Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Making Land Markets Work for All

Jude WallaceCentre for Spatial Data Infrastructures and Land

Administration

The University of Melbourne

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

The Order of Things

1 The land administration approach

2 Formal and informal markets

3 Stages of building land markets

4 Missing ingredients

5 Concept of property

6 Challenge of IT

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Agenda

How do you explain how land markets work for countries that seek to implement them?

eg Indonesia, Vietnam, China, Iran, Egypt …..

amid millions of poor people, governance issues, corruption, lack of capacity …..

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

LAND ADMINISTRATION APPROACH

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Informal markets• Little transparency• Insider trading • Unstructured, ad hoc

processes • Inefficient tax collection• No complex commodities• Poor integration of tenures

for resources, services, credit and land

• Ineffective government involvement

• Shallow participation – one level and few players

• Sometimes vibrant and successful, but mostly not

Formal markets• Transparent processes• Open trading• Formal structures• High tax yield• Many kinds of products and

complex commodities• Integrate tenures for rights,

restrictions and responsibilities in land, resources, credit, infrastructure

• High government involvement• Deep participation by many

participants • Vibrant, successful and wealth

creating

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Formal land markets accelerate wealth generation

Informal land markets fail to generate sufficient national wealth to relieve poverty

Governments therefore need to build land administration systems to manage land related commodities

How??

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

160? COUNTRIES

Evolution of Land Markets

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

BUILDING

COMPLEX

COMMODITIES

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Netherlands

Evolution of Land Markets

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

5. Ancillary Functionalities• Securitisation• Corporatisation• Separation

4. Mature cognitive capacity

3. Property regime management

2. Broad opportunity for owners’ decisions

1. Reliable Land Administration System

Robust Concept

of Property

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

BUILDING THE PROPERTY CONCEPT to support participation of the poor

1. Cognitive capacity

2. Legal order

3. Tenure systems

4. Good governance - Subsidiarity

- Transparent information

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

ParticipantsCommodities

Financial Instruments

Commitment Participation

Transparency Inventiveness

Abstract thinking Shared

understanding

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Cognitive Capacity

Commitment

Participation

Transparency

Inventiveness

Abstract thinking

Shared understanding

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Legal order

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

One particular land right

Article X One of XX

kinds of owners

Article XX One of XX periods of time

Article XX

One of XX kinds of land use

Article XX One of XXX methods of acquisition and allocation

???

Immature tenure systems

Distribute physical land

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

TENURE SYSTEMS

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Good governance

2 key features

Subsidiarity -

•Capacity for decisions is as close as possible to the impact point

•Owner’s capacity to make key decisions is protected

Information transparency

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

Business licenses

Hydrology

Owners’ names

Geology

Climate

Owners’

addresses

Owners’ contact address

Business

entities

Heritage

Residents and or occupiers

Soil

Estates and interests

DCDB

Satellite images

Geographic Names

Geocoded

property

addresses

Habitat

Aerial

photos

Utilities

Topographic map archive

Body corporate rules

and responsibilities

Restricted sites

Parcel

Use, condition

and zoning

Burglary risksLandform (DTM) Rates

Property

MortgagesDrainage

Transport

Access

Boundaries

Administrative boundariesResources

Water license

Topographic reference data sets

Image data

Geographic names register

Photogrammetric

control archive

Text &Text &Spatial Spatial DataData

Text &Text &Spatial Spatial DataData

Spatial Data Spatial Data InfrastructuresInfrastructures

Web Web Enabled AccessEnabled Access

LocationLocationBased PlatformsBased Platforms

EnablingEnablingTechnologyTechnology

Converting Converting Data into Data into InformationInformation

Supported Supported FunctionsFunctions

for Key Government and for Key Government and Business ActivitiesBusiness Activities

Supported Supported FunctionsFunctions

for Key Government and for Key Government and Business ActivitiesBusiness Activities

Policy makingPolicy making

Transactions managementTransactions management

Activity managementActivity management

Land development & planningLand development & planning

Land valuation & taxationLand valuation & taxation

Provision of utilities & servicesProvision of utilities & services

Transport & accessTransport & access

Farming & resource Farming & resource managementmanagement

Disclosure of restrictionsDisclosure of restrictions

Emergency managementEmergency management

Centre for SDIs and Land AdministrationDepartment of Geomatics

Spatial systems to support sustainable development

And, hardest of all,

Making processes accessible.

Thank you