Khusela Sangoni-Diko warned that the SABC is on the brink of collapse and may cease operations in December if a funding model is not finalised.
The Department of Communications and Digital Technologies (DCDT) has appointed BMIT Knowledge Group to develop a funding model for the South African Broadcasting Corporation (SABC).
This comes after the Chairperson of the Portfolio Committee on Communications and Digital Technologies, Khusela Sangoni-Diko, earlier this week warned that the SABC is on the brink of collapse and may cease operations in December if a funding model is not finalised.
New service provider
In a statement, Communication and Digital Technologies Minister Solly Malatsi spoke very highly of the new company.
Malatsi said BMIT Knowledge Group is a “long-standing South African ICT research and advisory firm with a proven track record of economic modelling, broadcasting market analysis and regulatory policy support.”
“This appointment is in fulfilment of the commitment I made to prioritise the development of a funding model for the public broadcaster. Given the substantial public interest in the SABC’s financial sustainability, I will provide key updates as and when the need arises.
“This represents a major step forward in charting sustainable solutions to secure the SABC’s long-term financial stability, safeguarding its ability to fulfil its mandate for millions of South Africans,” Malatsi said.
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Draft legislation
Earlier this month, 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.
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.
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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