Living in an era of continual empowerment, it goes without saying that perhaps of all industries, the Property Industry is one of the most empowering of them all. Hence, in a recent Government Gazette in which the Presidency assented to the amendment of the Broad-based Black Economic Empowerment Act pertaining to Property, we decided to shed some light on the actual amendment and what precisely it entails.
A few of the amendments to the act include:
- Defining who B-BBEE refers to (African, Coloureds and Indians who are South African Citizens).
- Bringing clarity around the term “premises” referred to in the Act (includes land, or any building, structure vehicle, ship, boat, vessel, aircraft or container).
- How effective B-BBEE participation is beneficial (enhancing access to non-financial and financial aid; increasing effective economic participation and black-owned and managed enterprises).
- Remuneration of council members.
- Guidelines for stakeholders to draw up transformation charters and codes of good practice.
- What the cancellation of contract or authorization in property entails with regard to B-BBEE.
- Precisely who “organs of the state” are and more!
Without getting too bogged down by political jargon, in plain, property English, the reasons for the Amendments to the Act are simple:
- To deal with non-compliance with efficacy and ease.
- To make the process of actually implementing B-BBEE simpler.
- To make the evaluation of B-BBEE simpler.
- Ultimately, to eradicate poverty and create employment for previously disadvantaged communities.
For a detailed read on the amendments to the Act, simply follow the link: http://gallery.mailchimp.com/c926f3579124d9/22bfe2567a7/files/BEE_Amendment_Bill_signed_by_Preseident.pdf