Emerging Farmer Trust
The Project has set up an Emerging Farmer Trust (EFT), which will be a consortium member, and has set aside company equity for the benefit of the Trust. In terms of the Trust Deed, the beneficiaries of the Trust are to be determined by their contribution of feedstock to the plant according to a pre-determined formula. The Emerging Farmer Trust has been set up by Mabele Fuels in order to facilitate equity shareholding for all emerging black farmers involved in the project. These participating grain sorghum producers will receive a share of 5% in the revenues when dividends are paid out.
Tarsimark Investments is a private investment holding vehicle representing the interests of previously disadvantaged individuals.
The National Empowerment Fund
Established by the National Empowerment Fund Act No 105 of 1998 (NEF Act), the National Empowerment Fund (the NEF) is a driver and thought leader in promoting and facilitating black economic participation by providing financial and non-financial support to black empowered businesses, and by promoting a culture of savings and investment among black people. The operations of the NEF are governed by the Public Finance Management Act No 1 of 1991 (PFMA), including the National Treasury Regulations, the King 111 Report on Governance for South Africa and the Protocol on Corporate Governance in the Public Sector, 2002.
The NEF’s role is to support Broad-Based Black Economic Empowerment (BB-BEE). The NEF differentiates itself not only with a focused mandate for BB-BEE, but by also assuming a predominantly equity-based risk to maximise the Empowerment Dividend. Reward should balance the risk with the application of sound commercial decisions to support national priorities and government policy such as the Accelerated and Shared Growth Initiative for South Africa (AsgiSA) or targeted investments through the Department of Trade and Industry’s (the dti’s) Industrial Policy Framework (IPF).