According to civil society organisation Black Sash, around 17 million people benefit from social grants through 10 million Sassa accounts.
The organisation’s advocacy manager, Elroy Paulus, says it is difficult to quantify how many people per family actually benefit from social grants, but estimates that it is more than half of South Africa’s population.
If you want to understand the SASSA social grants disaster, this affidavit from Black Sash explains it all: https://t.co/SFrZR4h7i0
— Pierre de Vos (@pierredevos) March 1, 2017
Sassa Cash Paymaster Services timeline
2012:
Allpay Consolidated Investment Holding, having lost a bid for the tender by the South African Social Security Agency to Cash Paymaster Services (CPA), a company owned by Net1, approaches the high court in Pretoria to have the awarding of the tender declared invalid.
The following year, the court declares the tender process invalid, but does not set aside the contract.
2013:
The Constitutional Court also declares the R10 billion contract with CPS invalid, and another order five months later, orders Sassa to initiate a new tender process for a service provider. However, it rules that the current contract should stay intact until March 31.
2015:
The Constitutional Court further orders Sassa to award a new contract by October 2016. But Sassa decides not to award the tender.
2017
February 28:
Sassa files court papers seeking authorisation to start negotiations with CPA to extend its contract by a year. The agency later withdraws its application.
On the same day, civil society organisation Black Sash launches an application with the Constitutional Court to compel Minister Bathabile Dlamini and Sassa to take the necessary steps to ensure that social grant beneficiaries are protected when the CPA contract comes to an end.
March 3:
The Department of Social Development announces an agreement with CPS over the payment of grants, but states that announcements on finer details will be made at a later stage. Earlier in the day, Sassa is summoned to appear before the Constitutional Court on March 15, relating to Black Sash’s application.
That evening, Treasury issues a statement declaring it is not part of the negotiations between Sassa and CPA.
March 4:
President Jacob Zuma calls Dlamini and Finance Minister Pravin Gordhan to a meeting to discuss the matter and to find a way forward.
The Department of Social Development’s director-general Zane Dangor resigns after only three months in the job, citing deep disagreements over Sassa.