Harare Probes into Missing Endowment Fees and Land Transfers
...Investigation uncovers millions in unaccounted land, payment irregularities
By Loyd Matare
City of Harare has established a special investigative committee to probe the payment and accountability of endowment fees by landowners and developers for land subdivisions conducted between 2000 and 2023.
The committee, which comprises four serving councillors, a town planner, a lawyer, a civil engineer, and a committee secretary, is tasked with reviewing records, conducting site visits, and interviewing key stakeholders.
Endowment fees, which are legally required under Section 41 of the Regional, Town, and Country Planning Act (Chapter 29:12), are meant to support public infrastructure and ensure sustainable urban development.
However, concerns have emerged over whether these payments were properly made and accounted for by both the council and developers.
Speaking during a full council meeting yesterday at Town House, special subcommittee chairperson Denford Ngadziore revealed that endowment fees had historically been paid in cash, land, or a combination of both.
When paid in cash, the funds should have been deposited into the council’s accounts, while land payments should have been transferred into the city’s land bank.
The investigations however, unveiled significant discrepancies.
“Some areas are now fully developed settlements, yet endowment fees were never paid, or the land was illegally subdivided and sold.
“In some cases, housing construction is already underway without proper authorization,” said Ngadziore.
He cited areas such as Madokero, Southview, Fidelity, Prospect, and Amalinda, where land meant for public infrastructure has either not been transferred to council or has been illegally developed.
Some of the identified land has remained in limbo for nearly two decades.
The committee’s findings also indicated that land measuring at least six hectares valued at approximately US$3 million was lost due to unchecked developments.
Meanwhile, total land transferred to the city was estimated at 42 hectares, valued at over US$20 million.
Ngadziore in his report revealed that at least 8.5 hectares, worth US$3.4 million, have been lost due to various infractions.
He went on to highlight the detrimental impact of these irregularities, particularly in areas experiencing critical shortages of schools and public amenities.
“Some land that was meant for schools has remained unutilized, even in areas where demand for education facilities is high,” he said.
Adding to the problem, payments made in cash, particularly after 2016, were rendered less effective due to inflation and currency distortions resulting in funds losing significant value before the city could put them to use.
To avoid further hemorrhaging of funds, the investigative committee has recommended immediate reforms including:
- Mandatory compliance certificates for developers before construction permits are granted.
- Fast-tracked land transfers, requiring all land paid as endowment to be secured within three months.
- Stronger oversight mechanisms, including a cross-departmental verification process to track all past and future endowment payments.
- Legal action against individuals or entities found to have engaged in illegal land dealings.
“Council must ensure that all land paid as endowment is identified, verified, and secured for public use. This will require cooperation from all departments,” the report stated.
As investigations continue, the city faces a critical challenge: recovering lost land and funds while ensuring future developments adhere to proper procedures.
The findings of this committee could reshape urban planning policies in Harare, signaling a tougher stance against unregulated land dealings.
