PSC: Non-payment of govt suppliers a sign of lack of effective governance

The Public Service Commission said it would be valuable to get information from National Treasury on the office of the accountant general and the office of the chief procurement officer on dealing with non-compliance relating to the payment of suppliers.

Michael Seloane, the commissioner for the Public Service Commission. Picture: @OPSC_SA/Twitter

JOHANNESBURG - The Public Service Commission on Thursday said the late or non-payment of suppliers doing work for the government highlighted the lack of effective governance systems.

In its quarterly Pulse of the Public Service Report for April to June, the commission questions the role of the National Treasury in ensuring that there are sound financial controls in the management of public finances.

The Public Service Commission said it would be valuable to get information from National Treasury on the office of the accountant general and the office of the chief procurement officer on dealing with non-compliance relating to the payment of suppliers.

Commissioner Michael Seloane said the offices were established for this purpose.

“As far as engaging National Treasury on consequence management, yes, we have engaged them and then what they will be doing instead of reportin, only on which departments have not paid service providers within 30 days, they will also give their inception reports indicate what action had been taken against those,” he said.

Some of the issues flagged by the PSC are a lack of capacity in critical areas of financial management and systematic challenges.

Lack of internal controls regarding the tracking of invoices from date of receipt to date of payment, lack of financial delegation especially when officials with signing powers are on leave as well as the inefficiencies of systems have also been flagged.

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