On 19 October 2021 the PPECB issued a notice to its clients requesting they provide their relevant PPECB office with a copy of their B-BBEE certificate by 1 December 2021. Following this communication several concerned clients contacted the PPECB for clarity on the purpose of this request. The PPECB understands these concerns and wishes to clarify the intention of their request.

As such a subsequent communication was issued which clarified that the B-BBEE certificates provided to the PPECB will be used to determine the level of compliance of the sector as a whole and that the PPECB will not be evaluating the level of compliance of individual entities. Furthermore, it was communicated that the PPECB does not currently require its clients be B-BBEE registered or that they achieve a specific B-BBEE rating.

The PPECB would also like to clarify that it will not suspend or withhold service from its clients who are not B-BBEE compliant. Therefore, companies that do not comply can still export at this stage. Furthermore, a level of compliance has not been determined for the industry as yet, however the Department of Trade, Industry and Competition and the sector may look at setting targets for the sector during the review of the B-BBEE generic and/or sector codes.

The PPECB’s request is in line with Section 10 of the B-BBEE Act which provides for all Organs of State and Public Entities to apply any relevant code of good practice and include B-BBEE criteria when issuing of licenses, concessions or other authorizations in respect of economic activity in terms of any law.

The PPECB will continue to communicate with its clients on this matter and is happy to provide any further information clients may require. Any questions or concerns related to this matter can be sent to Tina-LouiseR@ppecb.com.

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