The EFF says it will withdraw its support to amend section 25 of the constitution, or the property clause, should the ANC not back its calls to place all land under “custodianship” of the state.
The ANC needs the EFF’s support to pass the controversial constitutional amendment that has spooked investors and polarised the nation. Party leader Julius Malema said the EFF will not vote for “a sell-out amendment which still speaks of compensation”.
“We will not vote for a constitutional amendment that refuses to acknowledge state custodianship of SA’s land because we know that expropriation of land, piece by piece, will take us more than 100 years to reclaim our land,” Malema said during the presidency budget vote debate in parliament on Wednesday.
This means for the amendment to pass, the ANC will have to back the EFF’s drive to effectively nationalise all land, remove any provision for compensation, and sideline the courts in expropriation matters.
The EFF, the third-largest party in parliament, says the state should be the “custodian” of all land, which means it will hold the land on behalf of all people. While this could be seen as a form of nationalisation, the red berets argue that there is a difference in that under custodianship the state will not be able to change user rights as and when it pleases “because it will not own the land fully”.
Malema said the EFF’s stance is not about the expropriation of houses or other property.
“People continue to have full rights to their own homes and other property. With the land in the hands of the state, people will apply for the land they want to use, or if they can’t use it, they will allow others who will use it,” the EFF leader said.
“This is the most practical way to address the land question and ensure that even those who want to invest in businesses with security can do so with certainty.”
The ANC, on the other hand, believes in mixed land ownership — private, state and communal. It says the land that is acquired will be in the custody of the state until it is redistributed.
The push for expropriation without compensation has raised concerns about the security of tenure among investors and critics, who also highlight that the issue is not just about land but all assets, including pension and even medical aid contributions.
Parliament’s ad hoc committee that is looking into the redrafting of section 25 to make clear that which is implicit regarding the expropriation of land without compensation, was meant to finalise its report on Monday. However, the committee resolved to approach the National Assembly to request an extension as the ANC and EFF try to reach consensus on the proposed amendment. The parties differ on key aspects of the amendment, such as the role of the courts, compensation and state ownership.
An amendment to the constitution will require the support of at least two-thirds of members of the National Assembly for it to pass. But because most other parties in parliament, including the main opposition the DA, are not in support of changing the constitution, the ANC will need the backing of the EFF.
The EFF also wants reference to the courts to be deleted in the proposed amendment of section 25. It has also called for the removal of the clause dealing with just and equitable compensation. The ANC says the courts should, however, maintain review powers, meaning the courts will be involved only when there is a dispute between the property owner and the expropriating authority. Compensation is also envisaged in some instances.
Earlier on Wednesday, DA MP Annelie Lotriet said the bid to place land under the custodianship of the state will effectively “nationalise” the land under the control of the state — “a disastrous move that will lead to economic devastation and escalating poverty, as it has already done in countries as diverse as Venezuela and Zimbabwe”.
“The DA will do whatever it takes to prevent this, as it will push SA into the abyss, destroying what is left of our economy by deterring investment, destroying prospects for growth and driving millions more people into extreme poverty,” she said.
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