SABC gets flak over licences

CASH-STRAPPED: CALL FOR ‘76C A DAY FOR TV’ ANGERS AS BROADCASTER’S COFFERS RUN DRY

Deputy Communications Minister Pinky Kekana urged South Africans to pay their TV licences, after a meeting with parliament’s portfolio committee on communication on plans to save the SABC.

“The main revenue stream around the SABC has been the paying of TV licences. And that has not been happening for quite some time. Whatever movie or soapie you see, it means viewers must pay 76c a day – and that has not been happening.”

But South Africans have taken to social media to voice their disapproval at calls for them to cough up.

Political and media consultant Makhosini Nkosi said the SABC should be “cash-flush” due to owning “big properties”, including SABC1, Metro FM, 5FM and Ukhozi FM and shouldn’t “complain” about unpaid TV licences.

Several users said to pay for a licence on top of a DStv subscription is excessive, with some suggesting the SABC let MultiChoice pay rather than individuals.

Dirk de Vos, who operates a corporate finance consultancy in Cape Town, says “a culture of non-payment has become entrenched” but it’s “not surprising considering what has happened at the SABC”.

The cash-strapped public broadcaster has become notorious for its inability to pay content producers for its channels.

Last month, the SABC in a letter to service providers and producers informed them they would need to “defer” payments that were due at the end of July.

The broadcaster said it was “under pressure in the short to medium term in respect of cash flow due to the current liquidity challenge experienced”.

Members of the board told parliament last month they owe R694 million to creditors.

But ANC MP Lerumo Kalaka told parliament this week he believes the fortunes of the broadcaster can be turned around.

“As government, we can’t just be shouting at the SABC whereas we are not putting money towards what we see as a problem. It’s high-time that everybody in government becomes seized in trying to find money.”

SABC executives told MPs they’re still engaging employees on retrenchments.

Chair Bongumusa Makhathini and his team were briefing parliament about their turnaround plan which would include a restructuring. “We have engaged with unions and employees.”

Wages were one of the biggest cost drivers, totalling 43% of expenditure at R2.6 billion, he said.