The National Lottery Commission (NLC) is in a last-minute scramble to appoint a temporary lottery operator before the current license expires on 31 May 2025. With negotiations underway, the NLC aims to avoid a potential suspension of lottery operations, which could disrupt ticket sales and grant funding for charities.
Deadline Looming, Temporary License Sought
NLC Chairperson Professor Barney Pityana confirmed that the commission is working to secure a 12-month interim operator while the final decision on a permanent licensee is finalized. The current operator, Ithuba, has held an extended license since 2023, but legal restrictions prevent further extensions.
The Minister of Trade, Industry, and Competition is expected to announce the temporary licensee by 28 May, with the new operator set to take over on 1 June. However, the process has been complicated by legal challenges.
Legal Dispute Threatens Smooth Transition
A rival lottery company has taken the minister to court, arguing that the appointment of a temporary operator violates the Lotteries Act. The act stipulates that a temporary license can only be granted to a new operator, not an extension of the existing one.
Professor Pityana acknowledged the uncertainty but assured that the NLC has contingency plans. “Should the court rule in a way that prevents any operator from taking over, the NLC will use its reserves to continue grant funding for the poor and needy,” he said.
Political and Regulatory Concerns
Reports have also surfaced about politically exposed individuals allegedly linked to potential operators, raising concerns over transparency. While Pityana did not address these claims directly, he emphasized that the minister has sole authority in selecting the licensee, with the NLC playing an advisory role.
What’s Next?
With just days before the deadline, stakeholders are watching closely to see whether the minister’s announcement on 28 May will proceed as planned or if legal hurdles could delay—or even halt—the lottery’s operations.
For now, the NLC remains hopeful that a temporary solution will be in place to ensure continuity of the National Lottery, which supports thousands of charities and causes across the country.
