Cash Paymaster Services says cash payments by the company to about two million social grant recipients will continue to be made in June at the original rate of R14.42 per recipient.
The company said it had received a positive response on Wednesday from the Constitutional Court‚ which said it should re-engage with the National Treasury to determine a sustainable fee for the payment of grants in cash at pay-points to Sassa grant beneficiaries.
In March‚ the Constitutional Court ordered that CPS must continue to provide the cash payments to about two million grant recipients until the end of September at the same rates.
The bulk of the social grant payments to recipients via ATMs was taken over by the South African Post Office in April.
In its order in March‚ the court said CPS may‚ in writing‚ request National Treasury during the six-month period to investigate and make a recommendation regarding the price to be paid for the services it has to render.
Following the judgment‚ CPS asked that it be paid R58 (excluding VAT) to pay each beneficiary‚ while Treasury recommended a fee of R44 (excluding VAT) per beneficiary.
“CPS has invoiced Sassa at the original rate of R14.42 (excl. VAT) per cash payment as an interim fee until such time as an agreement can be reached with Treasury‚” CPS CEO Herman Kotzé said on Wednesday.
Kotzé said while this rate was not sustainable and did not even cover the cost of security‚ payments would not be interrupted for June.
“We are hopeful that we will arrive at a satisfactory solution with National Treasury’s inputs and finalise this matter as quickly as possible‚” Kotzé said.
Just R20 for the first month. Support independent journalism by subscribing to our digital news package. 
