Taking a Business Approach Sustainable Land Administration Taking a Business Approach By Peter Dale Honorary President of FIG

What has changed since 1996? Less Public Sector monopoly, with more Public / Private Partnerships 2. Less focus on System Building, with more focus on System Maintenance Decreasing lifespan of technology A cultural shift towards commercialism Greater concern for sustainability

Why Adopt a Business Approach? Raise money for the maintenance and expansion of services Increase economic efficiency through accountability and cost concern Reduce wastage (human and material) Manage user demands

Why? Contd. Address equity by charging commercial users Ensure competitive neutrality Conform to international agreements e.g. IPR

Why Not? Land Administration is a public good It provides services that the private sector could not fund Inter-agency Billing adds to overhead costs 4. Government agencies should co-operate not compete

Why Not? Contd. Some business activities could be illegal The weak need to be protected Benefits already flow from tax collection 8. A commercial approach can impede market development

Maintenance is another. The Bottom Line Building is one thing. Maintenance is another. How do you fund Technology Refresh?

The Options There is NO cost recovery There is MARGINAL cost recovery There is PARTIAL or FULL cost recovery There is a PROFIT

Potential Conflicts Joined-up Government may be jeopardised if one agency’s business plan is in conflict with another. There is need for consistency especially between land administration agencies There is need to conform to EU Directives Are Land Book and Cadastral Data public sector documents?

The Last Word The important thing to recognise is that the adoption of a business approach does not necessarily mean full cost recovery. The latter is a political decision. The objective should be to create mechanisms that improve efficiency and ensure the long-term sustainability of the service provided.