Malatsi was responding to criticism of policy changes he announced days after SA President Cyril Ramaphosa met with US Counterpart Donald Trump.

The policy changes would allow communications companies, including Starlink, to bypass a requirement to sell 30% of the equity in their local subsidiaries to historically disadvantaged groups, instead recognising investments in things like digital infrastructure.

The changes were published on Friday, the day after Ramaphosa returned from the United States on a mission to persuade Trump to make deals with his country rather than scold and punish it.

Ahead of the Trump meeting, Ramaphosa's spokesman said business opportunities for companies owned by Trump's billionaire ally Musk would be discussed, though Ramaphosa subsequently said Starlink did not come up.

"We are not attempting to open a special dispensation for Starlink or any other company or an individual,"  Malatsi told a parliamentary committee.

"Transformation is sacrosanct in our country, it's a non-negotiable in order for the country to achieve its aspirations," Malatsi said, referring to government efforts to address racial inequalities dating back to the colonial and apartheid eras.

Last year Malatsi started working on a policy directive on "equity equivalent" programmes, saying it was needed to accelerate broadband access and bring in multinationals who could not comply with local equity ownership rules.

Starlink's parent company SpaceX then wrote to the telecommunications regulator criticising local shareholding laws while backing equity equivalent programmes.

Opposition lawmakers, and the Chairperson of parliament's communications committee, have criticised Malatsi for going too far to appease foreign businesses like Starlink.
 

--Reuters--