Key Takeaways
- The TV licence system in South Africa is facing extinction due to low compliance rates and a shift in how people consume media.
- A device-neutral household levy is being considered as a replacement for the current licence fee system.
- The Department of Communications and Digital Technologies has tasked BMI TechKnowledge with designing a new funding framework for the SABC.
- The SABC’s financial position is weakening due to widespread non-payment of TV licences, with avoidance levels rising to an estimated 85% in 2025.
- A universal, technology-neutral public media levy collected by the South African Revenue Service is being considered as a potential solution.
Introduction to the TV Licence System
The TV licence system in South Africa has been in place for many years, with the intention of providing a primary income stream for the South African Broadcasting Corporation (SABC). However, the system has been facing significant challenges in recent years, with compliance rates plummeting and the broadcaster struggling to cover its costs. The Department of Communications and Digital Technologies has acknowledged that the current model is no longer viable and has tasked BMI TechKnowledge with designing a new, sustainable funding framework for the SABC. This review comes as the broadcaster’s financial position weakens under the weight of widespread non-payment, with avoidance levels rising sharply from 69% in 2019 to an estimated 85% in 2025.
The Failure of the Current Model
The SABC’s leadership has publicly acknowledged that the current TV licence system has failed. In November 2025, SABC board chair Khathutshelo Ramukumba stated that relying on TV licence fees is no longer viable, citing the shift in how audiences consume content. Many South Africans now watch programmes and media on phones, laptops, and gaming consoles rather than traditional television sets, making the current system outdated. Ramukumba pointed out that a universal, technology-neutral public media levy collected by the South African Revenue Service could be a potential solution. This approach would remove the link between funding and television ownership, reflecting modern viewing habits.
Alternative Funding Models
SABC CEO Nomsa Chabeli has also acknowledged that the licence scheme has reached the end of its lifespan, describing it as outdated and ill-suited to the current media environment. While she agreed that the system has failed, she attributed poor compliance partly to South Africa’s broader culture of non-payment for services, which extends beyond broadcasting. Chabeli stressed that introducing a new funding model is essential if the SABC is to survive, and like Ramukumba, she supports a universal levy collected by Sars. She also suggested that direct funding from the national fiscus could be another option, which would place responsibility with National Treasury. However, Ramukumba has pushed back against the idea of ongoing state bailouts, warning that the broadcaster cannot rely indefinitely on government rescues.
The Need for a Sustainable Funding Solution
Ramukumba has emphasized the need for a structured and sustainable funding intervention that protects the SABC’s public role while ensuring financial stability and independence. He argues that the focus should be on a long-term solution, rather than a system that has clearly outlived its time. The SABC needs a funding model that reflects the changing media landscape and provides a stable source of income. A device-neutral household levy could be a potential solution, as it would remove the link between funding and television ownership and provide a more equitable way of funding the public broadcaster. The Department of Communications and Digital Technologies is expected to receive a final proposal from BMI TechKnowledge by 6 February 2026, which will outline a new funding framework for the SABC.
Conclusion
The TV licence system in South Africa is facing a significant crisis, with low compliance rates and a shift in how people consume media. The SABC’s leadership has acknowledged that the current model is no longer viable and is exploring alternative funding models, including a device-neutral household levy. The Department of Communications and Digital Technologies is working to design a new funding framework for the SABC, which is expected to be completed by 6 February 2026. The future of the SABC depends on finding a sustainable funding solution that reflects the changing media landscape and provides a stable source of income. A universal, technology-neutral public media levy collected by the South African Revenue Service could be a potential solution, and it will be interesting to see how the situation develops in the coming months.