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Electronic Communications Act, 2005 (Act No. 36 of 2005)

Regulations

Amendment Regulations in respect of the Limitations of Control and Equity Ownership by Historically Disadvantaged Groups (HDGs) and the application of the ICT Sector Code, 2021

Explanatory Memorandum

Object of the Regulations

 

12. The object of these Regulations is to introduce the regulatory framework in terms of which the Authority will implement its statutory mandates to:
12.1 require that 30% of the ownership equity in Individual Licensees be held by HDGs;
12.2 promote B-BBEE including the empowerment of women, the youth and persons with disabilities, in accordance with the requirements of the ICT Sector Code, in granting Individual Licences and in furthering the objectives of the EC Act; and
12.3 apply the relevant code of good practice issued in terms of the B-BBEE Act in determining qualification criteria for, amongst others, the issuing of licences as prescribed by section 10(1) of the B-BBEE Act.

 

13. The Regulations introduce licence conditions which Licensees with both individual and class licences are required to comply with, to transform the ICT Sector and ensure compliance with the HDG Equity Requirement during the period of the licence.

 

14. The Regulations are aimed at fast-tracking transformation in the ICT Sector to the extent permitted by the Authority’s scope and to ensure compliance with the HDG Equity Requirement during the licence period.