Cabinet welcomed Sasol's recent R18-billion Broad-Based Black Economic Empowerment (BBBEE) deal at its meeting on Wednesday, government said in a statement on Thursday.

"Cabinet noted corrections on recent reports about government's attitude towards Sasol's BBBEE initiative."

The meeting reaffirmed government's appreciation of the involvement of the Sasol Foundation in providing critical scientific and technology skills, indicating a long-term outlook on empowerment.

It also welcomed other elements of Sasol's initiative, which are broadly in line with the Codes of Good Practice; and will be assessed, going forward, in line with these codes.

Soon after the transaction was announced on 10 September, the trade and industry department expressed concern over Sasol's BBBEE deal.

It said Sasol's proposed Employee Share Ownership Scheme (Esop) fell short of the empowerment level envisioned in the Codes of Good Practice for BBBEE.

Later the department said it was not averse to the inclusion of white employees in Sasol's Employee Share Ownership Scheme, but wanted it to be in line with BEE Codes of Good Practice.

Sapa

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