Report of the National Inquiry into the Land Rights of Indigenous Peoples 57 4.90 This underscores the point that ownership under customary laws is best understood through considering indigenous history and patterns of land usage because indigenous systems have their own precision and enforceability.165 Sarawak Land Consolidation and Rehabilitation Authority Ordinance 1976 4.91 One of earlier legislation in relation to development of native customary lands in Sarawak is the Sarawak Land Consolidation and Rehabilitation Authority Ordinance 1976. That Ordinance established the Sarawak Land Consolidation and Rehabilitation Authority (SALCRA) which had the object of developing agricultural land in situ. Owners of NCL entered into joint venture with SALCRA to develop their lands and to plant the land with cash crops. As these lands are declared as lands under Development Area, the legal ownership or any customary rights on the land would not be affected. Participating households retained ownership to their lands. Here, an owner is defined as the proprietor of the land as defined under the Land Code and includes any natives lawfully occupying NCL. SALCRA’s function is to rehabilitate the land, plant the cash crops, provide advisers and training facilities in various aspects of farming and land management. The owners pay for the costs. Upon completion of the development and when it appears that the participants have acquired the know-how, under section 19 of the Ordinance, the Government may direct that land be alienated to such persons or body, thus enabling them to obtain a demarcated piece of land to which they will be given a grant in perpetuity under section 18 of the Land Code. 4.92 Where lands are acquired for SALCRA under section 22 of the Ordinance, any NCR that are affected may be extinguished and such lands would be deemed to be for public purpose. The expense and compensation of any land acquired shall be borne by the authority. 4.93 A parallel scheme to SALCRA was set up under the Land Consolidation and Development Authority or Lembaga Pembangunan dan Lindungan Tanah (PELITA) which was established in 1981. Unlike SALCRA which was only for agricultural development, this new authority was set up to promote the development of both agricultural and non-agricultural projects and it was established under the Land Consolidation and Development Authority Ordinance 1981. Sarawak Land Consolidation and Development Authority Ordinance 1981 4.94 The Ordinance gives powers to LCDA to acquire land for private estate development on both State controlled land, as well as NCR land. It has powers to act as intermediary between land-owners and corporations where private investors would be invited to participate in land development, subject to allocation of shares in those companies. The Land Code was amended in 1988 and 1990 to allow corporations including foreign companies to purchase land, including NCL for development. The formation of LCDA was a further step in governmental involvement in large scale land development as it became an agency and a conduit to ‘harness private capital for developing the land as estates’166 paving the way for the introduction of the Joint-Venture Company (JVC). 4.95 The Joint Venture Company introduced as a Konsep Baru. The JVC was introduced and labeled as a Konsep Baru or New Concept, a term that is self explanatory and presupposes no knowledge or practice on the part of its beneficiaries. The concept of the joint venture 165 Re Southern Rhodesia (1919) AC 211. 166 The Sarawak Chief Minister, Datuk Patinggi Tan Sri Haji Abdul Taib Mahmud, Handbook, New Concept of Development on Native Customary Rights (NCR) Land, Ministry of Land Development, Sarawak, 1997. chapter 4_a4.indd 57 7/5/13 6:46 PM