Category Archives: BEE

Project Hammer – South Africa’s “freedom” enslaved the entire nation!

Project Hammer was a desperate undertaking by the USA government to rescue some of its major banks, who, by the end of the 1980’s, faced insolvency.

These banks included Citibank, HSBC, Chase Manhatten and the Bank of New York.

ANC’s big lie about electricity in South Africa

A new report reveals how the ANC government forbade Eskom from building new power stations while South Africa was running out of electricityelec-pylons-2

The South African Institute of Race Relations (IRR) has released a new report, titled: “The rise and fall of Eskom – and how to fix it now”.

How many black South Africans benefit from BEE

The current system of Black Economic Empowerment (BEE) only benefits a small elite, and will leave the majority of black South Africans out in the cold if an alternative is not found.

Employment Application

Employment Application

This is according to Dr Anthea Jeffery, Head of Policy Research at the Institute of Race Relations (IRR), who has called for an end to the ‘extortion’ of the BEE system.
Last week (20 July), Western Cape Premier Helen Zille spoke out against new Draft Preferential Procurement Regulations, which would see government pay a large premium on all procurement less than R10 million, in favour of BEE companies.
 
In a column on Politcsweb, Jeffery said that BEE benefits approximately 15% of the black population, with “a small group of beneficiaries having their way at the cost of the many”.
 
“BEE is a key reason why economic growth in South Africa lags so far behind other emerging countries.”
 
The remaining 85% have very little prospect of ever gaining BEE ownership deals, management posts, preferential tenders, or new small businesses to run, she said.
 
“Worse still, BEE does not simply bypass the 85% majority. Instead, it actively harms that 85% by reducing investment, growth, and jobs and making it very much harder for the poor to climb the economic ladder to success.”
 
The black African population is in the majority (44.23 million) and constitutes approximately 80% of the total South African population, according to StatsSA.
 
According to Jeffery, the indirect expropriation of existing firms through the 51% BEE deals – which is now increasingly required under empowerment rules – will ultimately do nothing to help unemployment, if no alternative is found.
 
“The immediate consequence of indirect expropriation under the rubric of BEE will be to deter direct investment, reduce our already meagre growth rate, and make it harder still for some 8.7 million unemployed South Africans (up from 3.7 million in 1994) to find jobs.” Jeffery said.
 
“The more this indirect expropriation is sanctioned and applauded, the more state powers of this kind will expand.”
 
“The real challenge is to open up real opportunities for all disadvantaged black South Africans. This cannot be done while BEE puts ever heavier leg irons on the economy.”
 
BEE: is it working?
 
BEE was launched in 2003, to redress the inequalities of Apartheid by giving certain previously disadvantaged groups of South African citizens economic privileges previously not available to them.
 
In October 2014, ANC deputy president Cyril Ramaphosa said that BEE benefits everyone and is necessary to build a prosperous, sustainable and equitable society.
 
However, data from research groups has shown that, while there has been an increase in wealthy black Africans since 2007 (113% increase to 4,900 individuals with a net worth over $1 million) – the black African population has shown the smallest growth in wealth out of all previously disadvantaged groups.
 
In March 2015, research found that black South Africans hold at least 23% of the Top 100 companies listed on the Johannesburg Stock Exchange as at the end of 2013.
 
The shares held by black investors include 10% held directly (largely through BEE schemes) and 13% through mandated investment – mostly through individuals contributing to pension funds, unit trusts and life policies.
 
An Intellidex study has shown that empowerment deals and schemes done by the JSE’s 100 largest companies have collectively generated R317-billion of value for beneficiaries – R108-billion of which has been generated by BEE deals, alone.

South Africa the Faults of Black Empowerment Policies

The ruling African National Congress (ANC) party of South Africa implemented Black Broad-Based Economic Empowerment (BBBEE) policies, and the faults within this enablement continue to raise poverty within the country. In the 21 years of ANC rule, there have been laws passed for the benefit of the elite only while the majority continues to suffer untold misery. The government will say BBBEE is a meaningful change for South Africa, and this is a contradiction. These black empowerment policies implemented in South Africa have many faults, and will only make things worse for the country.

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Maimane: ANC implementing reverse apartheid

Residents of Mitchells Plain braved the rain and cold on Tuesday to listen to new Democratic Alliance party leader Mmusi Maimane at a rally in the suburb, reported Netwerk24.

DA leader Mmusi Maimane addresses people in Mitchells Plain. (Liza van Deventer, Netwerk24)

DA leader Mmusi Maimane addresses people in Mitchells Plain. (Liza van Deventer, Netwerk24)

Afrikaans identity under huge pressure – FW de Klerk

SPEECH BY FORMER PRESIDENT FW DE KLERK TO THE BONDSRAAD, VOORTREKKER MONUMENT PRETORIA, May 29 2015

OUR FUTURE IS IN OUR OWN HANDS

It is a great honour for me to address this important meeting of the Bondsraad at the Voortrekker Monument -­ this national shrine which is so central to the identity, the history and the soul of our people.

Did 34% of households have access to electricity in 1994?

President Jacob Zuma claims that 34% of households had access to electricity in 1994. Available data suggests he is wrong. By 1994 it was about 50%.

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As the lights flicker on and off in South Africa, government has come under increasing pressure to resolve and account for the “electricity crisis”.

This is the year varsities will transform – Blade

In the wake of the #RhodesMustFall movement, the minister is pushing for “urgent” demographic changes at the country’s universities.

Higher Education and Training Minister Blade Nzimande has vowed to turn 2015 into a year in which he would “uncompromisingly” push for the transformation of the country’s universities.

Higher Education and Training Minister Blade Nzimande has vowed to turn 2015 into a year in which he would “uncompromisingly” push for the transformation of the country’s universities.

Proposed ammendments to BEE legislation: what you need to know

Amended broad-based black economic empowerment (BEE) codes are set to come into effect on May 1 this year.

We speak to SizweNtsalubaGobodo director and BEE consultant Nhlanhla Sigasa about the implications of the amendments.

Sigasa also describes what a “truly transformed” company looks like. Watch the video above for everything you need to know.

THE 3 CAPABLE MEN WHO COULD MANAGE ESKOM

Siphiwo Ntshuntshe

A few weeks friends of mine from Durban convinced me to join them for drinks in Kloof, and what became a nice evening was interrupted by Eskom’s load shedding. Of course, by that time we had already had enough liquor in our systems to carry on with the aid of candle lights – such is the life in Cape Town. The mega utility’s management and sole shareholder representative, the South African government, are the ones to blame for the failures that peaked in 2008, and again in 2014 through to this year.