Latest news with #Malatsi
IOL News
2 days ago
- Business
- IOL News
Starlink under scrutiny: Minister Malatsi backs ICASA's probe into unauthorised services
Communications and Digital Technologies Minister Solly Malatsi. Image: X / IOLGraphics Communications and Digital Technologies Minister Solly Malatsi has thrown his weight behind the Independent Communications Authority of South Africa (ICASA) to investigate Starlink, a satellite internet service operated by SpaceX, for allegedly operating in the country without authorisation. This development comes after the uMkhonto weSizwe Party (MK Party) alleged that Starlink was offering its services in South Africa without a licence. ICASA confirmed that the organisation had launched an investigation into the alleged unlawful use and provision of Starlink services in South Africa. ICASA spokesperson, Milly Matlou, said: 'ICASA has launched an investigation into the alleged unlawful use and provision of Starlink services in SA. We have also engaged SpaceX for further clarity and have currently deployed inspection teams on the ground to investigate the matter further.' If found guilty, the company could face enforcement actions, including fines or even a ban on its operations in the country. 'Should the investigation yield any breach with regulatory and legislative frameworks, the authority will explore the applicable enforcement actions within its disposal, which may include, among others, lodging a formal complaint with the International Telecommunication Union (ITU),' Matlou said. The MKP alleged that Starlink was operating in South Africa without authorisation, using a shadow entity called "ICASAsePUSH" to masquerade its operations. The party claimed that this operation constitutes a 'blatant' violation of South African telecommunications law and represents a direct affront to the country's Broad-Based Black Economic Empowerment (B-BBEE) framework. The party launched its allegations during the Portfolio Committee on Communications and Digital Technologies meeting in Parliament on Tuesday. 'During that session, the MK Party directly challenged the Minister of Communications and Digital Technologies regarding his awareness of this operation. His professed ignorance was not only unacceptable but deeply troubling,' party spokesperson Nhlamulo Ndhlela said. Malatsi has expressed his full support for ICASA's investigation, stating that it is the regulator's responsibility to manage both licence applications and investigations. 'The minister was made aware of the allegations when they were raised in the portfolio committee on Tuesday. It is now ICASA's responsibility to investigate these allegations, and the minister fully supports this investigation,' Malatsi's spokesperson, Kwena Moloto, said. This will be the second time the authority investigates Starlink's dealings. In 2023, ICASA issued a notice, warning that it was illegal for anyone or company to use Starlink, as it doesn't hold a licence to operate in the country. Meanwhile, during the session on Tuesday, Malatsi defended his recently gazetted proposed ICT policy adjustments, saying that it was intended to attract investment into the sector. He said it was not a way to allow Elon Musk to operate in South Africa. 'We are not attempting to open a new dispensation for Starlink or any other company or individual,' he told Parliament's Portfolio Committee on Communication. 'We are saying that the regulations in our sector must consistently make provisions for the two choices that exist in any other sector,' Malatsi said after his department on Friday gazetted a proposed policy direction to the ICASA. Cape Argus
Eyewitness News
3 days ago
- Business
- Eyewitness News
Malatsi: Communications sector's proposed policy changes already provided for in law
CAPE TOWN - Minister of Communications Solly Malatsi has once again moved to defend proposed policy changes in the sector, saying he's not attempting to do anything not already provided for in law. Many believe the regulations are being designed to benefit foreign satellite company Starlink, the company of tech mogul Elon Musk. On Thursday, Minister in the Presidency Khumbudzo Ntshavheni, a former communications minister, said no discussions were had with Musk during government's visit to Washington last week. Malatsi has been at odds with political parties in Parliament this week - including the African National Congress (ANC), over regulations that would forego Black Economic Empowerment (BEE) requirements for communication operators in favour of equity equivalents. READ: Malatsi defends policy directive to ease company transformation targets and BEE requirements Responding to member's statements in the National Assembly on Thursday, Malatsi again sought to explain the move, telling the uMkhonto weSizwe (MK) Party that he was working within the prescripts of the Broad-Based Black Economic Empowerment (BBBEE) Act, passed during the administration of their leader, Jacob Zuma, in 2014. 'This is not some invention by a villager from Limpopo called Malatsi. It's there in the rules.' Answering questions at a post-Cabinet briefing earlier in the day, Ntshavheni also defended her actions as a former communications minister. 'We've never considered Starlink. I've never said that. I said South Africa considered developing or introducing satellite communication in the country.' Malatsi said the new regulations will create a more competitive environment for multiple operators.
IOL News
3 days ago
- Business
- IOL News
Short cuts can be costly, counterproductive and dangerous, Minister Malatsi
Communications and Digital Technologies Minister Solly Malatsi defending his ICT policy and denying affording special treatment for Starlink. He is pushing for the sector regulations to be "aligned" with transformation laws through equity equivalent investment options. Image: X/IOLGraphics If the BS by Communications and Digital Technologies Minister Solly Malatsi that his directive proposing the relaxation of the BBBEE regime had nothing to do with Elon Musk and his Starlink business didn't jeopardise the core of what South Africa is about I would have simply joined the many good, law-abiding citizens who simply laughed it off. But this is serious. Here we're talking about our Constitution, our noble and well-intentioned laws, our national honour and sovereignty, our post-1994 dispensation's foundation and so on. Malatsi's timing has been described as 'deeply unfortunate' by some, but I'd like to label it as very revealing about him and very cheap. Even primary school kids could see the minister's slip showing very plainly as he ran around like a headless chicken, somersaulting backwards and forwards to fling the gates open for the tech billionaire bully while still pledging support for our national transformation project. But all this sound and fury by the minister won't amount to much. His proposal may simply be rejected, as it has been 'roundly' repudiated by the parliamentary committee that summoned him to explain his actions. Which will bring all of us back to square one. Malatsi and his ilk may have been watching too much TV. Watching US President Donald Trump riding roughshod over everything he dislikes by sitting down and signing executive orders can be very tempting for any ambitious politician. But that's not how laws are made in functional democracies like our Mzansi. This is not to say the minister is simply crazy – like Trump and Musk. There's some method in his madness. He's trying to deal with an extremely challenging malady that has infected global trade and business in general and has had a fast-acting corrosive effect on the rules, etiquette, culture and other good things everyone used to take for granted. Thankfully, South Africa is still a democratic nation. The processes for law making and amendment are well known and still stand. And we generally take our sweet time before anything gets done. So, why rush now? My advice for the minister, or anyone wanting to quickly remove these hurdles standing in front of our good potential international investors would be to simply follow and trust the established processes. Short cuts can be costly, counterproductive and dangerous.
The Citizen
4 days ago
- Business
- The Citizen
ICASA probes alleged unlawful use of Elon Musk's Starlink in SA
Starlink presents a chance to close the connectivity gap in rural areas. The Independent Communications Authority of South Africa (ICASA) has started a probe into allegations that Elon Musk-led SpaceX's Starlink internet-satellite service was operating in the country illegally. Icasa said it has taken note with 'serious concern', about recent reports alleging that Starlink, a satellite internet service operated by SpaceX, may be offering its services in South Africa without the requisite authorisation. Warning Icasa Chairperson Mothibi Ramusi said they have instituted a formal investigation to ascertain the veracity of the allegations and to gather the relevant facts and evidence 'In the interim, Icasa has deployed inspection teams to conduct physical verifications in the affected areas. This operation is being executed in collaboration with other relevant organs of state to ensure a coordinated and lawful response. 'Should the investigation yield any breach with regulatory and legislative frameworks, the authority will explore the applicable enforcement actions within its disposal, which may include, amongst others, lodging a formal complaint,' Ramusi said. Ramusi said Icasa has also formally engaged SpaceX to seek clarity on the reported activities and is currently awaiting a response. ALSO READ: Malatsi gazettes policy direction to possibly allow Musk to operate Starlink in SA [VIDEO] Starlink Icasa published a general notice under Government Gazette no 49777 reiterating that all entities offering electronic communications services within South Africa are required to comply fully with the applicable legislative and regulatory frameworks. Talks on launching Starlink in South Africa stalled earlier this year after South African-born Elon Musk and US President Donald Trump ramped up public rhetoric against policies such as BEE laws, which mandate that foreign-owned telecoms companies allocate at least 30% of local equity to historically disadvantaged groups, primarily black South Africans. Musk claimed Starlink was barred from operating in South Africa because he is not black, an allegation South African officials refuted. BEE bypass Last week, Communications and Digital Technologies Minister Solly Malatsi published a policy direction to provide alternatives to pave the way for the Starlink satellite internet service in the country. Malatsi issued the directive two days after President Cyril Ramaphosa met his US counterpart Donald Trump in Washington to 'reset' strained relations following false claims of 'white genocide' and attacks against Afrikaner farmers in South Africa, a statement also made by Musk, who attended last week's meeting in the White House's Oval Office. ALSO READ: WATCH: Starlink not debated with Trump, Ramaphosa says Parliament However, Malatsi was summoned to a briefing by Communications portfolio committee chairperson Khusela Diko on the recently published policy directive. Malatsi and the Department of Communications and Digital Technologies officials gave a presentation on Tuesday on how the proposed regulation was formulated, stating that one of the main objectives was to create an environment where competition could thrive. 'It is the lack of competition in the market that appears to be the greatest impediment to lower prices for consumers'. Illegal connections Meanwhile, South Africans have found ways around the current restrictions by registering the kit and services in other nearby nations like Lesotho that allow the service and then using the roaming option to access it in their home country. With its wide coverage and increasing affordability, Starlink presents a chance to close the connectivity gap in rural areas while also appealing to urban users. Starlink operates thousands of low-earth orbit (LEO) satellites to provide high-speed internet globally. ALSO READ: EFF threatens legal action over plans to offer Elon Musk's Starlink [VIDEO]
IOL News
4 days ago
- Business
- IOL News
Starlink and South Africa: No exceptions in telecom regulation reform
On Tuesday, Minister Solly Malatsi appeared before the Portfolio Committee on Communications and Digital Technologies to justify his directive, which seeks to 'align' the Electronic Communications Act and the ICT Sector Code. Image: Jonathan Raa/NurPhoto/AFP The Association of Comms and Technology (ACT) has welcomed the recent directives from the Minister of Communication, Solly Malatsi regarding the alignment of ICASA's empowerment regulations with the B-BBEE ICT Sector Code. On Tuesday, Malatsi appeared before the Portfolio Committee on Communications and Digital Technologies to justify his directive, which seeks to 'align' the Electronic Communications Act and the ICT Sector Code. "This policy development, coupled with a proposed inquiry into the necessity of I-ECNS licence applications, marks a pivotal moment for South Africa's telecommunications sector, potentially reshaping the landscape of competition and transformation," ACT said in a statement. As the industry stands on the brink of significant regulatory reforms, ACT said it urges that these changes be implemented with transparency, consistency, and equitable enforcement of the law. "If executed properly, this approach could herald a new era for the sector, fostering an environment conducive to both innovation and investment. At the heart of ACT's response is a strong endorsement for the Minister's initiative to have ICASA formally acknowledge Equity Equivalent Investment Programmes (EEIPs)," the Association further said. The organisation is poised to make comprehensive submissions reflecting its commitment to bridging regulatory ambiguities between ICASA's ownership rules and the B-BBEE ICT Sector Code. 'We support efforts that contribute to the resolution of regulatory complexities while promoting South Africa's transformation agenda,' Nomvuyiso Batyi, CEO of ACT said. ACT added that it advocates for innovative, scalable solutions that not only deliver impactful results but also restore policy transparency and bolster investor confidence. "The Association firmly believes that increased competition, particularly in terms of connectivity solutions to underserved communities, is a vital component of this growth. We are particularly supportive of frameworks that ensure all operators, whether terrestrial or satellite, navigate the same regulatory landscape,' Batyi said. "This is essential for fostering a sustainable and competitive digital economy that can adapt to the rapidly evolving technological landscape. We have consistently been on the pulse of this issue. We've supported the rollout of satellite technology in South Africa, within the same rules that everyone else follows,' Batyi added. Meanwhile, the Economic Freedom Fighters (EFF) condemned Malatsi's recent actions aimed at enabling Elon Musk's satellite company to operate in South Africa without adhering to local ownership laws. The party expressed deep concern over what it described as an unlawful attempt to bypass legislation designed to protect local economic interests and transformation. This 'alignment' would allow foreign entities to operate without complying with the 30% local ownership requirement mandated by law for previously disadvantaged groups. Instead, the EFF said Malatsi wants Starlink to use 'Equity Equivalents' under the Broad-Based Black Economic Empowerment (B-BBEE) Act, an approach the EFF describes as an 'anti-transformation participation' strategy. EFF spokesperson Sinawo Tambo said: "In what can only be described as an unlawful attempt at subverting the powers of the Parliament of South Africa by using a Ministerial Policy Directive, Minister Malatsi characterises the amendments he wants to make to two Acts of Parliament as regulatory alignment." Trade union, Congress of South African Trade Unions (Cosatu) said it will be engaging with the relevant Departments for Communications and Digital Technologies as well as Trade, Industry and Competition to seek assurance that any such proposals remain in line with existing legislation, in particular the Broad Based Black Economic Empowerment (BBBEE) Act, as well as the constitutional imperative to advance transformation across all sectors of the economy. The union said it noted the excitement on social media about Starlink. "As a Federation we remain guided by the law and will at all times jealousy guard its supremacy, and our transformation journey as mandated by the electorate and guided by the Constitution. The Federation's primary concerns remain defending and creating badly needed jobs, spurring economic growth, tackling anti-competitive monopolistic practices, advancing socio-economic transformation and affirming the rule of law."
