Government has new plan to force streaming services to prop up moribund SABC

THERE is a new ruse to prop up our beleaguered public broadcaster – the Department of Communication and Digital Technologies is proposing that international streaming services pay licensing fees to the SABC.

It is one part of a draft white paper which proposes a total overhaul of the SABC’s funding model, which has become even more critical given that it was only able to collect slightly more than 18% of the available licence fees last year.

In principle services like Netflix, Amazon Prime Video and Disney + should be licensed, they should pay taxes too if they are deriving revenue from subscribers, which is currently the case. In practice though they are being targeted because the SABC is not being held accountable.

The public broadcaster has a vitally important role especially when it comes to developing local content and broadcasting in all the official languages, which is why it is underwritten by a licence fee – and historically bailed out by the treasury when this isn’t sufficient.

The problem is that it is perennially in need of bailouts – despite already having an unfair advantage over commercial media by also being able to attract advertising too. The SABC needs to be properly run and its independence respected by political leaders, not used as a megaphone or mirror for their vanity.

The fact that despite all the TV screens in circulation in this country, its officials and contracted law firms can only recover 18% of the total licence fees available is an indictment on both. Allowing this to continue is tantamount to allowing Sars to get away with recovering only 18% of the available taxes due and we all know what that would lead to.

By all means, license the streaming services to operate in this country – but don’t do it because the SABC needs another, covert, bailout.