LETTER: BEE laws entrench waste
If a contract is awarded on the basis of colour, this inevitably leads to wasteful expenditure
President Cyril Ramaphosa says there must be no wasteful expenditure in employing relief funds for the KwaZulu-Natal floods. He is right, but he faces a circle that cannot be squared.
BEE regulations legalise wasteful expenditure. If a contract is awarded not on the basis of cost or effectiveness but on the basis of colour, this inevitably leads to waste.
We can debate whether this is beneficial in the larger scheme of things, but please Mr President, don’t be hypocritical. Your own laws entrench waste.
Willem Cronje, Cape Town
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