The DTI has issued a Draft Gazette No. 41709 on the 15th of June 2018, this document is open for 60-day public commentary.
The proposed changes outlined in the Draft Gazette are summarized below:
- Absorption will mean a learner securing a long term contract of employment (also defined in Gazette No.41709) and will no longer include proceeding with further education and training.
- Critical Skills is tightened to mean as defined by the relevant SETA and not any SETA.
- The definition of a Designated Group Suppliers is clarified as 51% ownership by Black Designated Groups.
- A new recognition multiplier of 2.0 is introduced for purchases for suppliers that are 51% Black Owned or 51% Black Woman Owned utilising the Flow Through Principle.
- 30% Black Women Owned means an Entity where Black women own at least 30% and not more than 30%.
- The Preferential Procurement Scorecard is amended as follows:-
- The two separate indicators for purchase from EMEs and QSEs are merged into one with 5 Points and a target of 25%. Purchases from Generic entities that are 51% Black owned are also included under this indicator, so long as they are 51% black owned via flow through.
- Indicator 2.1.4 relating to purchases from 51% Black Owned suppliers becomes 2.1.3 and the points and target are increased from 9 to 11 and 40% to 50% respectively.
Enterprise & Supplier Development
- Suppliers to the measured entity cannot benefit from Enterprise Development contributions.
- The recognition of guarantees provided on behalf of an Enterprise or Supplier Development beneficiary is increased from 3% to 50%.
- The definition of qualifying Enterprise & Supplier Development beneficiaries is changed to EMEs, QSEs or Generic Entities that are 51% Black or 51% Black Women Owned utilizing the flow through principle.
Thrive Corporate Advisors is a Broad-Based Black Economic Empowerment (“B-BBEE”) consulting and advisory firm which assists the corporate sector with all aspects of B-BBEE legislation.