Committee not pleased with yet another Sassa, CPS contract extension

This is the second extension requested by the agency due to a lack of readiness to take over the provision of grants to beneficiaries.

A Sassa card. Picture: Supplied

JOHANNESBURG - Parliament's select committee on social services says while it welcomes the Constitutional Court's extension of Sassa's contract with Cash Paymaster Services (CPS), it hopes this will be the last time.

This is the second extension requested by the agency due to a lack of readiness to take over the provision of grants to beneficiaries.

Sassa and the social development minister are expected to present a monthly report before the court for the next six months as part of the terms and conditions of the new deal.

Justice Leona Theron says the judgment ensures that CPS provides money to some 2.5 million beneficiaries while Sassa plans to take over the service.

“From 1 April 2018, Sassa and CPS are under a constitutional obligation to ensure payments of social grants to beneficiaries who are paid in cash.”

Theron says a panel of experts will oversee a bidding process for a company to take over the cash payments for Sassa.

However, Parliament’s select committee on social development says it’s concerning that Sassa asked for another extension.