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    SABC Proposes TV License Fees for Streaming Services to Boost Revenues

    Mwakaneno
    By Mwakaneno Gakweli
    - October 20, 2020
    - October 20, 2020
    African Wall StreetPublic Policy
    SABC Proposes TV License Fees for Streaming Services to Boost Revenues

    The South African Broadcasting Corporation (SABC) has proposed a change in regulations to boost its revenue collection. The proposed regulations presented by Deputy Communications Minister Pinky Kekana seek to expand the definition of a TV license in line with current realities.

    In the new regulation, TV service providers like DStv and streaming services like Netflix and Amazon Prime will collect license fees on behalf of the SABC.

    “…regulation is needed on pay service providers like MultiChoice and subscription video-on-demand providers like Netflix to collect TV licence on behalf of SABC similar to municipalities collecting traffic fine and motor vehicle debt from motorists, and expanded definition of a TV licence is outdated and needs to be addressed to current realities.”

    Minister Pinky Kekana

    South Africans who use streaming services on other devices like tablets and mobile phones will also have to pay SABC license fees.

    “We also have other platforms where people consumer content, and in all of those areas, that is where we should look at how we are able to get SABC license fee from those gadgets,” Kekana says.

    News24 reports that only a percentage of South African households pay the annual SABC TV license fees. First-time applicants for the license pay R265 and renew the license annually. Users can split the payment to monthly instalments of R28 per month.

    The efforts to boost the collection of TV license fees will include settlement of license fees in arrears and campaigns to increase debit orders. SABC will also engage debt collectors to pursue payments for non-compliant license holders.

    READ ALSO: South Africa’s Economy Suffers Worst Downturn Since World War II

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