DSD continues to assist NPOs as deregistration for non-compliance begins

DSD continues to assist NPOs as deregistration for non-compliance begins

The Western Cape Department of Social Development (WCDSD) calls on all NPOs to ensure that they fully adhere to the requirements of the NPO Act, as the national deregistration process for non-compliance is now underway.

All NPOs are registered by the National Department of Social Development (NDSD), who also has the authority to deregister them.

There are 30 914 registered NPOs in the Western Cape, operating across multiple sectors including social services, health, environment, law and advocacy, and education and research. Of these, 17 364 are non-compliant. 

As of October 2024, there are 295 052 registered NPOs nationally, of which, 167 103 are non-compliant. 

According to NDSD, the biggest contributors to non-compliance is the failure to submit annual reports, and organisations not adhering to the provisions of their own founding documents.

“The Western Cape Government fares a lot better than other provinces when it comes to how much of our budget goes towards NPO funding, and the kind of capacity training support we provide organisations,” says Western Cape Minister of Social Development, Jaco Londt.

In anticipation of the phased deregistration process, the WCDSD’s Institutional Capacity Building unit has ramped up its efforts to assist NPOs. In 2023/24, the unit conducted 33 Mobile Help Desk drives across the province, which assisted 422 NPOs with registration, compliance, and related concerns. A further 1 593 NPOs were assisted by the NPO Helpdesk walk-in service, situated in the Cape Town city centre.

The unit conducted 13 Mobile Help Desk drives between April and September 2024.

Londt adds: “As DSD management, we have also been working on a model to help better support organisations, beyond the funding we provide as government, to create a ‘double safety net’. More on this will be communicated in the coming months.”

“We are further improving the Department’s Monitoring and Evaluation systems to help guide potential investors who want to support NPOs or NGOs, so they have surety that their money will be going to trusted and compliant organisations that serve vulnerable residents well,” concludes Londt.

NPOs can access information on how to become compliant and various guidelines by visiting our website : https://www.westerncape.gov.za/social-development/service/non-profit-organisation-npo-information

MEC Londt's soundbite - Afrikaans:

https://staprodmtpdxpzan.blob.core.windows.net/dxp/2024-11/minister-londt-afrikaans.mp3

MEC Londt's soundbite - English:

https://staprodmtpdxpzan.blob.core.windows.net/dxp/2024-11/minister-londt-english.mp3