Electronic Communications: Minister Issues B-BBEE Policy Directive to ICASA

Posted 12 December 2025 Written by Acts Online
Category Communications & Digital Technologies

Brought to you by SA Legal Academy: The Minister of Communications & Digital Technologies has issued a policy directive requiring the Independent Communications Authority of South Africa (ICASA) to review its equity ownership regulations.

In terms of the Electronic Communications Act, No. 36 of 2005, Minister Solly Malatsi has directed ICASA to “urgently consider” the alignment of its March 2021 regulations on the limitations of control and equity ownership by historically disadvantaged groups with the ICT sector’s amended Broad-Based Black Economic Empowerment (B-BBEE) code of good practice. The regulations, which were further amended in April 2022, are reportedly perceived to have diverged from certain recognised statements within the approved sector code.

The final policy directive, which follows a draft released for public comment in May 2025, seeks to address regulatory inconsistencies. ICASA is required to take the necessary steps to ensure that the limitations on control and equity ownership are harmonised with the Amended ICT Sector Code of Good Practice. This move follows concerns that the existing regulatory framework may have created barriers to investment while attempting to manage transformation goals.

On 15 December 2025, ICASA issued a media statement confirming that it will review and consider the policy direction through its established regulatory processes. However, the National Assembly Portfolio Committee on Communications & Digital Technologies has raised procedural objections. In a media statement dated 15 December 2025, Committee Chairperson Khusela Diko questioned the Minister’s authority to issue the directive, suggesting it may lack Cabinet approval and contradicts a committee resolution taken on 27 May 2025.

What this means for you, your business, or your clients

  • For yourself: No direct individual compliance obligations; impact is channelled through professional advisory roles regarding ICT sector transformation and licensing.
  • For your business: ICT firms and telecommunications providers must monitor ICASA’s upcoming regulatory review for potential changes to equity ownership reporting and B-BBEE compliance thresholds.
  • For your clients: Clients seeking new service licences or transfer of control approvals may face a revised regulatory environment if ICASA amends its 2021 ownership and control regulations to align with the Sector Code.

Originally published at https://legalacademy.co.za/news/read/electronic-communications-icasa-issued-with-b-bbee-related-policy-directive

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