ATC240417: Report of the Select Committee on Trade and Industry, Economic Development, Small Business Development, Tourism, Employment and Labour on the National Small Enterprise Amendment Bill [B 16B – 2023], dated 16 April 2024

NCOP Trade & Industry, Economic Development, Small Business, Tourism, Employment & Labour

Report of the Select Committee on Trade and Industry, Economic Development, Small Business Development, Tourism, Employment and Labour on the National Small Enterprise Amendment Bill [B 16B – 2023], dated 16 April 2024.

 

The Select Committee on Trade and Industry, Economic Development, Small Business Development, Tourism, Employment and Labour (the Committee), having received submissions on the National Small Enterprise Amendment Bill [B16B -2023] (National Assembly – Sec 76) and having considered the written submissions; report as follows:

 

1.Introduction

 

The objects of the National Small Enterprise Amendment Bill [B16B -2023] (National Assembly – Sec 76) (“The Bill”) are to amend the National Small Enterprise Amendment Act, 1996, in order to amend, delete, insert and to substitute certain definitions; to provide for the report of the Advisory Body. Further, to provide for the establishment of the Small Enterprise Development Finance Agency and to provide for the functions of the Agency. In addition, to ensure the provision of financial and non-financial support services to small enterprises. Further, the objects are to promote the development of sustainable and responsible co-operative banking and to provide for the establishment of the Office of the Small Enterprise Ombud Service and to enable an equitable trading environment for small enterprises through the provision of affordable and effective access to justice. In addition, the aims of the Bill are crafted to empower the Minister to declare certain practices in relation to small enterprises to be prohibited as unfair trading practices and to provide for the transitional arrangements necessitated by the establishment of the Agency. Finally, the objects seek to effect consequential or necessary amendments to the Co-operative Banks Act, 2007, and to the Co-operatives Act, 2005; and to provide for matters connected therewith.

 

2.         Select Committee’s Process followed in respect of the Bill

 

The National Small Enterprise Amendment Bill was passed by the National Assembly, transmitted to the National Council of Provinces (NCOP) and referred to the Select Committee on Trade and Industry, Economic Development, Small Business Development, Tourism, Employment and Labour, on 06 December 2023. The Department of Small Business Development briefed the Select Committee jointly with the Gauteng Provincial Portfolio Committee on Economic Development on the 06 February 2024. The Committee advertised the Bill inviting interested stakeholders for public comments, with the closing date for submissions set at 16 February 2024.  Five stakeholders submitted written submissions, namely:

 

• Ministry of Economic Finance Opportunities, Western Cape Province.
• Letumile Makobe: Chief Executive Officer – Womenpreneurs Business Hub.
• South African Insurance Association (SAIA).
• Durban Chamber.
• South African Reserve Bank (SARB)

 

The Department of Small Business Development and Parliament’s legal adviser responded to issues raised by Stakeholders on the written submissions received on 05 March 2024. Thereafter, Negotiating Mandates meetings were held on 19 and 26 March 2024. The Committee met to receive responses from the Parliamentary Legal Adviser and the Department of Small Business Development on issues raised in the Negotiating Mandates on the Bill. All nine provinces submitted Negotiating Mandates in favour of the Bill.

 

The following reflects the vote of the provincial legislatures in respect of the National Small Enterprise Amendment Bill [B16B-2023]. 

 

Province	Support/ Do not support the Bill
Eastern Cape	Supports the Bill
Free State	Supports the Bill
Gauteng	Supports the Bill
KwaZulu Natal	Supports the Bill
Limpopo	Supports the Bill
Mpumalanga	Supports the Bill
North West	Supports the Bill
Northern Cape	Supports the Bill
Western Cape	Supports the Bill

 

3.         Consideration of Final Mandates 

 

The Final Mandates submitted by the nine provinces were considered on 16 April 2024, which were submitted as follows:

 

Provinces	Status
Eastern Cape	Voted in favour of the Bill
Free State	Voted in favour of the Bill
Gauteng	Voted in favour of the Bill
KwaZulu-Natal	Voted in favour of the Bill
Limpopo	Voted in favour of the Bill
Mpumalanga	Voted in favour of the Bill
Northern Cape	Voted in favour of the Bill
North-West	Voted in favour of the Bill
Western Cape	Voted in favour of the Bill

 

3.1       Outcome of Committee’s consideration of the Bill

 

The Select Committee on Trade and Industry, Economic Development, Small Business Development, Tourism, Employment and Labour having deliberated on and considered the subject of the National Small Enterprise Amendment Bill [B16B-2023], referred to it and classified by the JTM as a section 76 Bill, reports that it has agreed to it without amendments.                                                                                                                                                             

                                                                                     

4.         Consideration of the Committee’s Report

 

The Committee considered the Report and five provinces voted in support and two provinces abstained from voting as follows:

 

Name	Province	Support/Do not support
Mr MI Rayi	Eastern Cape	Voted in support
Ms L Moshodi	Free State	Voted in support
Mr M Dangor	Gauteng	Voted in support
Mr L Mamaregane	Limpopo	Voted in support
Mr KM Mmoiemang	Northern Cape	Voted in support
Mr T Brauteseth	KwaZulu-Natal	Abstained from voting
Ms HS Boshoff	Mpumalanga	Abstained from voting

 

Report to be considered.