Statement by Tsholofelo Bodlani MP – DA Spokesperson on Communications & Digital Technologies:
The ANC’s press release condemning the Policy Direction on Internet Service Providers issued by Communications and Digital Technologies Minister Solly Malatsi once again exposes the party’s political expediency. In doing so, the ANC ignores laws enacted under successive ANC-led governments and the agreed priorities of the Government of National Unity (GNU), as set out in the Medium-Term Development Plan (MTDP).
While the interaction between legislation and regulation can be complex, the ANC has governed since 1994 and was the architect of South Africa’s current empowerment framework. It is therefore deeply concerning that the party now promotes what can only be a wilful misreading of that legal framework.
Section 10 of the B-BBEE Act requires all organs of state to take the B-BBEE Codes of Good Practice into account when setting criteria for licences and other authorisations.
ICASA, despite its independence, is an organ of state and is bound by this provision.
The Act explicitly refers to licensing. The Codes also recognise Equity Equivalence Investment Programmes (EEIPs) as a lawful mechanism for international companies that cannot sell shares locally, a point reaffirmed by President Ramaphosa in his 30 June newsletter.
ICASA’s reluctance to apply these provisions runs contrary to the rule of law.
It must therefore be emphasised that the Minister’s policy direction does not allow anyone to bypass empowerment or transformation requirements. Instead, it seeks to prevent international companies from being excluded altogether in cases where local ownership is not feasible.
This matters because South Africa urgently needs more investment and wider access to connectivity. Excluding global firms serves neither objective.
That is precisely why expanding EEIPs in the ICT sector was identified as a priority intervention in the GNU’s MTDP, a position the ANC itself supported.
The ANC’s attack on the public consultation process is also without merit. A consultation does not become invalid simply because its outcome does not suit one political party.
The process was open and transparent, and Minister Malatsi was clear throughout — from the first draft to the final policy direction.
The will of the public was expressed through the submissions received, many of which supported the policy direction. This is how democratic processes are meant to function.
Claims that the Minister acted outside his powers are equally unfounded. The legislation enabling him to issue policy directions was passed under ANC-led administrations.
We therefore welcome the ANC’s call for parliamentary oversight. It will provide yet another opportunity to demonstrate that this manufactured outrage has little to do with genuine economic inclusion or improved connectivity, and far more to do with protecting a politically connected elite — while millions of South Africans continue to bear the cost of decades of ANC failure.
