Forum

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Forum

• Cadastral Reform - A National Surveying System
• 26th September 2001

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Efficiencies of Current Systems vs Economic
Opportunities for a Single Surveying System

• Ken Lyons, Ed Cottrell, Kevin Davies
• CCS Surveys Pty Ltd

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As a result of research funded by an ASDI Grant
six high level causes of inefficiency were
identified in the land administration systems of
Australia and New Zealand.
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Issue 1 - The purpose of land administration
systems. Historical - Land allocation, tenure
management and transaction recording. Future -
To support the land and property market and to
assist in capital formation. Whilst this is
predominately a change in emphasis, it needs to
be explicit in the value systems of all
stakeholders.
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Issue 2 - Multiple jurisdictions and systems The
efficiency of commerce and of capital creation in
Australia is inhibited through the application of
different rules and procedures applicable to the
Land Administration System in each
jurisdiction. This is not new -
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The waste of legislative energy which has taken
place in the past -- by seven legislators turning
out statute after statute independently of each
other, though admittedly with the same object in
view -- cannot but be forcibly brought home to
anyone who looks through the eight sets of
statutes which are here printed. Now that
Federation is an accomplished fact in Australia,
similar waste could well be saved in the future
by the six States agreeing to Federal legislation
on the subject, under section 51, subsection 37,
of the Commonwealth of Australian Constitution
act. The differences in principle are so few and
the advantages of a single Torrens statute -- or
set of statutes -- throughout Australia are so
many, that if the task were seriously undertaken
it should not be difficult to get all six States
into line, so as to agree to uniform legislation
in this matter. J E Hogg, The Australian
Torrens System.1905, William Clowes and Son Ltd,
London.
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Is it too much to hope that the States and
Territories ( perhaps as a bicentenary effort)
could cooperate to produce a uniform Torrens
Statute. D J Whalan. The Torrens system in
Australia. The Law Book Co Ltd (1982)
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Issue 3 - Efficiency improvements possible but no
performance indicators It is likely that the
present land administration system and subsystems
can be significantly improved, but there are no
best practice/performance indicators to create
the efficiency drivers needed to compensate for
the largely monopolistic nature of the System.
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Issue 4 - Separate regulator/provider functions
within Government, remove operational monopolies,
establish best practice standards, or involve the
private sector in provider functions Where
Government responsibilities to the Land
Administration System for regulation/quality/secur
ity are not at arm's length from government's
operational activities in the same Agency, a
potential conflict of interest exists, and the
application of market/best practice testing is
inhibited.
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Issue 5 Investors cannot readily obtain
information on all rights and constraints
affecting land/property. The inability of the
Land Administration System to quickly, cheaply
and easily identify ALL the growing range of
rights and interests in land and property (as a
pre-condition to trading) is a growing threat to
public confidence in the market, and a barrier to
participation.
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Issue 6 Digital Lodgment needs to be designed
as a win-win to stakeholders including the
consumer, and not to merely digitise existing
processes If designed appropriately the digital
lodgment of land and strata information can
provide benefits to all process stakeholders as
well as downstream data users and other land
administration sub-systems.
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Collectively these inefficiencies are costing
investors 2.5bn per year. Much of this cost
could be captured and redirected to a more
productive use were we so inclined. These
findings have been confirmed in principle by
several Federal and State bodies, and we are
presently assisting the Queensland Government on
the issues. We expect other States may also
initiate similar action.
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In an abstract sense the inefficiencies point to
two issues - 1. Historically there has been
minimal consumer focus as land administration
systems have evolved. They have been supply side
driven, and the consumer has borne the
consequences. 2. The architecture of the Torrens
system is probably past its use-by-date.
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Keith Bell invited us to suggest initiatives for
Surveyors to consider in the context of cadastral
reform and our research to date. The following
are suggested as options -
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• Option 1- Do nothing, not our problem !
• It can be argued that the issues are not survey
  related and responsibility lies elsewhere.

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Option 2 - Other groups are addressing the
problem There are a number of stakeholders in
the land admin systems of Australia who have
formed a joint committee to pursue reform. We do
not believe Surveyors are involved in this
committee. The Australian Property Law
Committee ( of the Law Society) has recently
established a Joint Industry Body on Uniformity
of Property Law and Procedures to work towards
greater uniformity. This body is currently
developing its business plan. Members of the
joint industry body include Real Estate
Institute of Australia, The Australian Property
Institute, The Housing Industry Association, The
Property Council of Australia, The Australian
Institute of Conveyancers, The Shopping Centre
Council of Australia)
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Option 3 - An opportunity ? The major
inefficiency identified in our study is the
existence of 8 separate land administration
systems. This includes 8 separate survey systems.
It is likely an objective business case
analysis would indicate a single survey system
would carry long term public benefit. Surveyors
should undertake this analysis, and if proven
should commit to that reform. To minimise costs,
migration to a single system could be phased in
over a lengthy period.
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• Advantages of a single survey system
• Reduce cost to consumers of Surveyors working
  nationally or across borders.
• Facilitate sharing of innovation.
• Facilitate best practice comparisons.
• Contribute to improved efficiency of the nations
  land administration systems, particularly
  attractive to national investors.
• Show lead to other stakeholders in reducing costs
  of multiple systems.

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• Disadvantages
• Could lead to tensions in agreeing on national
  standards and timetables
• Other stakeholders may resist change
• Could be expensive to implement
• May create difficulties in the existing interface
  with other sub-systems.

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Possible Actions 1. Decide in principle to be
pro-active or reactive. 2. Form a task-force to
address single survey system. 3. Start
interaction with others to improve land
administration.
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Finish