The Minister of Communications and Digital Technologies has released a draft Policy Direction for comment, to allow ownership of broadband licences in South Africa without the requirement that black people, the youth, disabled people and women have equity ownership in the licence holder.
If the draft Policy Direction is promulgated, the Independent Communications Authority of South Africa (ICASA) will have to consider changing South Africa’s current broadband licensing laws to allow licences without the 30% historically disadvantaged group (“HDI”) equity ownership requirement.
Basically, the Minister takes the view that ICASA’s regulations promoting the 30% HDI requirement conflict with another regulation – the ICT Sector Code – which allows multinational companies alternative ways, without giving equity ownership, to make an impact on South Africa’s economic development.
Interested parties have 30 working days from 23 May 2025 to make submissions on the draft Policy Direction.
Contact us if you would like to know how this may impact your business or if you would like to make submissions. View the draft Policy Direction here.
