The Department of Communications and Digital Technologies (DCDT) has appointed BMIT Knowledge Group (BMIT) to develop a funding model for the South African Broadcasting Corporation (SABC).
BMIT is an IT and telecoms research house located in Johannesburg.
The DCDT says in a statement: “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 [communications minister Solly Malatsi] 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.”
The public broadcaster, which forms part of the 11 state-owned enterprises under the DCDT portfolio, has experienced long-term challenges with improving its financial standing.
Last year, Malatsi vowed to fix the squabbles between some of the entities reporting to his department, as the SABC remained at loggerheads with state-owned signal distributor Sentechover non-payment of services. Resultantly, Sentech was looking to switch-off SABC radio and television services for roughly three million South Africans, until Malatsi intervened.
He said at the time: “As we grapple with the complexities of developing a long-term funding model for the SABC, the public broadcaster also has a responsibility to raise revenue to maintain its operational costs.
“I am determined to prioritise the development and finalisation of the financial model for the SABC to ensure it becomes sustainable, able to pay its creditors and deliver on its core function.”
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