Cape Town – Ructions have erupted in Parliament and the Government of National Unity (GNU) over Starlink directives that go around Broad-Based Black Economic Empowerment (BBBEE) rules.
Earlier this week, on Friday, 12 December 2025, Telecommunications and Digital Technologies Minister Solly Malatsi, a member of the Democratic Alliance (DA), the second-largest party in the GNU, directed the industry regulator to amend its rules on local ownership.
The minister issued a firm policy direction to the Independent Communications Authority of South Africa (ICASA) to bend its strict BBBEE equity requirements to open the door to foreign companies, including Elon Musk’s SpaceX, without ceding ownership.
The amendments were gazetted on Friday.
Reacting to the move on Saturday, 13 December 2025, Chairperson of Parliament’s Portfolio Committee on Communications and Digital Technologies, Khusela Sangoni Diko, demanded that Minister Malatsi withdraw his directives regarding Starlink.
Diko, a member of the African National Congress (ANC), which leads the GNU, said: “These policy directives are an affront to the centuries-old fight for equity and redress by the black majority in this country.
“They further unintelligibly obfuscate existing law in a spirited attempt to circumvent the mandatory 30% equity ownership by historically disadvantaged groups as a requirement for electronic communications services licensing as under section 9(2)(b) of the Electronic Communications Act.”
The ANC MP added: “Mr Malatsi, in his capacity as minister, has neither the legislative nor moral authority to reverse the gains of democracy through this unilateral action, unsupported by the Regulator, ICASA, or the department he leads”.
Diko stated that transformation remains non-negotiable.
“The empowerment of historically disadvantaged individuals and the advancement of BBBEE are foundational to South Africa’s democratic project,” she said.
“This legislative requirement cannot be wished away or amended through regulations, but only through an act of Parliament.
“Further, it cannot be that BBBEE only matters so long as it is not an inconvenience to investors, while the statistics clearly demonstrate that voluntary compliance from the private sector to drive black economic empowerment has failed.”
Diko called, “for immediate withdrawal of these directives which go against the letter and spirit of not only the law but subsequent discussions the committee has had with the Minister in this regard”.
She said the committee remains committed to continuing to exercise its oversight mandate to ensure that national policy objectives—universal access, socio-economic transformation, and the viability of strategic state-owned entities—are fully upheld.
However, this was not the first time that the portfolio chair and the minister clashed over the matter.
“This is not the first time that Mr Malatsi has demonstrated the antagonistic relationship he has with the law and due process; clear expression of his commitment to undermining existing law and Parliament as the oversight body,” Diko stated.
“To the best of our knowledge, he has once again also not sought the approval of Cabinet to gazette the said Policy Directives, which could be reasonably expected given the import of the matter.”
Meanwhile, the ANC has expressed concern about amendments by Communications Minister Malatsi, who enjoys the backing of his party, the DA.
