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Institutional programme performance information

Administration and business support

Regulatory compliance

Grant making

Strategy to overcome areas of under-performance

Not applicable as all targets have been achieved.

Reporting on the institutional response to the Covid-19 pandemic

The advent of Covid-19 resulted in the Operations Division channelling its resources towards assisting the government and less fortunate communities in the fight against the scourge of the pandemic.

The NLC offices were closed with staff working from home, and social media became the primary point of contact between the organisation and the public. During this time, Covid-19 response programmes were rolled out by the NLC while ensuring that there was adequate awareness given to these initiatives.

The NLC made R210 million available towards the fight against Covid-19 and all funds were allocated to deserving beneficiaries. The NLC contribution to the Covid-19 relief programme was three-fold, as outlined below:

The first two interventions were implemented in the first quarter of the financial year while the third intervention overlapped the fourth quarter. In line with section 2A (3) of the Lotteries Act No. 57 of 1997, as amended, and the approved Proactive Funding Policy, the Commission approved urgent or unplanned macro proactive funding of R50 million for the fight against Covid-19 as per the engagement with the Department of Trade, Industry and Competition. The NLC transferred the committed funds directly into the Solidarity Fund as announced by the President. In addition to the above, the NLC approved micro proactive funding of R10 million for basic and essential hygiene goods, food parcels and cooked meals to assist the most vulnerable groups. To ensure that the approved funds reach affected citizens, the funds were allocated to 54 organisations across the country. The above intervention assisted in providing immediate relief to severely affected communities.

Further analysis on the ground revealed that many NPOs were at a brink of collapse as a result of the nationwide lockdown. Most of the NPOs across all the NLC-funded sectors were not categorised as an essential service, resulting in their operations being ceased when the President announced the nationwide lockdown. Considering the above, the NLC approved further funding of R150 million to assist NPOs to stay afloat during these challenging times. The fund targeted mainly relief programmes and addressing the operational costs of the organisations. As at the end of the financial period, all funds had been earmarked for deserving causes.

Progress on institutional response to the Covid-19 pandemic

Programme/
sub-programme
Intervention Geographic
location (Province/
District/local
municipality)
No. of
beneficiaries
Budget
spent per
intervention
Contribution
to the output
in the APP
Immediate
outcomes
Grant making Solidarity Fund - See Solidarity Fund’s Integrated Report on impact of funding. https://solidarityfund.co.za/integrated-annual-report/ R50 million - -
Food parcels and hygiene Nationally 12 887 households
64 435 people 12 336
soup kitchens 33 shelters
R10 million Funding to priority areas Sustainable and impactful civil society
Covid relief funding Nationally Sustained 833
organisations and an
estimated 4 998 jobs
saved through funding of
operational costs.
R150 million Funding to priority areas Sustainable and
impactful civil
society

Linking performance with budgets

2019/2020 2020/2021
Programme/activity/objective Budget
R’000
Actual
Expenditure
R’000
Over/(Under)
Expenditure
R’000
Budget
R’000
Actual
Expenditure
R’000
(Over)/under Expenditure R’000
People Strategy - - - - 136 (136)
Knowledge Management 3 000 400 2 600
Education and Awareness 6 085 5 888 197 1 750 1 498 252
Stakeholder Perception
Survey 5 000 933 4 067
4th RFP National Lottery
Licence 219 197 21 7 981 9 212 (1 231)
Independent Regulatory
Monitoring Tools 61 (61)
Revenue Maximisation
Strategy 1 000 1 400 (400)
B-BBEE Certification - 199 (199)
Cost of Regulation 8 058 7 453 (605)
Includes the following
activities:
National Lottery Monitoring
Matrix
Sports Pools Monitoring
Matrix
Retailer Inspections
Responsible Play and
Complaints Resolution
4th RFP National Lottery
Licence 7 981 6 486 1 495
Responsible Play and Complaints Resolution
Strategy 146 132 14
Retailer Inspections
Illegal Schemes 1 447 692 755
Percentage to priority areas 1 344 712 1 346 939 2 227 1 274 782 1 136 223 138 558
Alignment of the Grant
Funding Model 1 000 1 156 (156)
Site Visits
Funding Agents
Total 1 353 609 1 355 004 3 058 1 293 513 1 150 062 143 451

Revenue collection

2019/2020 2020/2021
Sources of revenue Estimate
R’000
Actual amount
collected
R’000
(Over)/under
collection
R’000
Estimate
R’000
Actual amount
collected
R’000
(Over)/under
collection
R’000
Share of ticket sales 1 610 000 1 632 334 22 334 1 643 310 1 488 460 (154 850)
Interest received 125 626 147 785 22 159 129 543 81 323 (48 220)
Society and other lotteries 84 70 (14) 50 80 30
Revenue from Participants
Trust 170 072 192 798 22 726 109 000 164 481 55 481
Revocations 20 000 20 143 143 20 000 23 959 3 959
Sundry Income 1 000 5 289 4 289 1 000 2 127 1 127
Licence signing fees 2 500 2 500 - 2 500 2 500 -
Penalties – Ithuba Holdings
(RF) Pty (Ltd)
- - - - 1 402 1 402
Total 1 929 282 2 000 919 71 637 1 905 403 1 764 332 (141 071)

Capital investment

2019/2020 2020/2021
Infrastructure projects Budget
R’000
Actual
expenditure
R’000
(Over)/under
expenditure
R’000
Budget
R’000
Actual
expenditure
R’000
(Over)/under
expenditure
R’000
Capital Expenditure 25 715 25 002 713 25 685 6 695 18 990

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