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Vanuatu Review of National Land Legislation, Policy and ... - AusAID

Vanuatu Review of National Land Legislation, Policy and ... - AusAID

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2.5. Basic needs<strong>L<strong>and</strong></strong> dealings in <strong>Vanuatu</strong> (negotiations, leases, registrations, sub-divisions, etc)have got out <strong>of</strong> control in recent years, <strong>and</strong> the resolutions <strong>of</strong> the <strong>National</strong> <strong>L<strong>and</strong></strong>Summit require that they be brought back under control. This will mean difficultdecisions, not only because there has probably been a high level <strong>of</strong> non-compliancewith legal requirements, but also because <strong>of</strong> the sheer volume <strong>of</strong> l<strong>and</strong> dealingscoming before <strong>of</strong>ficial bodies for approval. Options which will be considered include:a moratorium on further processing <strong>of</strong> new dealings (a temporarymoratorium is already in place); an inquiry into the legality <strong>of</strong> recent dealings, with a view torecommendations for remedying the situation; more aggressive application <strong>of</strong> the remedies currently available –forfeiture <strong>of</strong> leases, prosecutions for breach <strong>of</strong> public access <strong>and</strong> zoninglaws, etc.; amendments <strong>of</strong> legislation, possibly with retrospective effects; as a last resort, compulsory acquisitions.Each <strong>of</strong> the above options entails a degree <strong>of</strong> risk (including ‘sovereign risk’), whichwill have to be weighed against the benefits <strong>of</strong> regaining control over the nation’sl<strong>and</strong> affairs.2.6. Doing Business in <strong>Vanuatu</strong>In “Doing Business in 2007” 2 , the difficulties faced in undertaking business activitiesin <strong>Vanuatu</strong> are highlighted. Of the data on 175 countries, <strong>Vanuatu</strong> is ranked at 58thin doing business. However in relation to trade, employment <strong>and</strong> l<strong>and</strong> registration<strong>Vanuatu</strong> is ranked in the bottom half <strong>of</strong> all countries. These statistics highlight thatthere are a number <strong>of</strong> areas where <strong>Vanuatu</strong> needs to focus attention if it is toimprove business <strong>and</strong> l<strong>and</strong> administration activities.In relation to registering property it is stated that to register a l<strong>and</strong> parcel (a lease) ittakes on average 188 days which is compared with 31.8 days in OECD countries.The cost in <strong>Vanuatu</strong> to register is approximately 7% <strong>of</strong> the property value which iscompared with 4.3% for OECD countries. These figures reinforce some <strong>of</strong> theconcerns expressed by the <strong>National</strong> <strong>L<strong>and</strong></strong> Summit <strong>and</strong> highlight the importance <strong>of</strong><strong>Vanuatu</strong> commencing action immediately to address a review <strong>of</strong> l<strong>and</strong> relatedlegislation <strong>and</strong> procedures in l<strong>and</strong> administration.3. LAND POLICY AND LEGISLATION3.1. At the time <strong>of</strong> independenceFor present purposes, l<strong>and</strong> policy development in <strong>Vanuatu</strong> can be regarded asbeginning on the eve <strong>of</strong> independence in 1980. Under the previous British-French2 World Bank, Doing Business in 2007 – How to Reform, 2007.5

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