It must also include ownership of the processes and decisions that determine how that land is managed, developed, and sustained for the benefit of its beneficiaries, says Vumelana Advisory Fund chief executive Peter Setou. The latest Community Property Association (CPA) annual report reveals that 82% of the 1,700 registered CPAs fail to submit annual reports within the prescribed timeframe. 

Many also neglect to provide key governance documents and returns, hold timely AGMs, or submit updated lists of committee members, members, and financial statements. This lack of compliance, Setou argues, represents one of the most fundamental challenges facing CPAs.

“Good governance is one of the cornerstones of successful land reform as it plays a crucial role in attracting investors and enabling beneficiaries to use their land productively,” said Setou. “It’s also key to building trust and social cohesion within the community. 

“Both the community and private investors want assurance that the assets are managed responsibly, ethically, and in a transparent manner.”

Setou says capacity building and institutional support mechanisms are vital to promote good governance and transparency. He suggests that an accredited panel of advisors could be appointed to help communities navigate compliance and reporting requirements.

Good governance is a cornerstone for successful land reform. Photo: Pexel

“Government should contribute resources to enable this,” he said. “As a first step towards compliance, we should define and break down the regulations into clear, manageable steps – and keep them simple. In addition, regulatory mechanisms such as issuing compliance notices and binding directives for non-compliant CPAs must be introduced.”

Vumelana has been operating for more than 13 years and has worked with over 50 CPAs across the country. The organisation has facilitated 26 partnerships between communities and private investors, attracting over R1 billion in private investment and putting more than 72,000 hectares of land to productive use.

“Compliance must be achieved,” Setou emphasised. “As a support agency, our experience shows that support without the effective exercise of authority is like pushing on a piece of string – as soon as you stop pushing, progress stops. It is important that support and monitoring are sustained.”

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OFM Agri/Isabel van Tonder mvh