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Economic Empowerment

 

Home>> Economic Empowerment>> B-BBEE>> Broad-Based Black Economic Empowerment Advisory Council

Broad-Based Black Economic Empowerment Advisory Council


Introduction and Background

The Broad-Based Black Economic Empowerment Act, No. 53 of 2003, (the Act) makes provision for the establishment of the Broad-Based Black Economic Empowerment Advisory Council (The B-BBEEAC). In order to fulfil the legal mandate as outlined in the Act, President Jacob Zuma appointed the members of the Advisory Council, contemplated in section 6(1)(c) and (d) of the Act, on 03 December 2009 and their term elapsed in December 2014. In October 2015, the President will appoint new council members for a period of five years.

The Advisory Council will provide guidance and overall monitoring on the state of B-BBEE performance in the economy with a view of making policy recommendations to address challenges in the implementation of this transformation policy.

Functions of the Council

The Council is responsible for providing leadership and direction in the implementation of B-BBEE in the country. The functions of the Council are to:

  • Advise government on black economic empowerment;

  • Review progress in achieving black economic empowerment;

  • If requested to do so, advise on draft transformation charters; and

  • Facilitate partnerships between organs of state and the private sector that will advance the objectives of this Act.

Who are Members of the Council

Nominations were considered from all the relevant constituencies, including organised labour, the private sector, community-based organisations and academic institutions.
The members are the following:

  1. President Jacob Zuma, Chairperson of the Council;

  2. The lead Minister, the Minister of Trade and Industry, Rob Davies;

  3. Minister of Labour, Membathisi Mdladlana;

  4. Minister of Economic Development, Ebrahim Patel;

  5. Minister of Women, Children and Persons with Disabilities, Noluthando Mayende-Sibiya;

  6. Professor Mohammed I. Jahed, professor of macro-economic policy, economics and public finance at the Wits University Graduate School of Public and Development Management;

  7. Prof Eltie Links, a professor extraordinaire at University of Stellenbosch Business School and also lectures on international trade and economic issues at the University of Pretoria's Investment and Trade Policy Centre;

  8. Ms Wendy Lucas-Bull, a businesswoman and the founder of Peotona Group Holdings, and a former CEO of First Rand and Executive Director of Rand Merchant Bank;

  9. Mr Andile Lungisa, Chairperson of the National Youth Development Agency, with extensive experience on issues of youth development;

  10. Ms Sebenzile Matsebula, an independent consultant and former Director in the Office on the Status of Disabled Persons in the Presidency, who has worked in the human rights sector from 1986 to date;

  11. Mr Jerry Vilakazi, chief executive officer of Business Unity South Africa and a former Managing Director of the Black Management Forum;

  12. Dumisani Mthalane, a member of the National Working Committee of the South African National Civics Organisation;

  13. Ms Ellen Tshabalala, a business and management consultant with expertise in small, medium and micro-sized enterprises development, banking and marketing;

  14. Adv Matshego Ramagaga, Vice-President of Black Lawyers Association and former Chairperson of the Gauteng Branch from 2006 to 2008;

  15. Ms Tsakani Matshazi, President of the Association of Black Accountants and Vice-President of the Confederation of Black Business Organisations, with expertise in the provision of financing solutions to SMMEs operating in various sectors of the regional economy;

  16. Mr Sidumo Dlamini, President of the Congress of South African Trade Unions, representing the labour sector;

  17. Mr Sandile Zungu, businessman with extensive experience having served in various companies at a senior level including NAIL and Denel;

  18. Don Mkhwanazi, a former president of the Black Management Forum with a good track record in campaigning for broad-based black economic empowerment;

  19. Dr Claudia Manning, businesswoman who has worked extensively as adviser on policy issues as well as transaction advice pertaining to Public Private Partnerships B-BBEE and local and regional economic development strategy; and

  20. Chantyl Mulder, senior executive for transformation and growth at the SA Institute of Chartered Accountants, who has served as facilitator of the BEE Charter process amongst other work on economic transformation.

The Roles of the Sub-Committees

One of the functions of the Secretariat is to facilitate the establishment of the Sub-Committee for the Council. This task will be carried out as advised by the Council. The main responsibilities of these Sub-Committees will include the following:

  • To deal with specific matters pertaining to the implementation of B-BBEE and make recommendations to the Council;

  • To analyze and request sectoral research in order to have informed position on the performance of different sectors in the implementation of B-BBEE;

  • To assess progress or lack of progress on different elements of the B-BBEE's scorecard;

  • Recommend action to address non-compliant with B-BBEE legislative framework by different Organs of State and other entities;

  • Recommend action to address misrepresentation and fraudulent activities (fronting) reported to the Council.

In establishing the Sub-Committees, the Secretariat will consider experts and practitioners of B-BBEE in the private and government sectors to assist the Council on technical matters relating to the B-BBEE and the relevant economic transformation legislations. This approach will ensure that Sub-Committee members with required content will be invited to serve on the Committees.

Constitution

Section 7 (1) of the Act provides that the Minister of Trade and Industry must establish a constitution for the Council. In fulfilment of this provision, the Minister has drafted the constitution for the Council's consideration.

The constitution outlines amongst other things, the powers of the Council, frequency of meetings, quorums and decisions, qualification criteria for membership of Council, termination of membership, conflict of interest, reporting to Parliament on transformation and others.

The Act states that the Minister may amend the constitution of the Council from time to time, after consultation with the Council. The Act further requires that the Council may, by resolution, and after consultation with the Minister, make rules to further regulate the proceedings of the Council.

Council Meeting Schedules

The Council will meet at least four (4) times a year, and, if needs be, the Council may hold ad-hoc meetings as and when required to deal with urgent matters regarding the implementation of B-BBEE.

The Sub-Committee may meet on a monthly basis to deal with specific matters discussed at the Council meetings.

Council Sectretariat

The Secretariat of the Council is located at the dti, and it works closely with the Presidency to administer the work of the Council.

the dti has already established the Secretariat which is made up of the members of staff in the B-BBEE Unit from the dti, namely;

Ms. Nomonde Mesatywa - Chief Director
Mr. Takalani Tambani - Director
Ms. Lindiwe Madonsela - Deputy Director

The Secretariat is accountable to the Minister of Trade and Industry and must -
 

  • Keep full and proper records of all income and expenditure of the Council;

  • Within three months of the end of the financial year, prepare and submit to the Council financial statements reflecting the income and expenditure of the Council;

  • Keep accurate minutes of all Council meetings and circulate these to Council members;

  • Make all the necessary logistical arrangements for Council meetings;

  • Facilitate the appointment of Sub-Committee members of the Council;

  • Facilitate B-BBEE studies and research on behalf of the Council and its Sub-Committees;

  • Develop working relationships with key stakeholders, including Sector Council and others, to facilitate their reporting on B-BBEE;

  • Carry out any other task assigned to the Secretariat by the Minister of Trade and Industry, after consultation with the Council.

Contact Information

The B-BBEE AC Secretariat:
the dti Campus
Ground Floor, Block B
77 Meintjies Street
Sunnyside
Pretoria
0001

Tel: (+27) 12 394 1941
Fax: (+27) 12 394 2941
E-mail: BBBEEAC@thedti.gov.za