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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