ZADA policy shift: Zille defends ICT BEE relaxation
In a move drawing sharp attention from both critics and supporters, DA federal council chair Helen Zille has publicly defended Communications Minister Solly Malatsi’s decision to relax Black Economic Empowerment (BEE) policies within South Africa’s information and communications technology (ICT) sector. Zille framed the policy adjustment as aligned with the party’s broader aim to expand digital inclusion, accelerate investment in tech infrastructure, and position South Africa as a competitive hub for global technology providers.
The Pro-Business stance on BEE for the ICT sector has long been a contentious topic. Proponents argue that targeted relaxations can remove barriers for foreign and local investors, speed up the rollout of high-speed networks, and create jobs in a sector pivotal to economic diversification. Critics, however, worry that relaxing BEE requirements could erode past social equity gains and widen the gap between advantaged and underprivileged communities.
Why the DA supports BEE policy tweaks
Zille emphasized that the relief measures are not a wholesale dismantling of empowerment policies but a calibrated approach designed to attract capital and expertise essential for expanding broadband access. The ICT sector has repeatedly been cited as a critical engine for growth, with Starlink and other satellite-based services later joining the conversation as potential catalysts for rural connectivity. By easing some BEE obligations, the DA argues that smaller tech startups and international partners will be more willing to invest in high-speed infrastructure, mobile networks, and last-mile connectivity projects across urban and rural areas.
“The intention is not to abandon empowerment; it is to adapt it to the realities of modern digital markets,” Zille stated in a recent interview. She highlighted that the policy changes would accompany stronger accountability measures, transparency requirements, and a framework to ensure that upliftment goals are still pursued even as investment flows increase. The DA’s stance is that targeted empowerment criteria can coexist with pragmatic economics, promoting a faster, more inclusive digital economy.
Starlink on the horizon: DA’s star strategy for ICT
Part of the broader strategy discussed by DA leaders is to explore Starlink’s potential surface—the global satellite internet network proposed by Elon Musk’s company—as a means to bridge the digital divide in remote and underserved communities. The plan envisions Starlink as a component of a diversified connectivity portfolio, complementing terrestrial fiber and wireless networks rather than replacing them entirely. The DA argues that Starlink, with appropriate regulatory guardrails and consumer protections, could deliver reliable internet services to rural schools, clinics, and small businesses that have struggled with inconsistent connectivity.
This approach has sparked a wider debate about the role of private tech giants in public infrastructure. Proponents believe that leveraging Starlink could accelerate universal service objectives, enabling better education, healthcare, and e-government services. Critics warn about dependency on foreign technology and potential security vulnerabilities. The policy debate underscores the need for robust regulatory frameworks, cybersecurity standards, and local capacity building to ensure long-term sovereignty and resilience.
Implications for South Africans and the tech sector
For South African households, the practical outcome of these policy shifts could be faster internet access, improved competition among service providers, and more affordable data plans. For businesses, particularly startups and scale-ups in ICT, an empowered investment climate could mean access to international capital, advanced technologies, and collaboration opportunities with global players. The Starlink element adds a frontier dimension to the conversation, inviting policymakers to balance innovation with governance, data privacy, and consumer protection concerns.
As the DA advances its policy agenda, stakeholders across the spectrum will be watching how these BEE relaxations are implemented and monitored in the ICT sector. The success or failure of these measures will likely influence future debates about empowerment, private sector participation, and the role of satellite-based internet services in national connectivity strategies.
What comes next
Moving forward, the government and the DA will likely outline concrete milestones: regulatory timelines, compliance benchmarks for empowerment criteria, and safeguards to prevent abuse of the relaxed BEE framework. With Starlink entering the discourse, pilots and public-private partnership models could serve as practical test cases for how such collaborations might work in practice, ensuring that economic gains translate into tangible benefits for communities nationwide.
