Housing Ministry Partners Notable UK Land Valuation Agency on Review of Compensation Rates for Public Land Acquisition

London, 15th September 2024 — The Federal Ministry of Housing and Urban Development has began a landmark partnership with the Central Association of Agricultural Valuers (CAAV), a renowned UK-based professional body specializing in agricultural and rural valuation. The collaboration aims to leverage the expertise, knowledge and experience of CAAV towards finalizing the long overdue review and update of methodologies for compensation rates for public land acquisition in Nigeria, with a focus on crops and economic trees.

Speaking at the first day of the Knowledge Exchange Programme in London, the Honourable Minister of State for Housing and Urban Development, Alhaji Abdullahi Tijani Gwarzo, emphasized the significance of the partnership in the context of Nigeria's ongoing land reforms. He noted that the programme marks a critical step in the country’s efforts to review, update and harmonize land compensation rates and standards in line with global best practices.

“This collaboration is vital to our ongoing reforms, designed to tackle the systemic challenges in land governance and administration. By leveraging the specialist knowledge of institutions like CAAV, we are confident in developing a framework that is both effective and sustainable,” Minister Gwarzo said.

Under President Bola Ahmed Tinubu’s Renewed Hope Agenda, the Ministry has embarked on comprehensive land reforms aimed at addressing bottlenecks and inefficiencies in the country’s land value chains. One of the core aspects of these reforms is the review of outdated compensation rates that have been in use since 2008.

During his remarks, Minister Gwarzo highlighted the challenges faced in implementing the Land Use Act of 1978, which defines the process of compulsory land acquisition and compensation for affected landowners. These challenges include the outdated compensation rates and the absence of a nationwide, scientifically grounded structure for determining compensation.

To address these issues, the Nigerian government, through its National Technical Development Forum (NTDF) on Land Administration, has been working on developing a revised compensation regime. The partnership with CAAV is expected to provide critical insights and methodologies for ensuring that compensation rates are updated in real time and meet international standards.

“Our engagement with CAAV will enable us to apply critical professional input in the work we have already done to finalize and develop national reference rates for compensating crops and economic trees in public land acquisition. This will help us implement a dynamic, updatable, and scientifically based central repository of rates for use in various projects,” the Minister added.

The meeting featured technical presentations by the Lead Consultant to the Ministry on the draft Compensation Rates Methodology, Professor Olurotimi Kemiki and Secretary and Adviser CAAV, Jeremy Moody. 

In his presentation, Jeremy Moody said the association is pleased to work with the Ministry  towards achieving its objectives.

The Knowledge Exchange Programme will continue throughout the week, with both parties expected to share valuable insights and experiences. The outcomes from this engagement will contribute to the Ministry’s final report, which is scheduled to be presented in October 2024.

The Federal Ministry of Housing and Urban Development remains committed to ensuring that land acquisition processes in Nigeria are fair, transparent, and in line with global standards.