South Africa to spend Sh23bn on set top boxes for the poor

South Africa plans to spend about $250 million (about Sh23 billion) this year alone to buy set top boxes for its poorest citizens before switching off analogue television signals sometime after the global June 17 deadline.

The move is part of a government policy on migrating from analogue to digital terrestrial television approved by the country's Cabinet this week.

More than five million set top boxes will be given away to poor households, Communications minister Faith Muthambi has said, suggesting the total budget for the project could rise above the current budget allocation.

“For the 2014/2015 financial year government has budgeted a total of R3 billion (about Sh23 billion),” Muthambi told journalists recently, adding that Cabinet’s approval of the policy allows for the roll-out of set-top boxes to begin.
Viewers will be required to present national identification, as proof of citizenship, and a TV licence, as proof they own a set.

Reports in the Mail & Guardian and other South African news outlets say the decision to subsidise poor households was intended to speed up digital migration.​

There are approximately ten million television households in the country, about two million of which receive pay-TV digital satellite services from MultiChoice and TopTV.

To avoid having the free set top boxes resold outside the country, the minister says they will come equipped with an access control system.

Muthambi added that South Africa will not meet the international deadline to switch off analogue television signals by June 17.

A switch-off date will be announced at a later date.