PROGRESS REPORT PAYMENT OF SOCIAL GRANTS ON 01 APRIL 2018 28 March 2018 2018/12/26 CONFIDENTIAL

Purpose The purpose of the presentation is to update the Portfolio Committee on preparations made for payment of social grants as from 1 April 2018 2018/12/26 CONFIDENTIAL

Electronic payments SASSA has continued with the direct transfers into the personal bank accounts of beneficiaries The file was extracted on 22 March 2018 and sent to Bankserv 2018/12/26 CONFIDENTIAL

Payments using SASSA card in NPS Payment file extracted 23 March 2018 – total of 5 492 039 records Negotiations undertaken to send file directly to Grindrod Bank, for direct deposits into the SASSA card account Approval obtained from SARB for bilateral clearing as exception for funds to flow directly from SASSA PMG account to Grindrod for period of 3 months, while these records are taken onto direct transfer file Funds to be released on 27 March 2018 Funds available to beneficiaries as from 1 April 2018 in all NPS channels – bank ATM’s; merchant POS devices Beneficiaries will be responsible for all costs, as accounts are no longer subsidised through transaction costs previously paid by SASSA – this includes an account maintenance cost 2018/12/26 CONFIDENTIAL

Payments at cash pay points Constitutional Court on 23 March 2018 granted a 6 month period for the cash payments. Cash payments will be done by CPS during this period Cash payment tender closed on 12 March 2018 and evaluation underway Possible legal challenge coming from G4S – letter received from their attorneys on Friday Serious consideration to be given to future of cash payments in light of the above, which will delay the appointment of any new service provider 2018/12/26 CONFIDENTIAL

Biometric Enrolment Biometric enrolment successfully tested at 4 pilot sites on 22 March 2018 Manguze : KwaZulu-Natal Mount Fletcher : Eastern Cape Tonga : Mpumalanga Worcester : Western Cape System involves immediate verification of identity to Home Affairs, prior to screening for application Application proceeds as normal Full biometric enrolment done as part of application process Biometric information provided to SAPO to onboard, once new SASSA card is ready (mid-April) 2018/12/26 CONFIDENTIAL

Support services SASSA has organised that the call centre (0800 60 10 11) will be open on 1 and 2 April (both public holidays) Socpen will be available for enquiry purposes SASSA staff will be visible on 1 and 2 April at the major merchants and ATMs to assist with any queries which may arise List of major merchants per province identified Additional staff will be at all pay points as from 3 April to assist with whatever is required 2018/12/26 CONFIDENTIAL

Conclusion It is recommended that the Portfolio Committee note the plans in pace to ensure payment of social grants on 1 April 2018 : 2018/12/26 CONFIDENTIAL

Thank you 2018/12/26 CONFIDENTIAL