Inside SA’s not-for-profit landscape

Social Development Minister Bathabile Dlamini has put a moratorium on the deregistration of non-profit organisations (NPOs) and is in the process of re-registering all NPOs deregistered in 2012.

This is in an effort to encourage compliance by NPOs and adopt a developmental approach in addressing the administrative matters relating to compliance.

Thousands of NPOs were deregistered for non-compliance with the NPO Act towards the end of 2012.

NPOs registered with the Department of Social Development are required in terms of the NPO Act to submit their annual reports (narrative and financial reports) to the department.

This applies to all NPOs registered under the NPO Act, whether funded or unfunded.

Currently, there are 140,513 registered NPOs and 87,565 or about 62% of them are not compliant with the provisions of the NPO Act.

The Minister announced that there would be no deregistration of NPOs until she was satisfied the department has done all it can to assist NPOs with compliance.

Creating awareness

The department said it has spent R2.5 million on an awareness and educational campaign aimed at helping NPOs improve their compliance.

“During public participation programmes, South Africans raised concerns about the process of compliance stating that it is misunderstood, expensive and cumbersome.

“The awareness raising campaign was therefore rolled out nationally to assist NPOs with compliance and increase access by NPOs to the department’s NPO officials for direct, face-to-face service,” Minister Dlamini said.

Minister Dlamini has also declared this year as the year of the NPOs.

1,415 NPOs registered

Through the awareness campaign, the department has so far registered 1,415 NPOs, received 1,973 outstanding annual reports, as well as responded to 2,593 compliance status inquiries by NPOs.

To date, the campaign has gone to Emfuleni, Lesedi, Midvaal and Vereeniging municipalities in Gauteng, the Elias Motsoaledi, Makhuduthamaga and Fetakgomo municipalities in Limpopo, the Bizana municipality in the Eastern Cape, Kyamnandi, Mooiwater, Kylermore, Cloetesville and Klaapmans municipalities in the Western Cape and Bushbuckridge and Nkomazi municipalities in Mpumalanga.

The Minister said that the response from the NPOs has been great and most of them expressed their appreciation for the effort the department is making to help them comply and stay in business.

“The NPO Directorate has also been invited by various municipalities to bring the campaign to their localities, and the awareness campaign will be an ongoing practice,” she said.

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Inside SA’s not-for-profit landscape