Following amendments to Broad-Based Black Economic Empowerment (B-BBEE) Codes of 2013, Coega Development Corporation (CDC) is well on its way to achieving BB-BEE Level 1 from the recently obtained Level 4 status; the organisation achieved a score of 85.44 points with a BBBEE procurement recognition of 100%.
“A Level 1 target is within our reach and we remain hopeful that it would be achieved,” said, Dr Ayanda Vilakazi, CDC’s Head of Marketing, Brand and Communications.
Four amendments were gazetted on the 31st of May 2019, which are inclusive of:
- The Amendments to Amended Codes Series 000: General Principles: which highlights that a BBBEE Level Two Contributor status, available to 51% Black owned exempted micro-enterprises (EME) or qualifying small enterprises (QSE) are now only available to such entities; if they are at least 51% Black owned on a flow-through basis. Similarly, the deemed Level One Contributor status, available to 100% Black owned EMEs or QSEs are now only available to such entities if they are 100% Black owned on a flow-through.
- The Amendments to Amended Code Series 300: The 6% target for Skills Development expenditure on learning programmes for Black People has now been reduced to 3.5% for a weighting which has been reduced from 8 to 6 points
- Skills Development; Amendments to Amended Code Series 400: In order to attain the minimum threshold of this section, an entity must achieve at least 10 points for procurement, 4 points for supplier development and 2 points for Enterprise Development.
The CDC appointed a South African National Accreditation System (SANAS) accredited verification agency, BEE ONLINE (Pty) Ltd, to conduct its annual verification process in accordance with the Amended Codes of Good Practice.
Against the congressional amendments, the CDC’s improvement from Level 7 to a Level 4 is due to increased points in the following areas:
- Management Control;
- Skills Development; and
- Enterprise and Supplier Development.
“The organisation has also maintained an equitable gender split of 50% female and male, respectively. However, in terms of the skill levels, the profile for gender equity across the CDC’s different occupational levels remains an area of focus,” remarked CDC’s Senior BBBEE Analyst, Ntombozuko Sijila.
“The CDC’s intervention continues to drive employment equity improvements and gender representation at different levels of the organisation, such as skills transfer initiatives, correct technical exposure, leadership development, coaching, and professional registration programmes, to mention but a few.
“These interventions are continuously being monitored for effectiveness and outcomes are measured annually,” said, Ntombozuko Sijila.
Similarly, the CDC’s SMME (Small Medium & Micro-Enterprises) Unit Head, Unathi Maholwana applauded the improvements made by the organization in this area.
“We endorse the procurement of goods and services from Small, Medium and Micro Enterprises (SMMEs), including black-owned and black women-owned enterprises who are also B-BBEE compliant,” she said. In 2017/18 financial year, the SMME Business Unit spearheaded the achievement of R707 million SMME procurement spend.
“The organisation will continue to promote economic empowerment and transformation by ensuring the participation of the disadvantaged communities and SMMEs through its BBBEE initiatives, such as the Skills Development as well as the Enterprise & Supplier Development Programmes,” concluded, Ntombozuko Sijila.