The South African Social Security Agency (SASSA) is set to issue a new tender for the disbursement of social grants, in line with a Constitutional Court ruling handed down in April, the Sunday Times reports.
Net1 subsidiary Cash Paymaster Services has handled SASSA's grant payments in a R10 billion deal since January 2012, but the arrangement was ruled as "unlawful" in December, with the court later ordering the agency to initiate a new tender process.
The paper quotes SASSA spokesperson Kgomoco Diseko, who says finalising a new tender process could take up to a year. The report adds that court documents submitted by SASSA on Friday show how the agency would manage a tender process.
The Sunday Times says a bid-specification committee will have two months to compile tender specifications, while advertising it and briefing bidders could take around three months.
Net1 issued a statement on Friday, saying it had been reimbursed R275 million for extra costs it incurred implementing the payment process in 2012 and last year.
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