https://www.polity.org.za
Deepening Democracy through Access to Information
Home / News / All News RSS ← Back
Close

Email this article

separate emails by commas, maximum limit of 4 addresses

Sponsored by

Close

Article Enquiry

Scopa to call Gordhan to appear over Sassa crisis

Close

Embed Video

2

Scopa to call Gordhan to appear over Sassa crisis

Finance Minister Pravin Gordhan
Photo by Reuters
Finance Minister Pravin Gordhan

7th March 2017

By: News24Wire

SAVE THIS ARTICLE      EMAIL THIS ARTICLE

Font size: -+

Parliament's standing committee on public accounts (Scopa) will call Finance Minister Pravin Gordhan to appear before it next week to discuss the social grants crisis.

Committee chairperson Themba Godi told eNCA in a live crossing that Gordhan would be called, following Social Development Minister Bathabile Dlamini's appearance on Tuesday.

Advertisement

Godi confirmed to News24 afterward that Scopa would ask Gordhan to appear on Tuesday, March 14.

The social development department and the South African Social Security Agency have until March 31 to ensure the social grants scheme operation is not in contravention of the Constitutional Court, after the court directed it in 2014 to take over the scheme.

Advertisement

During her appearance before Scopa, Dlamini denied reports that a new social grants distribution contract has been finalised with the current service provider, Cash Paymaster Services.

Frustrating meeting

Dlamini told Scopa MPs in a frustrating back-and-forth meeting that certain aspects of the four terms of the contract still needed to be finalised.

She could not give information on what the new contract would cost per grant recipient.

The current rate is R16.44 per recipient.

She could also not confirm what legal deductions the new service provider would be allowed to make under the new agreement.

What she could confirm, is that the new contract would last for two years.

The first year would focus on phasing out CPS from the grants distribution machine. The second year would focus on rolling out a new plan.

She also said they apologised to the Constitutional Court for the "unstable reports" surrounding their readiness to take over the scheme.

The department's technical task team, which includes a state law advisor, is currently reviewing the terms of the new contract, and will report back on Friday.

Thereafter, the department will make a public announcement on the new deal with CPS.

She could not comment on whether Treasury would support the new contract, as required by the Public Finance Management Act, and said Treasury must speak for itself.

EMAIL THIS ARTICLE      SAVE THIS ARTICLE

To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here

Comment Guidelines

About

Polity.org.za is a product of Creamer Media.
www.creamermedia.co.za

Other Creamer Media Products include:
Engineering News
Mining Weekly
Research Channel Africa

Read more

Subscriptions

We offer a variety of subscriptions to our Magazine, Website, PDF Reports and our photo library.

Subscriptions are available via the Creamer Media Store.

View store

Advertise

Advertising on Polity.org.za is an effective way to build and consolidate a company's profile among clients and prospective clients. Email advertising@creamermedia.co.za

View options
Free daily email newsletter Register Now