ANC Critiques South Africa's Telecom Policy Relaxation for Foreign Companies, Including SpaceX's Starlink
The African National Congress (ANC) has criticized Telecommunications Minister Solly Malatsi's policy directive that eases ownership rules for foreign telecom companies like SpaceX's Starlink, allowing them to operate in South Africa without the usual 30% local black ownership requirement. The ANC argues that changes to Broad-Based Black Economic Empowerment (B-BBEE) legislation must go through Parliament and cautions that the directive could undermine economic transformation efforts and increase foreign control in the sector.
Minister Malatsi defended the directive as legal and necessary for aligning sector regulations with B-BBEE provisions, emphasizing an alternative entry for multinationals through equity equivalent investment programs. He claims 90% of responses from a public consultation were supportive. Despite his defense, the ANC is pushing for parliamentary accountability and ICASA's rejection of the directive, indicating potential legal and political disputes within the government.
