A controversial new lottery funding regulation could pose a threat to the iconic National Arts Festival (NAF) in Grahamstown.
The news emerged in a letter the Legal Resources Centre (LRC) sent to the Department of Trade and Industry (DTI) on behalf of an informal coalition of non-government organisations.
Regulation 14 prevents beneficiaries from applying for funding for a year after receiving their last grant‚ which the LRC says could result in funding droughts of up to 24 months.
Tony Lankester, CEO of the National Arts Festival, says the regulation will affect his organisation from 2018 onward.
We received our last transfer funding from the National Lottery Commission in October last year. So we may not apply until October 2017.— Tony Lankester, CEO of the National Arts Festival
But it means come 2019 we may not be able to apply because the cooling off period will still be in place.— Tony Lankester, CEO of the National Arts Festival
Lankester explains that the regulation will affect every single non-government organisation in South Africa because the lottery contributes billions, yearly, towards the sports, the arts and charities.
This is an unintended consequence of a well-intended regulation, he says.
Listen to the interview in the audio below: