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SECTOR ANALYSIS: Sport and Recreation in South Africa

Presenter: Mr. Teboho Thebehae

1 July 2013

INTRODUCTION

• Historical apartheid discriminatory laws and practices based on race

• Unequal access to competitive or recreational sports opportunities at school or community levels.

• Various sports organisations tirelessly fought for establishing a sports system free of discrimination

• In 1993, the NSC convened a “Vision for Sport” national sports conference

• The advent of democracy in 1994 ushered in significant changes to policies and legislation

• The sector needed to be transformed

• In 1996, the first White paper was introduced as an official policy for Sport

• In 2000, MTT was tasked to conduct a study on High Performance and Elite Sport. 2

National Sport and Recreation Plan (2012)

Intro...• The Cabinet approval of the MTT report towards the end of 2003• It recommended that all Seven macro-bodies that governed sport

– Sport and Recreation South Africa (SRSA) – South African Sports Commission (SASC) – National Olympic Committee of South Africa (NOCSA) – Disability Sport South Africa (DISSA) – South African Commonwealth Games Association (SACGA) – South African Students Sports Union (SASSU) – United School Sports Association of South Africa (USSASA).

• These were reduced to two:– Sport and Recreation South Africa (SRSA)– South African Sport Confederation and Olympic Committee (SASCOC)

• The revised 2001 White Paper did not reflect these changes• The 2011 revised reflected and included the 2010 Road Map• In May 2012, Cabinet approved the National Sport and Recreation Plan as government

policy

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Departmental Entities

• South African Institute for Drug-free Sport Act, 1997 (Act No. 14 of 1997 as amended)

• South African Boxing Act, 2001 (Act No. 11 of 2001)

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Global Sport Market

• Sport industry is a world-reaching business• Over US$620b is spent annually• Sport spending is growing faster than the GDP• 43% of sport market is dominated by Football, with the least

share of 3% belonging to Golf.(AT Kearney,

2011)

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Investment in Sport in South Africa

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•Future sponsorship growth in developing countries (Bal, Quester and Plewa, 2010).

•South African Sponsorship Market is estimated to be R7b (Sport Industry Group South Africa, 2012)

•In SA 70% corporate spending in sports is on sponsorship (Van Heerden and Du Plessis, 2004; Klayman, 2008).

•PSL sponsorship income had grown from R119.9 million in 2007 to R239.9 million in 2011 (PSL Financial Report, 2011).

•More commercial and bottom-line oriented and less on altruism and sense of social responsibility (Gwinner and Swanson, 2003)

Departmental Budget in Sport

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Entities 2009/2010

000’

2010/2011

000’

2011/2012

000’

2012/2013

000’

2013/14

000’

2014/15

000’

SRSA 2 866 430 1 252 026 810 622 1 047 336 1 073 485 970 400

Boxing SA 3 087 2 208 10 112 5 108 6 552 10 100

SAIDS 6 713 10 042 11 604 13 215 14 024 14 800

South African Key deliveries in Sport

• The NSRP states 3 core pillars of Sport– Creating an Active Nation

– Developing a Winning Nation

– Creating an Enabling Environment• Sport facilities

• Club Systems

• Five transversal issues:– Transformation

– Prioriting Sporting codes

– Geo-political boundaries

– Ethical Behaviour

– Professional and amateur sport

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CHALLENGES

• Slow pace of transformation (EPG Report, 2014)• Access to facilities and maintenance• Coordinated approach on sport development.• Coordinated plans on facility development• Efficient use of resources• Inadequate funding

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LEGACY REPORT

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StatisticsActivity 2009/10 2010/11 2011/12 2012/13 2013/14 TOTAL

Meetings held 28 28 23 35 15 + 3 132 + 1Legislation

processed0 1 0 0 0 1

Oversight trips

undertaken0 1 0 2 3 6

Study tours

undertaken0 0 0 1 0 1

International

agreements

processed

0 0 0 0 0 0

Statutory

appointments

made

0 0 0 0 0 0

Interventions

considered0 0 0 0 0 0

Petitions

considered 0 1 0 0 0 1

Reflection per year and programmes achievements

• Safety at Sport and Recreation Events Bill [B7-2009 (Sec 75)] Act , Act 2 of 2010

• Launch of Eastern Cape Rugby Franchise in June 2009

• Hosting 2009 FIFA Confederation Cup

• Hosting the 2010 FIFA World Cup

• South African Government committed R30 billion to major infrastructure investment

• Hosting of the 2013 African Cup of Nation (AFCON)

• Hosting 2014 Orange African Nations Championship

Continued...• Caster Semenya saga• Adoption of the 3rd White Paper in 2012• Adoption of the National Sport and Recreation

Plan 2012• International Study to Argentina• Oversight trips undertaken• Adoption of Departmental annual Budget• Regular meetings with Federations and

stakeholders

Committee’s focus areas during the 4th Parliament

• 2010 FIFA World Cup Tournament

• Budget of the Department and its entities

• Performance of the Department

• Legislation

• Oversight

• Public Hearings

• Transformation

Portfolio Committee’s Budget

Administration of the Portfolio Committee

• Minutes of the meetings• MANCO Meetings• Committee Meetings• Committee Reports• Support Staff• Members briefings• Oversight visits

Key areas for future work

Implementation of the National Sport and Recreation PlanAmendment of the National Sport and Recreation Act, Act

110 of 1998, and repeal of South African Boxing Act, Act 11 of 2001

Increased oversightPhysical EducationA case for building of Sport and Recreation facilitiesMunicipal Infrastructure Grant (MIG) and the Urban

Settlement Development Grant (USDG) funds for Sport and Recreation

Improved governance by federations and entitiesFunding for Sport and Recreation development

Challenges that Committee dealt with

• Governance

• Match-fixing

• Maladministration

• Sport and recreation facilities

• Transformation

• Funding of Federations

• Outstanding reports

• Oversight visits

Highlights of the Committee

• 2010 FIFA World Cup event• TEAM SA at the London 2012 Olympic Games• 2012 White Paper was published • National Sport and Recreation Plan was a milestone• Establishment of Southern Kings Rugby Club and

participation in Super 15• 27 artificial pitches as legacy project for 2010 FIFA

World Cup • Netball SA won the 2013African Netball

Championship

Recommendations• Administration: The Committee should ensure that there

are regular briefings with staff regarding the programme and content-related issues in order to improve interaction with the stakeholders

• Implementation of NRSP: The Committee should ensure that it strengthens its oversight over the implementation of the National Sport and Recreation Plan and follows up on the outstanding matters.

• Match fixing: The Committee should follow-up with the Minister of Sport to ensure that the matter of match fixing is expedited efficiently and effectively in order to maintain and restore the good image of the sport

Continued...Implementation of the Physical Education Curriculum: The

Committee should continue to hold talks with Portfolio Committee of Basic Education in addressing the importance of physical education with the school system.

Transformation: The Committee should make a follow-up with the Eminent Persons Group (EPG) regarding their report on transformation in sport and set clear targets that should be adhered to with regard to transformation in sports by all federations.

Outstanding reports: The Committee should invite the LOC of AFCON 2013 and CHAN 2014 as a matter of urgency to provide a brief and a complete report of the respective tournaments.

Funding and sport facilities: The Committee should continue to lobby for more funding for sport development and building of sports facilities.

References• AT Kearney Inc. (2011). The Sport Market: Major Trends and challenges in an industry full of passion. West Adams Street.

Chicago.• Bal, C. Quester, P. and Plewa, C. (2010). Emotions and sponsorship: A key to global effectiveness? A comparative study of

Australia and France. Asia Pacific Journal of Marketing and Logistics Vol. 22 (1), Pp. 40-54• Boxing South Africa (2014). Annual Performance Plan 2014-15• Boxing South Africa (2014). Strategic Plan 2014-2019.• Department of Sport and Recreation Strategic Plan (2014). Sport and Recreation South Africa 2014-2019. • Department of Sport and Recreation. Annual Report of the Sport and Recreation South Africa 2012/13.• Klayman, B. (2008). "Global sports market to hit $141 billion in 2012" published in Reuters on 18 June 2008

(http://www.reuters.com/article/2008/06/18/us-pwcstudy-idUSN1738075220080618 accessed on 15 May 2012 ) • National Sport and Recreation Plan (2012) • National Treasury (2014) Estimates of National Expenditure• South African Institute for Drug-free Sport (2014). Strategic Plan 2013-2018• Sport Industry Growth South Africa (2012). Experts to debate South Africa's R7 Billion Sponsorship market (article was

published on the 17th August 2012: http://www.sportindustry.co.za/feature/view/4694/Experts and accessed on the 20 August 2012)

• Van Heerden, C.H. & Du Plessis, P.J. (2004). Analysis of Sport Sponsorship Management in South Africa - Implications for Africa. Africa Journal for Physical, Health Education, Recreation and Dance (AJPHERD), 10(1), 71-89.

• Zuma, J G. (2014a) State of the Nation Address of the President of South Africa at the Joint Sitting of the Democratic Parliament. Cape Town, February 2014

• Zuma, J G. (2014b) State of the Nation Address of the President of South Africa at the Joint Sitting of the Democratic Parliament. Cape Town, June 2014

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