The black economic empowerment (BEE) procurement is one of the many aspect where BEE goes wrong, since it only provides benefits for the small elite but brings harm to the greater majority.
This is according to South African Institute of Race Relations (IRR) head of policy research, Anthea Jeffery who adds that there is a better way of opening up opportunities for the disadvantaged, referred to as Economic Empowerment for the Disadvantaged (EED).
She says it would include several ideas that could include improving the availability of education for all.
"It would include following ideas, that we make economic growth and not just re-distribution our over writing priority. We should give EED points to companies that help with education.
We would recommend that all parents should be given stated funded vouchers for the schooling of their children and those vouchers would be big enough for them to be able to decide what school they want their children to go to and at the same time business could get EED points for topping up the vouchers for the benefits of the poor," she says
According to the IRR, the National Treasury is proposing that government tenders up to R10m will in future be evaluated only 50% on price, while the preferential weighting for black economic empowerment (BEE) will also count 50%.