africa continues to struggle with racial divides and wealth inequality. The country’s white minority continues to hold the majority of wealth and land, while its Black majority struggles for equal access to education and economic opportunity.
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