The Land Use Act of 1978: A Complete Guide to Property Rights for Every Nigerian

Last Update: January 3rd, 2026

The Land Use Act of 1978 is a pivotal piece of legislation in Nigeria that governs land ownership, management, and administration. Enacted on March 29, 1978, the Act aimed to reform land tenure systems, address issues of land fragmentation, and promote equitable land distribution. This article provides a comprehensive overview of the Land Use Act, its objectives, key provisions, implementation strategies, and the challenges it faces.

Historical Context

Before the enactment of the Land Use Act, land tenure systems in Nigeria were diverse and complex, influenced by customary laws, colonial policies, and statutory laws. This multiplicity often led to land disputes, fragmentation, and inequitable access to land. The Land Use Act was introduced to unify land administration, streamline land ownership processes, and facilitate land access for development purposes.

Objectives of the Land Use Act

The primary objectives of the Land Use Act are to:

1. Promote Equitable Land Distribution: Ensure fair and equitable distribution of land among Nigerians, preventing land hoarding and speculative landholding.

2. Simplify Land Administration: Streamline and simplify the processes of land acquisition, ownership, and transfer.

3. Enhance Land Accessibility: Facilitate easier access to land for residential, agricultural, commercial, and industrial purposes.

4. Promote Economic Development: Support national development by making land readily available for development projects and investments.

5. Unify Land Tenure Systems: Harmonize the diverse land tenure systems across the country into a cohesive framework.

Key Provisions of the Land Use Act

The Land Use Act includes several key provisions aimed at achieving its objectives:

1. Vesting of Land in the State: All land in each state is vested in the Governor, who holds it in trust for the people. This provision centralizes land administration and aims to prevent land speculation and hoarding.

2. Grant of Statutory Rights of Occupancy: The Governor can grant statutory rights of occupancy to individuals and corporate bodies for a specific period, typically 99 years for residential purposes and shorter periods for commercial and industrial purposes.

3. Customary Rights of Occupancy: Local government authorities can grant customary rights of occupancy for land in rural areas, primarily for agricultural and residential purposes.

4. Revocation of Rights: The Governor has the authority to revoke rights of occupancy for overriding public interest, such as for public infrastructure projects. Compensation is provided for any unexhausted improvements on the land.

5. Land Use and Allocation Committees: The Act mandates the establishment of Land Use and Allocation Committees at the state level to advise the Governor on land management and allocation matters.

6. Payment of Ground Rent: Occupiers of land granted under statutory rights of occupancy are required to pay ground rent to the state government.

Why You Need Governor’s Consent for Land Transactions

Under Section 22 of the Land Use Act, it is unlawful for anyone with a Right of Occupancy to sell, mortgage, or transfer their interest in land without the "consent of the Governor first had and obtained."

Think of the Governor as the ultimate "Landlord" of the state. If you buy a house from a private owner, the government does not recognize you as the new owner until the Governor signs off on the transfer.

Without Governor's Consent:

• The Transaction is "Null and Void": Legally, the sale didn't happen. You have paid for the land, but you don't own the legal title.

• No Bank Loans: Financial institutions in Nigeria will not accept a property as collateral unless the Governor’s Consent has been "perfected" (registered).

• Risk of Double Sale: Because your name isn't in the official government registry, the original owner could technically sell the land again to someone else who does get the consent.

Pro-Tip for Aspiring Homeowners: Never finish a property transaction with just a "Deed of Assignment." You must begin the process of "perfection" immediately to move the legal title into your name.

C of O vs. R of O: Key Differences at a Glance

Feature	Certificate of Occupancy (C of O)	Right of Occupancy (R of O)
Authority	State Governor / FCT Minister	Local Government / Area Council
Legal Strength	Highest legal title in Nigeria	Temporary/Foundational right
Bankable?	Yes, widely accepted for loans	Usually rejected by banks
Market Value	Adds 20-40% premium to price	Lower; often needs "upgrading"

Implementation Strategies

Effective implementation of the Land Use Act requires coordinated efforts and strategic actions, including:

1. Legislative Support: Ensuring that state governments enact complementary laws and regulations to support the implementation of the Act.

2. Institutional Framework: Establishing and strengthening institutions responsible for land administration, such as Land Use and Allocation Committees and land registries.

3. Capacity Building: Providing training and capacity-building programs for officials involved in land administration to enhance their understanding and enforcement of the Act.

4. Public Awareness: Raising awareness about the provisions and benefits of the Act through public education campaigns, community engagement, and stakeholder consultations.

5. Technology Adoption: Leveraging technology for land administration, such as Geographic Information Systems (GIS) and digital land registries, to improve efficiency and transparency.

Challenges and Recommendations of the Land Use Act

Despite the comprehensive nature of the Land Use Act, several challenges hinder its effective implementation:

1. Bureaucratic Bottlenecks: Lengthy and complex administrative processes can delay land allocation and issuance of occupancy rights. Streamlining procedures and reducing bureaucratic red tape are essential for timely land administration.

2. Corruption and Inefficiency: Corruption and inefficiency within land administration institutions can lead to land grabbing, speculative landholding, and inequitable land distribution. Strengthening oversight mechanisms and promoting transparency are crucial for addressing these issues.

3. Lack of Public Awareness: Limited awareness and understanding of the Act among the general public can lead to non-compliance and disputes. Public education and stakeholder engagement are necessary to promote adherence to the Act.

4. Customary Land Tenure Conflicts: The coexistence of statutory and customary land tenure systems can lead to conflicts and legal ambiguities. Harmonizing these systems and ensuring clear legal frameworks are essential for resolving conflicts.

5. Inadequate Compensation: Issues related to inadequate compensation for revoked rights of occupancy can lead to grievances and resistance from affected landowners. Ensuring fair and timely compensation is crucial for maintaining public trust and support.

This section is essential because it moves the article from a history lesson into a forward-looking "Trend Report." As of January 2026, the debate surrounding the Land Use Act has reached a fever pitch in the National Assembly.

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The Future of the Land Use Act: Will it be Repealed?

For decades, the Land Use Act of 1978 has been criticized as the "greatest bottleneck" to Nigeria's economic growth. In 2025 and 2026, the call for its repeal or significant amendment has moved from academic debate into active legislative discussion.

The "Expunge" vs. "Amend" Debate

The primary reason the Act is so difficult to change is that it is "entrenched" in the 1999 Constitution. To change even one sentence, the National Assembly must go through the rigorous process of a Constitutional Amendment.

• The Case for Repeal: Stakeholders like the Nigerian Institution of Estate Surveyors and Valuers (NIESV) argue that the Act should be removed from the Constitution entirely. This would allow it to be managed as a regular law, making it easier to update the "Governor's Consent" and "Compensation" clauses which are seen as outdated.

• The Government’s Stance (2025–2026): In late 2025, the Federal Government inaugurated Land Reform Task Teams to streamline land administration. While a total repeal is unlikely in the immediate future, there is a strong push for a National Land Commission to standardize how land is managed across all 36 states.

What the Proposed Changes Mean for You

If the current 2026 legislative proposals pass, here is what could change for homeowners and investors:

1. Digital Titling: A move toward a unified, digital "National Land Registry" to end the era of "missing files" at land bureaus.

2. Consent Reform: Proposals to make "Governor's Consent" an automatic administrative process rather than a political one, potentially reducing the wait time from years to weeks.

3. Fairer Compensation: Amendments to ensure that if the government revokes your land, you are paid the current market value of the land itself, not just the "improvements" (buildings) on it.

Conclusion

The Land Use Act of 1978 is a foundational piece of legislation that governs land ownership, management, and administration in Nigeria. By centralizing land administration, promoting equitable land distribution, and facilitating land access for development, the Act seeks to address historical land tenure issues and support national development. While challenges such as bureaucratic bottlenecks, corruption, and conflicts between statutory and customary land tenure systems exist, addressing these issues through legislative support, capacity building, public awareness, and technology adoption can enhance the effective implementation of the Act. Through concerted efforts and collaboration among all stakeholders, the Land Use Act can contribute significantly to the sustainable and equitable development of Nigeria's land resources.