Opposition parties have slammed a reported deal between the government and SA-born billionaire Elon Musk exempting his companies having to abide by Black Economic Empowerment laws.
The yet to be confirmed agreement is reported to have been discussed during a meeting on the sidelines of President Cyril Ramaphosa’s visit to the USA.
The Economic Freedom Fighters and the African Transformation Movement who are part of the so-called ‘Progressive Caucus’ (informal parliamentary opposition block) slammed the move and have threatened to challenge the government including in court.
“The African Transformation Movement (ATM) strongly condemns, reports that President Cyril Ramaphosa and his administration are plotting to roll out the red carpet for Elon Musk’s Starlink and Tesla by sidestepping our laws. We condemn this shameful move with every fibre of our being. No one, not Musk, or any other billionaire, should get a free pass to trample over our county’s laws,” said ATM in a statement.
The party argued transformation was not and should not be negotiable, that doing so would set a wrong precedent that cannot be sustained.
“South Africa’s transformation laws are the heartbeat of our fight to fix the wrongs of the past and build an economy where everyone, especially those sidelined for centuries, gets a fair shot. Hundreds of companies, local and foreign, big and small, follow these rules every day. They invest, create jobs, and respect our laws without crying for special treatment. Why should Musk’s Starlink or Tesla be any different? We are not against investment, but any deal must respect South Africa’s sovereignty and put our people first.
“If President Ramaphosa thinks he can sneak through concessions that undermine our laws, he’s got another thing coming. If this government dares to give Musk or anyone else a pass on our laws, we will take them to court and fight them every step of the way, just like others have promised.”
“This is not just about Musk. Every time we let someone dodge the rules, we weaken our sovereignty and tell the world South Africa is for sale. Ours is very clear, the government ought to put South Africa’s laws, our people, and our future above any shiny deal,” said ATM.
The EFF has similarly threatened to drag the government to court should it compromise to please Musk who is among the people who are behind the misinformation campaign against South Africa that has resulted in the US Donald Trump administration imposing tariffs and taking in white South Africans who have falsely claimed to be victims of a genocide and as well as land seizures.
“The EFF condemns President Cyril Ramaphosa’s reported unconstitutional promises to Elon Musk’s Starlink to bypass regulations. Ramaphosa has no authority to bypass regulations. Ramaphosa has no authority bypass parliament and Black Economic Empowerment laws to please foreign billionaires and white capital,” said EFF in its statement.
Recently, Musk created AI figure Grok admitted to being programmed to endorse the misinformation campaign against South Africa leading to concerns that Starlink could be used for covet activities by Musk and the red berets believe the company should be rejected on the basis of potential security threat.
“Starlink threatens national security and local industry, and we will resist it- in parliament, in court, and in the streets. South Africa’s sovereignty is not for sale,” the EFF said.
The party also expressed unhappiness with the inclusion of businessman Johan Rupert in Ramaphosa’s delegation to Washington.