BEE Partner, South Africa Economy Watch

BEE Qualifying Contributions

Sector-specific contributions

The benefit-factor matrix refers to sector-specific contributions, which are not addressed elsewhere in Statements 700 or 807. There is a definition referring to sector-specific programmes. Although it is not clear whether there is a link between the definition and the reference to sector-specific contributions above, it would appear logical to assume so.

The origin of sector-specific contributions is from previous draft statements. The objective is that sector codes will determine sector- specific socio-economic development contributions as guidance to industry from each sector. Read the rest of this entry »

BEE Benefit-Factor Matrix

Statement 700 provides Annexure 700A, which contains a benefit- factor matrix. The purpose of this matrix is to assign a benefit factor to the various types of contributions. Priority contributions will receive 100% recognition. Contributions that offer less substance are recognised at a lower benefit factor. Read the rest of this entry »

A crucial error in socio-economic development is not asking the communities what they need. One-sided decisions on contributions to beneficiaries are often counterproductive because the people may, for example, want a bridge over the stream to get to town more easily, whereas the company instead builds a school that the community cannot service with teachers. Read the rest of this entry »