Although the Broad-Based Black Economic Empowerment Bill (BBEE) was approved by the National Assembly this week, it is unlikely to be implemented before late October.
Amendments to the strategy document that accompanies the enabling legislation are only expected to be completed by then.
The amendments aim to bring the strategy document in line with resolutions of the Growth and Development Summit, held two months ago.
The summit came up with a joint programme of action for business, the government and labour, designed to kickstart growth.
Department of Trade and Industry officials are also awaiting the financial sector empowerment charter before finalising changes to the strategy document.
The financial charter is expected to provide a mechanism through which BBEE deals can be financed. Financial charter negotiations are expected to be concluded by the end of the month.
However, the process to establish a national BBEE advisory council, provided for in the legislation, is already under way. The council is expected to help the government drive its empowerment programme. Advisers will not be paid.
The Bill is part of a package of laws, including the Employment Equity Act, designed to transform South Africa’s economy and society by reforming skewed ownership patterns and transferring management control and business skills to previously disadvantaged individuals.
During this week’s parliamentary debate, Minister of Trade and Industry Alec Erwin described the Bill as ”innovative” and the ”final nail in the coffin of apartheid”.
”Equity and the participation by all are the real drivers of growth and development,” Erwin said.
The Bill was first tabled in March, a month after President Thabo Mbeki announced that R10-billion would be earmarked for BBEE over the next five years.
Its key provision is for the drawing-up of transformation charters, negotiated by stakeholders of individual economic sectors, to set guidelines for black economic empowerment.
The mining charter was the first such industry-wide agreement, having set a target of 26% ownership of the industry, over 10 years, by historically disadvantaged communities.