Question NW3367 to the Minister of Communications and Digital Technologies

Reply:

a) The SABC Bill aims to address the challenges faced by the SABC and ensure its sustainability in an evolving media landscape. One key aspect of the Bill is to provide the SABC with greater flexibility in TV content procurement that will enable it to compete more effectively and offer a wider range of entertainment options. Through the Commercial subsidiary with exclusive commercial license conditions, the SABC will be unencumbered from the rigid provisions of the PFMA. The Bill allows the organisation to explore new avenues for content acquisition and delivery. The establishment of the Commercial subsidiary will also provide an opportunity for the SABC to keep and attract talented Executives and employees who possess the best skillsets and business acumen required to run the commercial operations of the SABC.

The SABC Bill will enable the corporation to negotiate and secure high-quality content from local and international sources thereby accessing a broader range of programmes, including popular shows, documentaries, films, and sporting events. In offering a more diverse and appealing content lineup, the SABC can attract a wider viewership and cater to the varied interests of its audience.

Additionally, the Bill provides the SABC with an option to create new channels and digital platforms, thereby expanding its offerings and attracting even more viewers. By offering a wider selection of channels, the SABC can better compete with other broadcasters and streaming platforms, ultimately enhancing its competitiveness in the industry. This will drive long-term profitability which is a key component of financial sustainability of the public broadcaster.

b) The SABC Bill intends to resolve the public broadcaster’s financial shortfalls by introducing a new Commercial Board that will oversee the SABC’s commercial activities and operations. It will play a major role in the corporation’s overall commercial success at a time when the SABC requires significant and sustained commercial growth and income. An opportunity will also allow for the SABC Board to provide input and make recommendations in regard to the new funding model.

c) The funding for public media services - including first world and developing countries - remains the responsibility of Governments and, in South Africa’s case, is the responsibility Cabinet and Parliament when integrated into any legislative framework as it involves public funds. However, the SABC Board has the right to make recommendations on the kind of funding model adopted by the Executive or legislature.

Thank You.