Sapo would charge far more than CPS to pay social grants, court told
The proposal by the South African Post Office (Sapo) to pay social grant recipients would cost more than the amount charged by the current provider‚ Cash Paymaster Services (CPS). This is because the South African Social Security Agency (Sassa) had not opened the tender for competitive bids. This is the view of the panel of experts, as well as the Auditor-General‚ who were appointed by the Constitutional Court to investigate the grants payment debacle in March. The panel made this observation in its report to the court this week, which comes as an agreement between Sassa and Sapo for the payment of grants is expected to be signed soon. Jeff Radebe‚ the Minister in the Presidency and chairperson of the inter-ministerial committee (IMC) for comprehensive social security‚ told Parliament on Tuesday that Sassa and Sapo had signed an implementation protocol. Radebe said the protocol would allow Sapo to provide services to Sassa‚ subject to "cost-effectiveness". The panel had said future ...
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