4.4 Revocation and Compensation under Sections 28 to 30

2.2 Compulsory Land Acquisition & Section 29 Compensation

Compulsory land acquisition—the exercise of the state's power of eminent domain—is the legal procedure by which the government acquires private land rights for public infrastructure, industrial development, national security, or urban renewal. In Nigeria, compulsory acquisition is governed primarily by Section 28 and Section 29 of the Land Use Act 1978, operating in strict alignment with Section 44 of the 1999 Constitution of the Federal Republic of Nigeria (as amended), which protects citizens against arbitrary deprivation of property without prompt compensation.

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1. Revocation of Right of Occupancy for Overriding Public Interest (Section 28)

Under Section 28(1) of the Land Use Act, the Governor of a state possesses the statutory authority to revoke a Statutory or Customary Right of Occupancy over any land within the state for overriding public interest.

Statutory Grounds for Revocation (Section 28(2) & (3)):

1. Public Purpose (Section 28(2)(a)): Acquisition by the State or Local Government for public works, highways, railways, airports, seaports, schools, hospitals, public housing, utility lines, or urban renewal.
2. Federal Acquisition (Section 28(2)(b)): Requirement of the land by the Federal Government of Nigeria for federal public purposes or national defense.
3. Mining & Oil Pipelines (Section 28(2)(c) & (3)(b)): Requirement of the land for mining purposes, mineral oil pipelines, or atomic energy installations under the provisions of the Minerals and Mining Act or Petroleum Act.
4. Punitive Revocation for Breach (Section 28(5)): Revocation resulting from the holder's breach of statutory covenants contained in the Certificate of Occupancy (e.g., failure to pay annual ground rent, failure to develop land within stipulated timeframe, or unauthorized alienation without Governor's consent).

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2. Notice of Revocation & Constitutional Protection

For a compulsory acquisition to be legally valid, strict procedural compliance is mandatory:

• Formal Notice Requirement (Section 28(6) & Section 44): The revocation of a right of occupancy takes legal effect only upon the service of a formal written Notice of Revocation under the hand of an authorized officer on the holder/occupier. Notice must be served personally or published in the official State Gazette and widely circulated national daily newspapers.
• Constitutional Guarantee (Section 44, 1999 Constitution): Section 44(1) of the Constitution mandates that no movable property or interest in an immovable property shall be taken possession of compulsorily or acquired in any part of Nigeria except in the manner and for the purposes prescribed by a law that provides for prompt payment of compensation and gives any claimant a right of access to the High Court for the determination of his interest and compensation amount.

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3. Section 29: Compensation Principles & Computation Rules

When a Right of Occupancy is revoked for overriding public interest (and not for breach of covenant), the holder is entitled to compensation evaluated strictly under Section 29 of the Act.

                     Compulsory Land Acquisition Claim
                                    |
          +-------------------------+-------------------------+
          |                                                   |
 [Unimproved Bare Land]                              [Unexhausted Improvements]
          |                                                   |
 NO Compensation Payable                              Monetary Compensation Payable
 (Radical title in State)                             under Section 29(4)
          |                                                   |
 Rent paid in the YEAR of                               +-------+-------+
 revocation  (Sec 29(4)(a))                        |               |
                                              [Buildings/Structures] [Crops/Trees]
                                                      |               |
                                              Replacement Cost   Published Crop
                                              Less Depreciation  Rate Schedule

A. Bare Unimproved Land (Section 29(4)(a))

Because radical title is vested in the Governor and the holder possesses only a leasehold right of occupancy, no monetary compensation is paid for raw, unimproved land itself. However, the holder is entitled, under section 29(4)(a), to an amount equal to the rent, if any, paid by the occupier during the year in which the right of occupancy was revoked. It is the rent paid for that year, not an apportionment of the unexpired balance.

B. Buildings, Installations, & Structures (Section 29(4)(b))

Compensation for unexhausted improvements (buildings, fences, factories, civil structures, wells, boreholes) is computed on the basis of the Replacement Cost of the structure at the date of revocation, as evaluated by licensed estate surveyors and valuers or government valuation officers:

$\text{Compensation Value} = \text{Current Gross Replacement Cost} - \text{Accrued Depreciation}$

• Gross Replacement Cost: The estimated financial cost to reconstruct an identical structural facility using current prevailing material, labor, and equipment rates.
• Depreciation: Deduction reflecting physical wear and tear, functional obsolescence, and structural deterioration.

C. Economic Crops & Agricultural Trees (Section 29(4)(c))

Compensation for agricultural crops, economic trees, and farm investments is assessed based on official government Crop Compensation Rate Schedules published periodically by State Ministries of Agriculture and Lands:

$\text{Crop Compensation} = \sum_{i=1}^{n} \left( N_i \times R_i \right)$

Where $N_i$ is the count or area of crop species $i$, and $R_i$ is the official statutory rate per plant or unit area. Rates are categorized by crop maturity stage:

• Immature / Seedling Stage: Low rate reflecting nursery purchase and planting cost.
• Medium / Non-bearing Stage: Intermediate rate accounting for maintenance labor.
• Mature / Bearing Stage: Maximum rate reflecting lost future economic yield over the productive lifespan of the species (e.g., cocoa, oil palm, rubber, kola nut, cashew, mango, citrus, timber trees, yam, cassava).

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4. Alternative Land Allocation in Lieu of Cash (Section 33)

Under Section 33 of the Land Use Act, where a Right of Occupancy over land containing a residential building has been revoked for public purpose, the Governor or Local Government may, in lieu of monetary compensation, offer the affected holder an alternative plot of land of equivalent value and reasonable extent in an urban or non-urban area. Acceptance of alternative residential land extinguishes monetary compensation for the bare land, though compensation remains payable for unexhausted structural improvements.

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5. The Operational Role of the Professional Surveyor in Acquisition Projects

The professional surveyor plays an essential lead role throughout the compulsory land acquisition lifecycle:

[1. Project Corridor Alignment] 
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[2. Boundary Perimeter Survey & ROW Demarcation]
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[3. Gazette Acquisition Plan & Description Preparation]
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[4. Property Identification & Asset Enumeration Survey]
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[5. Cadastral Overlap & Claimant Boundary Resolution]

1. Perimeter & Right-of-Way (ROW) Survey: Running precise geodetic control and boundary traverses to define the exact spatial extent of the acquisition corridor or parcel block.
2. Gazette Acquisition Plan Preparation: Producing official acquisition survey plans and legal boundary descriptions for publication in government gazettes and public notices under Section 28.
3. Property Enumeration & Asset Mapping: Conducting field property identification surveys (PIS), capturing high-resolution spatial locations of every affected building, fence, farm plot, and economic tree using RTK GNSS and mobile GIS data collection tools.
4. Cadastral Overlap & Claimant Verification: Overlaying proposed acquisition boundaries on existing registered survey plans (Pillar Index Maps) to verify legal ownership claims, eliminate fraudulent claims, and resolve boundary disputes.

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6. Dispute Resolution & Section 30

Under Section 30 of the Land Use Act, any dispute concerning the amount of compensation calculated or payable under Section 29 shall be referred to the appropriate Land Use and Allocation Committee for determination. Under section 39(1)(b) of the Act the High Court has exclusive original jurisdiction over proceedings to determine any question as to the persons entitled to compensation payable for improvements on land, and section 44(1) of the 1999 Constitution guarantees a claimant access to a court for the determination of his interest and the amount of compensation.