ICT sector BEE transformation policy weak – ANC
In South Africa’s information and communications technology (ICT) sector, transformation remains weak – with BEE policy implemented to a very limited extent, the ANC has said.
The ruling party has published a document which seeks to provide a framework for policy discussion on media, communications and ICT – ahead of its policy conference, and the 53rd national conference in June.
As part of the new national ICT policy vision, the ANC should focus on completing the transformation of the ICT industry by 2030, the document says.
“Due to lack of adequate funding, procurement practices that do not promote black businesses and absence of a focus on enterprise development, black companies continue to be left behind in the consistent growth of the ICT market.
“Whereas the ICT sector was the first sector to undertake steps to transform, much still needs to be done and more new innovative interventions are needed to speed up the pace of transformation in all elements of the value chain in the ICT sector,” the paper said.
The ANC said that the licensing and use of the radio frequency spectrum, which is a public asset, is another central pillar towards the creation of an industry that is responsive to the needs of all the people.
In order to facilitate the diffusion of ICTs across society, the paper advised the ruling party to promote BEE at the minimum of 30% to 50% direct ownership and control of ICT and broadcasting – including the empowerment of women and youth development. “This must be achieved by 2020,” it said.
The document said the ANC should prioritise a review of the empowerment targets in all the ICT subsectors and elements of the ICT value chain by 2014.
In accordance with a drive towards vision 2030, the party should also ensure that the empowerment rules apply equally to all entities, big and small, local and international/multi-national.
“The ANC should ensure that there is strong preference given to new companies to access scarce radio frequency resources going forward.”
The paper stressed that a new state entity be created out of the merger between Universal Service and Access Agency of South Africa (USAASA) and the Media Development and Diversity Agency by 2014.
This entity would provide funding to SMMEs; BBBEE; co-operatives; and other not-for-profit initiatives in the electronic communications, broadcasting and postal sector.
The Independent Communications Authority of South Africa should also be self-funding – using licence fees, subject to Parliamentary procedures and oversight, by the beginning of 2013 financial year, the document said.