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The South African Broadcasting Corporation (SABC) intervention is required to keep the public broadcaster on air, despite doing well from an audit perspective. The SABC top brass appeared before Parliament’s Standing Committee on Appropriations today to discuss its funding model The withdrawal of the SABC Bill, no access to capital, and having to compete with media entities that are solely commercial could sound the death knell for the public broadcaster. Its financial are no secret; and neither is the impact of the outdated funding model. SABC CEO, Nomsa Chabeli, compared the entity to other public broadcasters around the world. “All those countries are funded, the SABC is the most commercial public broadcaster in the world and its very unusual for a developing state, the BBC is funded, the BBC 80% funded by the state. And the SABC is the inverse. So, it’s something that we need to look at. The role of public broadcasting, infact now more than ever, is critical in the age of misinformation and disinformation,” says Chabeli. Board Chairperson, Dr Khathutshelo Ramukumba, says the fundamental challenge lies in the 14% of TV license revenue the SABC is able to collect. “If you look at the legislative framework, the shareholder has accepted that the public service mandate, which cost the SABC about R2.1 billion a year must be funded through this regime. However, this regime has spectacularly failed, because only 14% of South Africans are compliant. Wherein the SABC is supposed to be collecting in the range of R4.5 billion, we are only able to collect around R700 million a year. A fundamental shortfall which leaves a huge hole in the funding of that public service mandate,” says Ramukumba. Chabeli added that if things continue as is, based on commercial projections and reliance on existing models, it could be the end for the public broadcaster. While Ramukumba said the long-term solution for the SABC lies in the bill, he added that if government could contribute a R1.1 billion shortfall for two or three years, this could make a major difference.
