DTI vs SECTOR CODES
The Amended B-BBEE Codes which are now in effect are very clear when it comes to the application of the sector codes. The Codes state that:
“A Measured Entity in a sector in respect of which a sector code has been issued in terms of Section 9 of the BBBEE Act as amended, may only be measured for compliance in accordance with that code.”
The question about what would need to happen in terms of companies operating in sectors arose as most of the Sector Codes were either not amended or gazetted by the time the Amended Codes of Good Practice came into effect
What now for Sector companies?
On the 17 February 2016, the DTI gazetted a notice to repeal some of the sector codes and clarify the position on others.The gazette repealed the Sector Codes in the following industries:
Construction
Chartered Accountancy
And stated that the Sector Codes remain in operation for the following industries:
Tourism
Property
Agriculture
Forestry
Financial Services
ICT
Transport
What is the current status?
Currently the following Amended B-BBEE Codes and Sector Codes are gazetted and in force:
DTI – for all companies not falling within the scope of a sector code (plus Construction and Chartered Accountancy until such time as new Sector Codes are drafted for them)
MAC – Marketing, Advertising and Communications Sector
Tourism – All tourism related companiesThe following sectors will continue to use the “Old Sector Codes” until such time as their new Amended Sector Codes are gazetted:
Property – draft issued 30 October 2015
Agriculture – draft issued 20 November 2015
Forestry – draft issued 6 November 2015
Financial Services – draft issued 17 March 2016
ICT – draft issued 29 February 2016
Transport – draft issued 26 February 2016
For any queries regarding B-BBEE Strategy and Implementation, contact Oriole on 011 346 2422 or natalie@oriole.co.za
You can also visit our website www.oriole.co.za
