Bid NoTE16-SRX-01N-0030
ANNEXURE E – ENTERPRISEAND SUPPLIER DEVELOPMENT INITIATIVE
Enterprise and Supplier Development is based on the Government’s amended Broad-Based Black Economic Empowerment [B-BBEE] Codes of Good Practice of 2013, whereby the initiative is intended to give support to certain categories of companies/suppliers, being Enterprise and Supplier Development Beneficiary companies in this instance. These categories are defined as those companies that are more than 51% [fifty one per cent] Black-owned and are a Qualified Small Enterprise [QSE] or Exempted Micro Enterprise [EME].
The Service Provider only qualifies for Enterprise and Supplier Development Contributions if they qualify as ESD Beneficiaries as defined by the amended Codes of Good Practice of 2013.
The purpose of this Enterprise and Supplier Development [ESD] initiative to be conducted by Transnet Engineering [TE] is to assist the ESD Beneficiary to grow its enterprise and to facilitate its access to the economy,thereby promoting competition in the Service Provider’s respective field in line with the B-BBEE Codes of Good Practice Guideline.
1ENTEPRISE AND SUPPLIER DEVELOPMENT CONTRIBUTIONS
Transnet Engineering’s ESD contributions are as set out below and so acknowledged by the Service Provider.
1.1Direct contributions
Transnet Engineering’s direct contributions shall include:
a)monthly payment of water and electricity accounts on behalf of the Service Provider;
b)purchase of gas for Canteen, as and when required;
c)provision of rent freefood handling premises at TE Canteen.
d)provision ofCanteen equipment; and
e)maintenance and repairs of the Canteen facilities.
In addition to the above benefits, TE hereby undertakes to effectearly payment of amounts due and payable to the Service Provider, within 15 [Fifteen] days from receipt of an invoice(s).
1.2Time volunteered by TE employees
In order to further support the Service Provider, TE employees will provide the under-mentioned assistance:
a)Management support and assistance by ESD personnel;
b)Logistics personnel to assist with stock management and control of the Canteen as and when required;
c)finance team to assist with costings as and when required; and
d)cash management assistance as and when required by the Service Provider.
It is important to note that that the above-mentioned ESD contributions may not necessarily run concurrently with the period of the Agreement. The Parties agree that any ESD contributions before signature of this Agreement or contributions not quantified at expiry of the Agreement will form part of this ESD programme with the Service Provider, which programme may continue between the Parties beyond this contract.
The Service Provider will sign an acknowledgement of the above ESD contributions within 30 [thirty] days of signature hereof, for record keeping purposes.
2ENTERPRISE AND SUPPLIERDEVELOPMENT VALUE-ADD AND LIMITATION
2.1The Parties agree that the ESD contributions identified herein and, in addition, any further ESD contributions that TE may include from time to time, will be quantified, valued and recorded for record keeping and audit purposes.
2.2The Service Provider hereby agrees that it will exercise the principles of good faith in its use of the ESD contributions. The Service Provider specifically agrees that the ESD contributions herein are not to be abused but specifically used in a reasonable manner for their intended purposes.
2.3TE reserves the right to review, withdraw or implement limits to the use of its ESD contributions at any time, should circumstances warrant the imposition of any such course of action.
Bid NoTE16-SRX-01N-0030Page 1 of 2