Comment Sought on Proposed BBBEE Codes of Good Practice

Department of Trade and Industry

Draft amendments to the framework for measuring broad-based black economic empowerment have been published for comment.

The proposed amendments focus on the general principles and the generic scorecard.

Published in Government Gazette 41546, the proposed codes of good practice refer to the introduction of the Youth Employment Service (YES) initiative.

Other key amendments include principles for unincorporated joint ventures, clarifications around exempted micro-enterprises and qualifying small enterprises and the enhanced B-BBEE recognition level for generic enterprises.

According to the proposed qualification for registration for the YES initiative, generic entities with revenue over R50 million per annum must achieve at least the 40% sub-minimum in each of the priority elements of the generic B-BBEE scorecard.

Qualifying small enterprises with an annual total revenue between R10 million and R50 million must achieve at least 40% in two of the three priority elements with ownership one of the two elements.

Meanwhile, in Gazette 41546, the trade and industry department has also published draft amendments to the general principles for measuring skills development for comment.

The proposed amendments focus on introduction of point indicator 2.1.1.2 dealing with the spend on bursaries for black students attending higher education institutions, splitting of the 6% leviable amount target for overall skills development expenditure and bursaries and increasing the recognition for category F and G training programmes from 15% to 25%.

Comment on both draft statements in invited within 60 days of the date of publication.

In a separate matter, the department has, in Gazette 41534, called for comment on the draft guidelines on the processes and procedures for the planning and setting up of the Special Economic Zones (SEZ) programme.

The draft guidelines deal with the strategic framework and guidelines for the designation of SEZs, location of a business in a SEZ and application of a SEZ operator permit.

Comment is invited within 30 days of the date of publication.

In Notice 390, the department has published the SEZ Governance and Management Regulations in terms of the SEZ act.

The regulations came into force on the date of publication.

Sabinet Cape Town Office