As a public broadcaster, the SABC operates differently from private broadcasters, relying on a mix of revenue streams to fund its operations. Understanding how the SABC makes money sheds light on its financial health and future sustainability.
1. Advertising: The Backbone of SABC’s Revenue
The primary source of income for the SABC is advertising, which accounts for about 80% of its total revenue. Through its extensive network of TV and radio channels, including popular platforms like SABC1, SABC2, and SABC3, the broadcaster attracts advertisers looking to reach a broad South African audience.
However, the SABC faces intense competition from private broadcasters such as e.tv and DStv, which also target similar audiences. Despite this competition, the SABC remains an essential player due to its mass reach and public service mandate. Advertisers purchase airtime on SABC channels, contributing to the significant portion of its earnings. The dominance of advertising revenue underscores the importance of audience ratings, which can directly influence the broadcaster’s financial success.
2. License Fees: A Steady Revenue Stream
In addition to advertising, license fees are another important revenue source for the SABC, contributing around 18% to its income. These fees are levied on households that own televisions, and the current fee is set at R250 per year. The SABC uses the funds generated from these fees to support its public service broadcasting efforts, which include offering content that serves the interests of the South African public.
While license fees provide a steady income stream, their collection has faced challenges over the years. Many South Africans resist paying the fees, and there have been ongoing debates about the fairness of this system, especially in a country with high levels of poverty.
3. Government Funding: A Small Contribution
The government contributes a relatively small portion to the SABC’s overall revenue, accounting for around 2%. This financial support comes in the form of direct subsidies or, in some cases, bailout packages. For instance, in 2019, the government provided the SABC with a significant R3.2 billion bailout to stabilize its finances.
While government funding is essential to keeping the SABC operational, the corporation’s financial independence remains largely reliant on advertising and license fees. As a public broadcaster, however, the SABC’s mission is to serve the public interest, which justifies its reliance on both government assistance and revenue generated from the general public.
4. Renting Out Facilities: An Additional Income Stream
In an effort to diversify its revenue, the SABC also generates income by renting out its facilities. These include television and radio studios, event venues, and outside broadcasting equipment. Many private companies, production houses, and even other broadcasters use SABC’s state-of-the-art facilities for their projects. Renting out these resources helps the corporation offset some of its operational costs, contributing additional revenue.
5. Challenges and Financial Struggles
Despite the multiple revenue streams, the SABC faces significant financial challenges. The corporation is currently considered technically insolvent, with the 2023/24 annual report revealing a loss of R192 million before interest and tax. The SABC’s ongoing financial difficulties highlight the complexity of balancing public service obligations with the need to generate sustainable income.
6. The Household Levy Proposal: A Future Shift?
Looking ahead, the SABC is considering a shift in its revenue structure. The license fee system might be replaced by a household levy, which would require all South African households to contribute towards funding the broadcaster, whether they own a TV or not. This change is still in the planning stages, with the South African government currently drafting the framework for the levy.
If implemented, the household levy is expected to take between three to five years to fully roll out. The hope is that this new system will provide a more consistent and equitable source of revenue for the SABC, ensuring its financial stability in the long term.
Need Information or Confused about Something ?
Ask a Question
Sponsored Guide
Complete Guide to NSFAS Online Loan Application for South African Students (2025)
If you are a South African student looking to pursue higher education but are facing financial difficulties, the National Student Financial Aid Scheme (NSFAS) is one of the most accessible funding options available. NSFAS provides financial aid in the form of bursaries and loans to qualifying students at public universities and TVET colleges in South Africa.
This guide will walk you through everything you need to know about the NSFAS loan application process, from eligibility requirements to application steps and frequently asked questions.
📌 What is NSFAS?
The National Student Financial Aid Scheme (NSFAS) is a government-funded financial aid scheme aimed at helping students from low- and middle-income households to access tertiary education without the burden of upfront fees.
NSFAS offers both bursaries and income-contingent loans:
- Bursaries: For eligible students who meet academic and household income criteria (especially for TVET and university students).
- Loans: For students who do not meet all bursary criteria or who are pursuing postgraduate qualifications not funded under bursary schemes.
✅ Who Qualifies for an NSFAS Loan?
To qualify for an NSFAS loan (especially for postgraduate students or programs not funded under the bursary system), you must:
- Be a South African citizen.
- Be financially needy, with a household income of less than R350,000 per year.
- Have a valid South African ID.
- Be enrolled or accepted to study at a public university or TVET college.
- Not be funded through another bursary program that covers all expenses.
- Maintain satisfactory academic progress (returning students).
📚 Courses Funded by NSFAS
NSFAS primarily funds undergraduate qualifications, but certain postgraduate programs (e.g., PGCE, postgraduate diplomas in education, and professional courses like LLB) may be considered under the NSFAS loan scheme, not bursaries.
If you’re studying:
- Undergraduate degree or diploma: You are likely eligible for a full NSFAS bursary.
- Postgraduate study: You may qualify for a loan, depending on the course and funding availability.
📄 Required Documents for NSFAS Application
When applying, make sure you have the following documents scanned and ready:
- Certified copy of your South African ID or Smart Card.
- Parent(s) or guardian(s) ID documents.
- Proof of income (latest payslips, UIF, or affidavit if unemployed).
- Consent Form signed by your parent(s)/guardian(s) to allow NSFAS to verify income.
- Proof of registration or acceptance at a public institution.
- Academic transcripts (for continuing or postgraduate students).
🖥️ How to Apply for an NSFAS Loan Online
Step-by-Step NSFAS Online Application Process (2025)
-
Visit the NSFAS Website
Go to: https://www.nsfas.org.za
-
Create an Account
- Click on “MyNSFAS” and register your profile.
- You’ll need a valid email address and South African cellphone number.
- Choose a strong password and verify your account via email or SMS.
-
Login and Start the Application
- After registration, log in to your MyNSFAS account.
- Click on “Apply” to begin a new application.
-
Fill in Your Personal Details
- Input your ID number, name, surname, and other details exactly as they appear on your ID.
- Provide household income information and living arrangements.
-
Upload Required Documents
- Upload all supporting documents in PDF or JPEG format.
- Each document must be clear and under the size limit specified.
-
Submit Your Application
- Review your application for accuracy.
- Click “Submit” and wait for a confirmation message.
-
Track Your Application
- Log in regularly to check your application status.
- You will be notified via SMS and email at each stage of the process.
🗓️ Important NSFAS Dates (2025)
- Application Opening Date: September 1, 2025
- Application Deadline: January 31, 2026
- Appeals Period: February 2026 (if rejected)
- Disbursement: After registration and approval
Note: Dates are subject to change; always confirm on the official NSFAS website.
💸 What Does the NSFAS Loan Cover?
NSFAS funding typically includes:
- Tuition fees
- Registration fees
- Accommodation (if living away from home)
- Meals and transport
- Learning materials (e.g., textbooks)
For loans, repayment is only required once you start working and earn above a threshold (around R30,000 annually, but subject to change).
🔄 NSFAS Loan Repayment
Repayments are:
- Income-contingent – you only repay when you can afford to.
- Administered by DHET (Department of Higher Education and Training).
- Interest-bearing, but interest rates are low and favorable.
You can also apply for a partial loan conversion to a bursary if you perform well academically.
🔁 How to Appeal a Rejected NSFAS Application
If your application is rejected, you may submit an appeal via your MyNSFAS portal:
- Log into your MyNSFAS account.
- Click on “Track Funding Progress”.
- If rejected, click on “Submit Appeal”.
- Upload any missing or corrected documents.
- Provide a clear explanation or motivation.
📱 NSFAS Contact Information
- Website: https://www.nsfas.org.za
- Email: info@nsfas.org.za
- Toll-Free Number: 08000 67327 (Monday–Friday, 8 AM–5 PM)
- Twitter: @myNSFAS
- Facebook: NSFAS
📝 Final Tips Before Applying
- Apply early to avoid system overload near the deadline.
- Use your own email and cellphone number (do not use someone else’s).
- Double-check that all your documents are certified and legible.
- Keep a copy of your submission confirmation for reference.
By following this guide, you can confidently apply for NSFAS funding and move one step closer to achieving your academic and career dreams—without the burden of immediate financial pressure.