Seven Years Later
Seven years after the EFF first proposed amending the Constitution to allow land expropriation without compensation, the policy has become law. President Cyril Ramaphosa signed the Expropriation Bill into law, completing a legislative process that began with parliamentary approval in March last year. Although no specific time limit was stipulated, Ramaphosa was constitutionally required to sign off on the bill within a reasonable period. Alternatively, he could have referred it back to Parliament if there were legitimate reasons for concern. The announcement has reignited public debate and strained relations within the Government of National Unity (GNU).
The Act
The newly enacted Expropriation Act provides the government with another tool in its land reform agenda. It enables expropriation for public purposes or in the public interest, including instances of no compensation, such as abandoned or underutilised land. However, strict safeguards are in place, requiring negotiation attempts, public notices, and opportunities for objections, while disputes can be resolved through mediation or the courts to ensure fairness and transparency.
Disrupting Unity
The signing has stirred public discourse and destabilised the GNU. Critics have drawn parallels with Zimbabwe’s failed land reform programme, which led to economic collapse, fuelilng fears about the potential consequences. The trust deficit between taxpayers and the state, exacerbated by entrenched corruption, further complicates matters. Several GNU members expressed outrage, accusing the ANC of acting unilaterally, with some coalition partners viewing the act as a red line for their voter bases. Despite the discord, the GNU remains intact, albeit more fragile.
Lingering Questions
The Expropriation Act is one of three contentious laws recently signed by Ramaphosa, alongside the NHI and BELA acts, all of which have faced criticism and legal challenges. While the NHI is unlikely to progress significantly soon, the Expropriation Act is also expected to achieve limited success in advancing land reform. The state’s poor track record in this area, highlighted by a 2024 lawsuit from the Nelson Mandela Foundation demanding more decisive action, raises doubts about its effectiveness. This legislative push appears more like political maneuvering to regain lost support for the ANC ahead of the 2026 Local Government Elections. Speculation also surrounds whether the move is a calculated attempt to destabilise the GNU.
Troubling Optics
Regardless of the act’s intentions, its timing and optics are unfavourable for South Africa. The law comes amid fierce global competition for capital, high interest rates, and economic uncertainty. Enacting it now could undermine investor confidence and erode the trust initially inspired by the GNU’s formation.
While the Expropriation Act raises legitimate concerns, it’s not yet cause for panic. The built-in checks and balances, alongside a robust and independent judiciary, should prevent arbitrary property seizures. However, the act risks opening a slippery slope, with potentially significant consequences for South Africa’s economic and political stability.