An Assessment of the Impacts of Special Agriculture and Business Leases (SABLs) on Customary Land in PNG: A Case Study of Ramu Sugar Agro- Industries Limited

Abstract

The study attempts to analyse the perceptions of customary landowners, government officials and employees of Ramu Agro-Industries Ltd. (RAIL) about the impacts of Special Agriculture and Business Leases (SABLs) on the sugar company in Papua New Guinea (PNG). SABL is a product of the Lease-Lease Back Scheme devised in 1979 by the PNG government as a substitute for another legal apparatus for registration of customary land titles. Land registration is a requirement for agriculture and other forms of land development that empowers customary landowners to participate meaningfully in land development projects. Customary land on its own has been criticised as unsustainable for meaningful and sustainable economic development in PNG; therefore, the participation of SABLs in customary land development is a welcome development. The study reveals that SABLs are not beneficial and but pernicious in nature to landowners because they are mismanaged, misapplied and exploited by corrupt government officials colluding with land developers. Furthermore, the study findings indicate that there several challenges associated with the SABLs, such as flagrant abuse of landowner rights, violation of existing land laws, anomalous processes and procedures of granting SABLs, lack of consultation and awareness, management problems by illiterate landowners, benefit sharing issues, land disputes and social concerns. However, the benefits realised through SABLs cannot be repudiated. Such benefits include cash incentives, increased landowner participation and employment opportunities, creation of small and medium-sized enterprises (SME), provision of basic services such as schools and health care facilities and improved living standards for the landowners. Therefore, the paper argues that SABLs should not be abolished by the government. Rather, appropriate measures must be taken to correct the irregularities in the processes and reviews of the land laws to suit current land tenure challenges. The legal and procedural issues relating to SABLs are inherited problems stemming from the old colonial land laws, which appear to be outdated and incompatible with current realities. Therefore, the shortfalls, loopholes, inadequacies in law and anomalies in the entire SABL apparatus must be reviewed and overhauled putting in place stringent measures to guide their evolvement over time with due consideration to landowner rights. Finally, the entire land mediation mechanism in PNG should be revamped to empower land mediators to deal with land disputes with accountability, transparency, efficiency and effectiveness that will pave way for sustainable economic development of customary land through the full participation of SABLs in land development as agents of progress.