Criticism mounts against Gayton McKenzie for endorsing Starlink's B-BBEE exemption
Social media users have criticised Minister McKenzie for supporting policy to ease B-BBEE rules for Elon Musk’s Starlink
Image: Armand Hough/Independent Newspapers
Sports, Arts and Culture Minister Gayton McKenzie faced backlash after voicing support for a policy proposal to ease Broad-Based Black Economic Empowerment (B-BBEE) requirements for licensing satellite communication services, including Elon Musk’s Starlink.
McKenzie, who is also the leader of the Patriotic Alliance (PA), a member of the Government of National Unity (GNU), said the move would provide greater and cheaper internet access in the country, which is burdened by some of the world’s highest data prices.
“Your ideology is more important than the very people you claim to serve. Starlink will give greater and cheaper access in a country with the most expensive data prices,” McKenzie wrote on X (formerly Twitter).
“I’m glad that Starlink is coming. We should make it happen faster. I support it wholeheartedly.”
His comments come after Communications and Digital Technologies Minister Solly Malatsi gazetted a policy direction on the role of Equity Equivalent Investment Programmes (EEIPs) in the ICT sector.
Meanwhile, McKenzie’s support for the policy proposal has sparked widespread criticism on social media.
Many users accused him of hypocrisy, citing his failure to deliver on earlier promises made in his ministerial role.
“Starlink is far from you. Relax. When are you delivering on your promises? You promised VAR- you haven’t delivered. Promised F1 - haven’t delivered. Promised to empower the arts - haven’t delivered. Improve sports in township and rural communities - haven’t delivered,” said EFF MP Sihle Lonzi.
“You know Gayton. I don’t think I’ve ever been more disappointed in a minister than you, my man. What a sellout you have turned out to be,” said user @ThiagoTime6.
“How much do they charge compared to the cheapest uncapped internet in RSA? Failure to provide the figures will mean one thing - you are misleading the nation,” wrote @tusqoo.
Another user, @OnePablo20, added: “You can bring Starlink here, but you will never force us to use it. Elon needs to be taught a lesson.”
At the time of gazetting the proposal, Malatsi said the goal is to accelerate broadband access and provide regulatory certainty for investors in broadcasting, internet services, and mobile and fixed networks.
“Digital infrastructure and access to the internet opens a world of opportunity, from applying for jobs and studying, to accessing government services or even starting a business,” Malatsi said.
He said under the current rules, companies must be at least 30% Black-owned to qualify for individual licenses to provide electronic communication services or networks, as required by the Electronic Communications Act (ECA).
Malatsi said that these rules do not accommodate companies that may contribute to South Africa’s transformation agenda through alternative means.
He EEIPs, as outlined in the B-BBEE Act and the ICT Sector Code, allow qualifying multinationals to meet empowerment obligations without selling equity.
Instead, they can invest in local suppliers, skills development, infrastructure, and support for small and medium-sized enterprises.
“Despite the legal standing of the ICT Sector Code under the B-BBEE Act, ICASA’s ownership regulations do not fully reflect its provisions, particularly regarding deemed ownership and EEIPs,” Malatsi said.
The meeting was reportedly attended by President Cyril Ramaphosa and US President Donald Trump.
Rupert urged the fast-tracking of Starlink’s entry into South Africa, citing crime, economic stagnation, and the need for technological advancement.
“We need Starlink in South Africa,” Rupert said.
IOL News reported that the Economic Freedom Fighters (EFF), uMkhonto weSizwe Party (MK Party), and the ANC Youth League have rejected a gazetted policy proposal.
Meanwhile, the Portfolio Committee on Communications and Digital Technologies summoned Malatsi to brief Parliament on the newly issued policy directives aimed at easing B-BBEE requirements for licensing satellite services.
“The Portfolio Committee on Communications and Digital Technologies has invited Minister Solly Malatsi and the Department of Communications and Digital Technologies to appear before the committee and brief on the recently gazetted policy directions,” Committee Chairperson Khusela Diko said.
Diko noted that the recently “gazetted policy directions appear to be in contravention of the Electronic Communications Act and in favour of low earth orbit satellite provider SpaceX.”
simon.majadibodu@iol.co.za
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