Diko said the SABC is teethering on outdated infrastructure, legislation as well as an inadequate funding model.
The Chairperson of the Portfolio Committee on Communications and Digital Technologies, Khusela Sangoni-Diko, has warned that the SABC is on the brink of collapse and may cease operations in December if a funding model is not finalised.
Earlier this month, Communications and Digital Technologies Minister Solly Malatsi said his department would soon appoint a service provider to develop a funding model for the SABC following the controversial withdrawal of the SABC Bill last year.
Funding model
The draft legislation proposed a new funding model for the SABC, to be developed within three years of enactment and the replacement of the current TV licence fee with a household levy.
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Malatsi said a department advert was already out, requesting proposals, adding that the fundamental issue that the Bill ought to resolve was the financial and business viability for the national broadcaster, in the space of enhanced competition.
SABC collapse
However, Diko warned of dire consequences for the SABC.
“The SABC is at risk of collapse, burdened by unsustainable debt, outdated infrastructure, and a broken funding model. Sentech, in turn, is bleeding more than R70 million per month, subsidising the broadcaster’s signal costs.
“Yet the SABC Bill – essential to ensuring sustainability – remains stalled in Parliament. As the SABC is teetering on the brink of collapse, jobs, livelihoods and the sustainability of the public and community broadcasting sector are threatened,” Diko said.
Concerns
Diko said the the committee is deeply concerned by the “prolonged and unnecessary delay in processing this bill” which she said is not only long overdue but urgent for the continued sustainability of the SABC.
“We wrote to the minister on this matter two weeks ago, calling for urgent action on his part to resolve the financial and operational challenges at the SABC. More than six months have passed since the committee agreed to stand down on dealing with this matter and ensure the speedy processing of the Bill; however, not much, if anything, has been done.
“We urge the minister to finalise this process without hiding behind bureaucratic red tape. We also call for the department to engage with the National Treasury around investment in the SABC. The public broadcaster has not had a technology or infrastructure refresh in more than a decade,” Diko said.
No bailout
Diko said the SABC is not looking for a “bailout.”
“Government has a responsibility to invest in this strategic asset and recapitalise it where necessary. The time for decisive action is now; otherwise, South Africa risks losing its public broadcaster altogether. These delays and inaction are not helpful,” Diko said.
Initiated by the government in 2018 and only introduced to Parliament in October 2023, the SABC Bill seeks to, among others, provide for the continued existence of the SABC and streamlining of the broadcaster’s board to boost responsibility and accountability.
It also seeks reforms in the SABC’s funding model, while the TV licensing system is also on the table. Once passed into law, the bill will result in the repeal of the current Broadcasting Act.
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