Scrap empowerment charters, says BMF
The Black Management Forum has appealed to the government to scrap empowerment charters as "they promote collusion between big industry players".
Outgoing BMF deputy president Tembakazi Mnyaka said the charters should be scrapped in favour of broad-based black economic empowerment (BBBEE) codes of good practice.
The BMF's view was widely supported by BBBEE advisory council member Advocate Matshego Ramagaga and empowerment consultant Ajay Lalu.
"All empowerment charters should be scrapped because the BBBEE codes of good practice already cater for all the sectors," Mnyaka said.
Lalu said the BMF's view was consistent with the thinking that there should be a single empowerment regime also known as a Trumping Provision.
"The single regime would regulate, implement and monitor BEE performance across all sectors of the economy," he said.
"And this would result in the BEE Act superseding all the empowerment legislation in the country."
Ramagaga said scrapping the charters would fast-track transformation.
"From the complaints we have received on empowerment, most of them decry the slow pace at which empowerment is taking place. And I think scrapping the codes would accelerate empowerment," she said.
Independent consultant Thabo Masombuka said the Trumping Provision has been challenged by other state departments as being unconstitutional.
Masombuka said the challenge would be how the government aligns the charters to the BEE Act.
"I do not think the charters should be diminished as they play a pivotal role in addressing industry specific challenges," Masombuka said.