It is so that the current social grants distributor, Cash Paymaster Services (CPS), is paid R1.8bn a year, while the South African Post Office’s projected costs are R2.8bn in the first year, increasing to R3.7bn in the fifth year. However, it is important to guard against comparing the lemons we have with the oranges possibly on offer from the Post Office. On the lemon side, it is reported that the panel of experts appointed by the Constitutional Court to keep a beady eye on the citrus grove stated: "The panel believes these proposed price increases are opportunistic and were made possible only by the lack of competing bids. These prices, if agreed to, would result in an additional R2bn of annual operating costs to the South African Social Security Agency (Sassa) by year five. If other potential service providers making greater use of the National Payment System were able to submit proposals, then the Post Office’s proposal would be deemed uncompetitive." On the more palatable orang...
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