http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 12.88Change: 0.06
R/$ = 11.46Change: -0.05
Au 1280.85 $/ozChange: -9.85
Pt 1253.00 $/ozChange: -18.50
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Aug 27, 2012

Revised codes to accelerate BEE implementation – Davies

Back
Engineering|Mindwalk|Anthony Hartman|Rob Davies|Tony Balshaw
Engineering||
engineering|mindwalk|anthony-hartman|rob-davies|tony-balshaw
© Reuse this



The revised broad-based black economic-empowerment (BBBEE) codes, which Cabinet last week approved, would accelerate the implementation of BEE and broaden the effects of empowerment, Trade and Industry Minister Dr Rob Davies said on Monday as he outlined the key areas of refinement.

The revised BBBEE codes, which would be open for a 60-day comment period once officially gazetted, reduced the generic scorecard to five elements, with employment equity and management control being consolidated, and preferential procurement and enterprise development merged to form a supplier development element.

The points for ownership have also been broadened to include designated groups in the main points, while thresholds for exempted micro enterprises and qualifying small enterprises have been adjusted. All companies, except exempted micro enterprises, would be required to comply with the five elements of the BBBEE scorecard.

The revision would also see the introduction of priority elements: ownership, skills development and supplier development. Large enterprises had to comply with all three priority elements. The priority scores of entities that did not comply with sub-minimum requirements in each priority would be discounted.

Entities that were 100% black-owned would qualify as Level 1 and entities that were more than 50% black-owned would qualify as Level 2.

The revised codes also updated the framework for the accreditation of BBBEE verification agencies to include the Independent Regulatory Body of Auditors.

Grant Thornton head of BEE verification Tony Balshaw told Engineering News Online that the intention to revise the codes raised some concerns. “The codes are supposed to have a shelf life of ten years, and then it should have a substantial review. But is this still needed?

“It seems politically expedient to change the codes and to rectify certain things in the codes, when the technical problems have not been addressed. There are about 100 errors in the original codes,” he said.

Balshaw applauded the fact that some of these errors seemed to be corrected in the revised codes. “However, the government is moving the goal posts as well, by [proposing the] rolling up of management control and employment equity into one score. My view is that the technical errors and imperfections should be ironed out first, before changes are made to the codes,” he noted.

Verification agency Mindwalk CEO Anthony Hartman said the amendments of the codes might hold more complications for agencies.

“Because the whole process of BBBEE is voluntary, people are going to be more reluctant to submit themselves to processes which are too complicated. Ultimately, this hinders the overall aims which is transformation and change,” he noted.
 

Edited by: Mariaan Webb
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Economy News
Jeffrey Immelt
Updated 7 hours ago Troubled South African State power utility Eskom should place emphasis on stability ahead of improvement, GE chairperson and CEO Jeffrey Immelt suggested on Monday. Speaking at the Gordon Institute of Business Science (GIBS) in Johannesburg, the head of the...
Tenders are being prepared for two major oil-services infrastructure projects, collectively valued at around R10-billion, for the deep-water Port of Saldanha, on South Africa’s west coast. The developments are being packaged as build, own, operate and transfer...
Assets under management of exchange traded funds (ETFs) will double to at least $5-trillion by 2020, consultant PwC said on Monday, as investors increase exposure to such products given their lower costs than traditional mutual funds. "Institutional investors are...
More
 
 
Latest News
Updated 7 hours ago Temporary power generation services provider Aggreko has extended the contract for its 200 MW gas-fired power project in Côte d'Ivoire by three years, with the option to extend this by a further two years.
Jeffrey Immelt
Updated 7 hours ago Troubled South African State power utility Eskom should place emphasis on stability ahead of improvement, GE chairperson and CEO Jeffrey Immelt suggested on Monday. Speaking at the Gordon Institute of Business Science (GIBS) in Johannesburg, the head of the...
Updated 7 hours ago A Competition Tribunal hearing into alleged cartel activity and price-fixing by several companies in the wire and wire products manufacturing industry was again postponed on Monday pending a decision by the Competition Appeal Court (CAC). Respondents Allens Meshco,...
More
 
 
Recent Research Reports
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
 
 
 
 
 
This Week's Magazine
BRUCE BRADFORD The 3D printers have a clear upgrade path to eventually print in wood, ceramics and metal-alloys
Three-dimensional (3D) printers being sold in South Africa by electronics distributor Rectron currently print in two types of plastic, but have a clear upgrade path over the next five years to eventually print in wood, ceramics and metal-alloy materials, says Rectron...
The world’s two dominant commercial aircraft manufacturers, Airbus of Europe and Boeing of the US, both recently announced that they had made record aircraft deliveries in 2014. Boeing set a global record for the industry with 723 commercial aircraft delivered, while...
The Western Cape is shifting further into the renewable-energy space with the official opening of a factory specialising in solar inverters, a key component of solar photovoltaic (PV) plants. The investment in the manufacturing facility in Cape Town aims to boost the...
Business Leadership South Africa (BLSA) last month welcomed Cabinet’s establishment of a technical team war room to undertake various interventions to improve electricity supply security over the short- and medium-term, but added that the private sector also had a...
Despite a rapid rise in mobile connections and the economic and social benefits of such connectivity, more than half of the world ended 2014 unconnected. For this reason, industry commentators believe the biggest impact of mobile technology is still to come –...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks