On 6 June 2016, the Department of Trade and Industry (DTI) published the B-BBEE Regulations. They aim to regulate, amongst other things, the administration and implementation of the B-BBEE Act, 2003 and the functions of the B-BBEE Commission.
The salient features of the regulations are:
- the registration of major B-BBEE transactions. The threshold for registration will be determined by the Minister;
- the obligations of organs of state, public entities and listed entities to report on their compliance with the Act in their annual financial statements and annual reports;
- the Commission's powers in the event that an entity fails to comply with the applicable reporting obligations (including site visits and investigations);
- the process for applications for exemption or deviation from the application of the amended B-BBEE Codes of Good Practice, 2013 (Amended Codes); and
- the applications to the Minister for an organ of state or public entity to exceed the qualification criteria for procurement and other economic activities set out in the Amended Codes for purposes of accelerating transformation.
The B-BBEE Regulations are effective from 6 June 2016. The full text can be found here.