3. DEPARTMENT OF RURAL DEVELOPMENT AND LAND REFORM Strategic Plan and Annual Performance Plan Presentation to the Portfolio Committee on Rural Development and Land Reform Date : 18 March 2015

4. 1. Introduction
The presentation addresses the following areas contained in the Strategic Plan and Annual Performance Plan of DRDLR
Problem Statement
Context
Priorities of the Department
Policies and legislation
MTSF priorities
Strategic overview
DRDLR Strategic Objectives, performance indicators and annual targets

5. 2.Problem Statement
Apartheid segregated South Africa into three kinds of social, economic and politico-administrative spaces: the major urban areas, which were a preserve of white people; fertile commercial farming regions and associated small rural towns, also a preserve of white South Africans with farm dwellers providing labour to the commercial farming sector; and, barren, economically unviable homeland areas, reserved for South Africa’s black majority population providing labour to the urban centres and industrial areas.
In summary, it is the combination of the colonial pattern of economic development, the Apartheid system of racial segregation and patrimonial patterns of authority in the ethnic homelands, which has brought about two distinct economic spaces; developed, well resourced areas versus underdeveloped and under resourced areas (rural). These two spaces co-exist in an exploitative relationship, with the former being white, well resourced, capacitated and part of the global market economy; and the latter being poorly resourced, incapacitated and confined to providing raw materials and unskilled labour power to the former.
In short, the relationship between the two is that of perpetual dependency and exploitation - the poor subsidizing the rich, in terms of both raw materials and unskilled labour (power).

6. 3. How is it experienced?
Despite many attempts at dealing with under-development ills, statistics in 2007 indicated that over half the households in the former Homeland areas relied on social grants or remittances, from relatives and friends working in the urban and commercial farming areas, compared to a quarter of households in the rest of the country. This picture has not changed significantly over the last few years;
Manifests itself in various ways: social; health; behavioral; moral; environmental; and economic
Significant income inequalities;
The agricultural sector is still dominated by well resourced commercial farmers; both production and value chain;
Key economic sectors are still largely untransformed; not limited to agriculture; eg mining sector still characterised by migratory labour with the labour sending areas still largely underdeveloped (social ills).

7. 4. Social, Economic and Political Consequences
Segregated planning approach promoted unplanned settlements far from developed towns; this resulted in scattered residential and farming settlements without viable economic and social linkages which impacts on the cost of delivery of basic services.
Underdevelopment with its social, economic and cultural manifestations.
Gross income inequality, chronic unemployment and cultural backwardness (cultural backwardness does not refer to customs but rather a person’s inability to advance and improve with changing technology and other innovations).
Decay of the social fabric (child-headed households, crime, family disputes and lack of Ubuntu) resulting from migratory labour practices.
Low incomes combined with low levels of employment leave rural households heavily dependent on government grants and remittances by family members working in urban areas and white commercial farms (Statistics SA,2007).
Environmental degradation.

8. Continued….
Unequal distribution of assets, skewed distribution of income and employment opportunities amongst citizens, inequality in access to social services, high level of illiteracy and social backwardness.
In 2008, 58% of farm workers in the formal sector earned under R1000 a month, compared to just 10% of workers in the rest of the formal sector.
The above conditions continue to impact the economic structure of South Africa and affect the goal of social cohesion and development.
To deal with this, one would have to engage with a complex set of threats (lack of skills; youth unemployment; substance abuse; teenage pregnancies; huge income disparities) and opportunities (assets, fertile land; livestock; etc …)
A systems approach with the following dimensions will be required: The knowledge dimension; socio economic dimension; politico institutional dimension; moral-ethical dimension; and the aesthetic relational values dimension.

9. Context
The rural development and agrarian transformation space is complex and characterized by multiple causation and feedback loops. Therefore, DRDLR developed a Rural Economy Transformation Model which will be implemented through the Agrarian Transformation System.
It is presented in four Development Measurables, laid out in the following phases:
Meeting basic human needs;
Rural enterprise development;
Agro-village industries, sustained by credit facilities and value-chain markets; and
Improved land tenure systems (embedded in meeting basic human needs).

10. VIBRANT, EQUITABLE AND SUSTAINABLE RURAL COMMUNITIES
RURAL ECONOMY TRANSFORMATION:
AGRARIAN TRANSFORMATION SYSTEM
Tenure System Reform
State and Public Land
lease hold
2. Private Land
Free hold with limited extent
3.Foreign land ownership
A combination of freehold with limited extent and leasehold; and,
4. Communal land
Communal tenure: communal tenure with institutionalized use rights.
5. Institutions
5.1 Land Commission
5.2 Valuer General
5.3 National Rural Youth Service Corps
5.4 Rural Investment and Development Financing Facility
LAND:
Tenure system reform,
Strategic land reform
interventions/redistribution,
Restitution,
Land based resources.
Roads, bridges, energy, water services, sanitation, library, crèches, early childhood centres, Police stations, clinics, houses,
small rural towns revitalisation.
COMMUNITY:
Social infrastructure,
ICT infrastructure,
Amenities,
Facilities.
AGRARIAN
TRANSFORMATION
‘A rapid and fundamental change in the relations (systems and patterns of ownership and control) of land, livestock, cropping and community.’
LIVESTOCK:
Economic infrastructure:
Processing plants
Small industries
Abattoirs, animal handling facilities, feed-lots,
mechanising stock water
dams, dip tanks, silos,
windmills, fencing,
harvesters, etc
Food Security:
Strategic Partnerships:
Mentoring
Co-management
Share equity
Modalities being worked out between the Dept and farmers; big and small
CROPPING:
Economic infrastructure:
agri-parks, fencing,
Inputs: seeds, fertilizer,
pesticides, etc
Extension support ,
Fresh produce markets,
Credit facilities.
Phase III
Phase II
Agro-village industries; credit facilities; markets
Enterprise development
Rural development measurables
Phase I
Meeting Basic Human Needs
VIBRANT, EQUITABLE AND SUSTAINABLE RURAL COMMUNITIES

11. Priorities of DRDLR
The priorities of DRDLR are aligned with the National Development Plan, MTSF, Outcome 7, SONA and the outcomes of the Lekgotlas of government.
Specific responses to priorities indicated in the SONA have been developed and are detailed in the following slides.

12. Revitalising Agriculture and Agro-processing value chain: speeding up land reform
Output
Activities
By When
50/50 policy piloted in 10 projects
Set up a Project Management team with a dedicated project leader
20 March 2015
Finalise Implementation methodology
15 April 2015
Integrate with DLC process
Provincial Project Teams established
Analysis of proposals submitted and budget allocations
30 June 2015
Implementation begins
2nd quarter

13. Revitalising Agriculture and Agro-Processing value chain: Speeding up land reform
Output
Activities
By When
Regulation of Landholdings Bill
Legislative development process
Cabinet Submission for consultation
Parliament submission
End of June 2015
August 2015
Land ceilings (12000 hectares)
Review agricultural landholdings to integrate the ha ceiling
March 2015
To identify farmland parcels that are greater than ha in extent and owned by one individual or juristic person.
To identify land owners who own a combined total of more than ha in extent.
Compile a database of the above
30 June 2015

14. Revitalising Agriculture and Agro-processing value chain: Speeding up Land Reform
Output
Activities
By When
CPA Amendment Bills
Include substantive amendment to deal with 1 hectare/ 1 household proposal
Cabinet submission for consultation
Submission to parliament
June 2015
August 2015

15. Revitalising Agriculture and Agro-Processing value chain: APAP
Output
Activities
By When
Status quo analysis report
District analysis
Municipal information
Development potential
Completed
Socio economic analysis report
District gateway identification
Economic functional zones
Infrastructure availability
Commodity value chain analysis report
High value commodities identified
Growth regions
28 February 2015
3 feet Implementation plans developed
Land acquisition
Farmer support
Infrastructure development
Enterprise support
1 April 2015

16. Revitalizing Agriculture & Agro processing value chain: Agri-Parks incorporated into APAP
Output
Activities
By When
Final Agri Park Spatial Analysis Report
Status Quo Analysis
Socio Economic Analysis
Commodity Value Chain
Production Analysis
Completed
28 February 2015
31 March 2015
Establish a National Project Office with requisite skills
15 March 2015
Agri Park Master Plan
Site identification
Consultation with Districts, local municipalities Provinces
Commodity identification
Sign off
1 April 2015
Land Acquisition Process to begin
Farmer development Processes;
On farm infrastructure
Enterprise support
15 April 2015

17. Revitalising Agriculture and Agro processing value chain: Agri-Parks incorporated into APAP
Output
Activities
By When
Detailed planning and design
TOR developed
Appointment of consultants
15 April 2015
15 May 2015
Final Plans signed off
1 August 2015
Implementation
Construction
30 September 2015

18. Revitalising Agriculture and Agro processing value chain: technical support
Output
Activities
By When
Capacity building for smallholder farmers
Select and train smallholder farmers for improved production for Mega Agri-Parks in 27 Priority Districts
1 May 2015-
Graduates deployed in agricultural projects
Select farms per province for the placement, incubation and training of unemployed agricultural graduates
1 July 2015-
Capacity building for improved animal and veld management
Soil rehabilitation; fire breaks; de-bushing; animal health
30 April 2015

19. Revitalising Agriculture and Agro processing value chain: technical support
Output
Activities
By When
Graduates deployed in projects
1. Identify youth trained in agricultural sciences
2. Select suitable youth to deploy to DRDLR
programs i.e. land reform, recap, agri-parks etc.
3. Induction at Thaba Nchu college
4. Deployment to DRDLR site specific projects
1 July 2015
Youth trained in agriculture; construction; green economy
1. Identify qualifying youth
2. Determine skills needs
3. Enroll youth in NARYSEC programme at
Thaba Nchu college
4. Design individual skills/training programme
5. Up-skill youth at accredited institutions
6. Deploy youth back to communities
1 April 2015

20. Strategic and APP Priorities of DRDLR
Regulation of Land Holdings Bill address the Four-tier Land Tenure System; some of the issues pertaining to tenure security; and ensure compulsory disclosures of who owns the land;
DRDLR will continue with implementation of the River Catalytic Programme and the Recapitalisation and Development Programme to ensure productivity of land and smallholder farmer support.
Integrated Farmer Support Initiative will be implemented in the financial year together with DAFF. DRDLR will align its projects to the Agricultural Policy Action Plan (APAP) value chain priorities - this will avoid duplication of work.

21. Strategic and APP Priorities of DRDLR
DRDLR will use spatial planning and land use management as a tool to adequately address land administration, and redress spatial inequality. In addition a comprehensive land audit is being planned for this MTSF period.
Accessibility and availability of land is critical for agrarian transformation and this requires land reform to be fast tracked. DRDLR is in the process of reviewing policy levers at its disposal to enable this.

22. MTSF PRIORITY AREAS
1. Improved land administration and spatial planning for integrated development in rural areas
2. Sustainable land reform (agrarian transformation)
3. Improved food security
4. Smallholder farmer development and support (technical, financial, infrastructure) for agrarian transformation
5. Increased access to quality basic infrastructure and services, particularly in education, healthcare and public transport in rural areas
6. Growth of sustainable rural enterprises and industries characterised by strong rural-urban linkages, increased investment in agro-processing, trade development and access to markets and financial services resulting in rural job creation.

23. Legislation Program: 2015 BILL STRATEGIC FOCUS STATUS
1. Regulation of Land Holdings Bill, 2015
The Bill will provide for – (a) disclosure by landowners of their nationality, race and gender; (b) the circumstances under which foreign persons may own and / or have access to land; (c) the establishment and maintenance of a register of land ownership; (d) the submission of information on public land; (e) the establishment and composition of the Land Commission; and (f ) the resolution of disputes over situations in which two or more title deeds have been issued in respect of the same parcel of land.
Awaiting the pre-certification opinion from the Office of the Chief State Law Adviser whereafter the Bill will be submitted to Cabinet for approval for publication and public comment.

24. Legislation Program: 2015 BILL STRATEGIC FOCUS STATUS
2. Communal Property Associations Amendment Bill, 2015
It is intended to amend the Communal Property Associations Act, 1996, so as to redefine the kind of communities and persons to whom the provisions of the Act apply. It is further intended to clearly define the nature and sub- stance of the report on communal property associations that has to be tabled in Parliament.
The Bill is being processed through the various DG clusters and will be submitted to Cabinet for approval for publication for public comment.
3. Communal Land Bill
To provide for:
The regulation of communal land;
Legal security of tenure by transferring communal land, including KZN Ingonyama land, to communities and members of communities
The administration of communal land by communities
Communal land administration committees and households forums;
Land rights enquiries;
Establishment of the Communal Land Board;
Amendment and repeal of certain laws
To be submitted to Parliament by September 2015.

25. Legislation Program:2015
BILL
STRATEGIC FOCUS
STATUS
4. Extension Of Security Of Tenure Amendment Bill, 2015
The proposed amendments are derived from the wider draft policy on Land Tenure Security with respect to commercial Farming areas. The Bill aims to find lasting solutions to tenure insecurities in these areas by combining land redistribution measures within effective legal protection and dispute mechanisms.
Once the RIA is finalised, the proposals will be considered and the Bill will be amended, where applicable, and then taken through the DG Clusters, Cab Committee and then Cabinet for tabling to Parliament.
This bill will be processed during 2015.
5. Electronic Deeds Registration Bill, 2015
The Bill will provide for an electronic deeds registration system
The Bill will be submitted to Cabinet for approval for publication for public comment.

26. Planned policies for the upcoming MTEF period:
2015/2016
1. Policy on Rural Enterprises and Industry Development.
2. Policy on the Strengthening of Relative Rights for People Working the Land.
3. Policy on a Rural Development Investment and Finance Facility;
4. Electronic Deeds Registration Policy.
5. Policy Reviews on: * Recapitalisation and Development; * Proactive Land Acquisition and *Farm Share Equity
Schemes
2016/2017
1. Policy on the Exceptions on the June 1913 Cut-off Date for the Restitution of Land Rights;
2. A National Land Tenure Policy: Responses to Historically Racial Based Social and Economic Disparate Spaces;
3. Policy on Access to Historical Land Marks and Heritage Sites on Private Land (in collaboration with DAC);
2017/2018
1. Rural Settlements Operations Policy (In collaboration with NPC, Human Settlements, NHA, DoCG and SALGA);
2. Policy on a Rural Development Agency

27. Strategic Objectives, performance indicators and annual targets
DRDLR
Strategic Objectives, performance indicators and annual targets

28. Programme 1: Administration
Strategic Objective Statement
Performance
Indicator
Annual Target
Medium-term targets
2015/16
2016/17
2017/18
1.1
Ensure 100% compliance with government regulations and legal prescripts by 2020
% of allocated budget spent
100%
% of valid invoices paid within 30 days upon receipt by supply chain management
% of disciplinary cases finalised within 90 days
60%
% of vacancies filled within 120 days from the advert date
70%
80%
90%
% network uptime and availability maintained
95%
99%
Number of media assessment reports submitted indicating the departments profile in the media 4

29. Programme 1: Administration cont.…
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
1.2
Obtain a clean regularity audit opinion on financial and non-financial performance by 2020
Clean audit opinion obtained
Unqualified audit opinion
Clean audit opinion
% of external audit findings resolved
100%
1.3
Provide an effective and efficient financial service to ensure spending according to departmental priorities by 2020
Financing Model approved
Financing Model developed and approved
Financing Model implemented
1.4
Ensure integrated service delivery and resource allocation for the implementation of the CRDP across all spheres of government by 2020
Number of departments providing support to implement the MTSF 6 10 16

30. Programme 2: Geospatial and Cadastral Services
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
2.1
Facilitate integrated spatial planning and land use management in all provinces through the application of relevant legislation by 2020
National Spatial Development Framework (NSDF) developed
Final draft NSDF and submission for approval
Implementation of the NSDF
% of municipalities supported to implement the Spatial Planning and Land Use Management Act (SPLUMA)
70%: SDFs (164)
80%: SDFs (187)
100%: SDF
(234)
40%: Land Use Schemes (93)
60%: Land Use Schemes (140)
100% Land Use Schemes
90% Functional Land Use Regulators (210)
100% Functional Land Use Regulators (234) _
Number of District Rural Development Plans completed 27

31. Programme 2:Geospatial and Cadastral Services
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
2.1
Facilitate integrated spatial planning and land use management in all provinces through the application of relevant legislation by 2020
Number of provinces supported to develop Provincial SDFs
6 (NW, GP)
9 (WC, KZN, EC) -
2.2
Ensure integrated and comprehensive land administration system
Number of State Domestic Facilities (SDFs) surveyed
1200
Number of deeds and documents registered
% of Deeds made available within 7 days from lodgement to execution
95% 31

32. Programme 2: Geospatial and Services cont.….
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
2.2
Ensure integrated and comprehensive land administration system
Number of maps of the national map series produced/reviewed
197
199
204
Average number of working days taken to process registrable diagrams, sectional plans and general plans 14
2.3
Provide a cadastre modernization programme that will result in a secure, accessible, integrated scalable and cost effective solution that provides accurate, reliable and secure land administration information
Number of sets of solution modules deployed
Enterprise architecture available
2 set of functional modules deployed
1 set of functional modules deployed

33. Programme 3: Rural Development
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
3.1
Provide support to rural communities in prioritised rural districts to enable them to improve their livelihoods by 2020
Number of projects implemented in rural communities to improve production, in support of improved food security
  30 40 50
Number of Rural Development information Desks established 27
3.2
Facilitation of infrastructure development to support rural economic transformation by 2020
Number of socio-economic infrastructure projects coordinated and facilitated 80 90
100

34. Programme 3: Rural Development cont
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
3.2
Facilitation of infrastructure development to support rural economic transformation by 2020
Number of infrastructure projects facilitated within the 27 priority districts to support Agri-Parks development 27
Number of Animal Veld Management Programme projects implemented
250
350
450
Number of projects implemented in support of the River Valley Catalytic programme 20 30 40

35. Programme 3: Rural Development cont
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
3.3
Facilitate the development of rural enterprises and industries in areas with economic development potential and opportunities by 2020
Number of rural enterprises supported in rural development initiatives with special focus on 27 District Municipalities
215
230
240
Number of rural non-agricultural industries supported in line with the IPAP 2
Number of agreements signed to facilitate improved market linkages 9

36. Programme 3: Rural Development cont
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
3.3
Facilitate the development of rural enterprises and industries in areas with economic development potential and opportunities by 2020
Rural credit financing facility facilitated 1
3.4
Increase job opportunities and ensure skills development through CRDP and land reform initiatives by 2020
Number of skills development opportunities provided to support rural development initiatives
4500
5000
5500
Number of skills development opportunities provided to NARYSEC youth
2 500
3 000
3 500

37. Programme 3: Rural Development cont
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
3.4
Increase job opportunities and ensure skills development through CRDP and land reform initiatives by 2020
Number of agricultural graduates deployed in rural projects
200
300
400
Number of jobs created in rural development initiatives
8000
12000
15000

38. Programme 4: Restitution
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
4.1
Facilitate the restoration of land rights or alternative forms of equitable redress by 2020
Number of land claims settled
463
615
670
Number of land claims finalised
373
371
389
Number of phased projects approved 62 76 91
Number of claims lodged by 1998 to be researched
2660
1530
3098
Number of lodgement offices operational
2 all terrain (4x4) mobile lodgement offices operational
Conversion of 9 communication vehicles into mini lodgement units

39. Programme 5: Land Reform
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
5.1
Promote equitable land redistribution and agricultural development by acquiring strategically located land by 2020
Number of hectares acquired
Number of hectares allocated to smallholder farmers
Number of hectares allocated to farm dwellers and labour tenants
37 000
38 000
40 000
Number of District Land Committees established 27 26
Number of farms acquired to support Agri-Parks 13
Number of PLAS farms identified for the incubation and training of agricultural graduates 14

40. Programme 5: Land Reform cont
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
5.2
Provide comprehensive farm development support to smallholder farmers and land reform beneficiaries for agrarian transformation by 2020
Number of pilot projects on Policy on Strengthening Relative Rights 10 20
Number of farms under Recapitalisation and Development Programme
331
351
369
Number of farmers trained through the Recapitalisation and Development Programme
994
1 054
1 107
Number of jobs created in land reform projects through the Recapitalisation and Development Programme

41. Programme 5: Land Reform cont.
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
5.3
Provide comprehensive farm development support to smallholder farmers and land reform beneficiaries for agrarian transformation by 2020
Number of farms under Recapitalisation and Development Programme allocated to smallholder farmers
165
175
185
Functional systems and institutional arrangements for tenure and land administration to enable agrarian reform in all provinces by 2020
Number of Communal Property Associations supported to be compliant with legislation
200
360
450
Number of labour tenants
applications settled
137
145
120

42. Programme 5: Land Reform cont.…
Strategic Objective Statement
Performance
Indicator
Annual target
Medium-term targets
2015/16
2016/17
2017/18
5.3
Functional systems and institutional arrangements for tenure and land administration to enable agrarian reform in all provinces by 2020
Number of TRANCRAA areas (Transformation of Certain Rural Areas Act) approved 7 6
Number of State Land
Parcels confirmed as vested
2625
2297
1 335
% Complete Immovable
Asset Register
100%

43. Managing the implementation
The Department of Rural Development and Land Reform (DRDLR) together with the Department of Agriculture, Forestry and Fisheries (DAFF) identified several areas of collaboration to successfully implement the Agrarian Transformation and the Agricultural Policy Action Plan (APAP).
DRDLR and DAFF finalized the commodity value-chain mapping exercise, which will enable the rural sector to specify where and how each commodity value-chain will manifest.
The following maps indicate the projects of DRDLR and we are now able to determine alignment with the value chain drivers in those areas as well as for each of the 27 prioritized district municipalities:

47. Thank you