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Decades-old laws in South Africa are causing substantial financial and operational stresses on key state entities such as the South African Broadcasting Corporation (SABC) and the South African Post Office (SAPO). Expert analyses suggest that the lack of legislative evolution in tune with technological advancements has put these entities in precarious positions, necessitating immediate government intervention.
The SABC, once reliant on TV licence fees as its primary revenue stream, is grappling with a 87% rate of non-compliance, pushing it towards financial instability. This traditional model fails to address the diversity of modern media consumption which now spans devices beyond just televisions, such as smartphones and tablets. Recognizing these changes, the SABC has proposed a household levy to replace the outdated TV licence fee and launched SABC+, an over-the-top (OTT) streaming service to capture the digital audience. However, legislative support is critical, and recent disagreements among politicians, including Communications Minister Solly Malatsi and Portfolio Committee Chairperson Khusela Diko, have stalled progress, particularly with the withdrawal of the crucial SABC Bill in 2024.
Similarly, the SA Post Office is struggling under the weight of an outdated mandate which does not reflect the current digital communication landscape. The Post Office’s role has dramatically shifted from a primary communication hub to a potential leader in logistics and e-commerce, a transition recognized by the too-late South Africa Post Office Amendment Bill. This bill, intended to revitalize the Post Office by expanding its services to include digital hubs and e-commerce, comes after the entity was placed under business rescue in 2023, indicating protracted governmental neglect.
The urgency of these issues is further complicated by South Africa's stance on online gambling. The outdated National Gambling Act of 2004 continues to ignore the burgeoning online gambling sector, leading to unregulated environments that potentiate criminal activities and inadequate consumer protection. Despite attempts, including the recent Remote Gambling Bill proposed by the DA, legislative action remains sluggish.
It's clear that for South Africa to ensure the survival and relevancy of state entities like the SABC and SA Post Office, an overhaul of their governing legislation is indispensable. Proactivity in legislating is essential to avoid financial crises, meet modern technological standards, and safeguard these institutions’ essential public services.