Treasury to review Sassa, Post Office deal points – Dlamini

2017-11-01 17:14
Social Development Minister Bathabile Dlamini. (Screengrab via YouTube)

Social Development Minister Bathabile Dlamini. (Screengrab via YouTube)

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WATCH LIVE: Bathabile Dlamini, Sassa and the Post Office appear before Scopa

2017-10-31 10:30

Social Development Minister Bathabile Dlamini will on Tuesday appear before the Standing Committee on Public Accounts and Portfolio Committee on Social Development, along with Sassa and the South African Post Office on grant payments. WATCH

Cape Town – National Treasury has agreed to review the talks leading up to the stalled deal between the South African Social Security Agency (Sassa) and the South African Post Office, MPs have heard.

Minister of Social Development Bathabile Dlamini told MPs in a question session in Parliament that Treasury had mediated between the two entities in a late-night meeting on Tuesday night.

She revealed that Treasury had now agreed to review processes leading up to the current impasse.

"Treasury has agreed to review all the processes that we have gone through," she said in response to a question from NFP MP Sheik Imam.

"Let's hope that process will come up with a positive outcome. We do want to work with the Post Office, and we have always been committed to doing that."

Deadlock 

At the heart of the deal's collapse were disagreements on the Post Office's capacity to distribute banking services and to produce new Sassa cards.

The Post Office has said it can deliver on all four of the requested services, while Sassa's bid evaluation committee believed it could only deliver one.

READ MORE: 'Postbank is a fully-fledged banking service' - Post Office

Dlamini maintained that the only reason they had reached a deadlock was because the Constitutional Court directed the department to ensure the procurement process was thorough and fair.

The department was not free to simply sign an inter-government deal unless it received permission from Treasury to deviate, which it had given in July.

Dlamini, Sassa and the Post Office were due before a joint meeting in Parliament at 18:00 on Wednesday, to report back on progress made since their last appearance on Tuesday.

They agreed on Tuesday to "work through the night" to try to find common ground on the deal.

Treasury director general Dondo Mogajane told the committee that they will set up a team between Treasury, the Reserve Bank, as well as Sassa and SAPO's technical teams.

They would need until Tuesday or Wednesday next week to review the deal in its entirety.

* This article has been updated.

ALSO READ: Dlamini says 'patriarchy' is the reason MPs don't buy her Sassa story

Read more on:    sassa  |  post office  |  bathabile dlamini  |  cape town

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