DTI simplifies BEE codes

Release of Practitioner’s Manual imminent ED RICHARDSON Trade and Industry minister, Mandisi Mpahlwa, says it is “imperative” that government release the Practitioners Manual and the Summary Document to simplify the complexities that have been identified in the current BEE Codes of Good Practice. This was announced during a media update of the finalisation of BBBEE codes recently. Mpahlwa said that both would be written in “simple language that is easy to read and understand”. The DTI will also reduce the number of indicators on the scorecard to help ease the amount of time enterprises spend on trying to ensure compliance and make compliance easier. But the main principles in the Codes of Good Practice will remain unchanged. Following concerns in the Qualifying Small Enterprise (QSE) scorecard, the DTI announced that it would re-address the thresholds and categories that define QSEs as the current thresholds relate to those in the outdated Small Business Act. This means that a large portion of the intended beneficiary companies would be excluded. The South African National Accreditation System has co-operated with the DTI to form the Black Economic Empowerment Industry for BEE accreditation and verification. The DTI is currently formulating an IT database which will also link accredited verification agencies. According to the DTI, the finalised BEE Codes of Good Practice will be presented to Cabinet for approval in August 2006. The first and second phase of the Code will be gazetted thereafter. The BEE Advisory Council will be established after the codes have been approved by Cabinet. It will be responsible for monitoring and ensuring the implementation of BEE and report to the DTI on a monthly basis.