‘In-house experts designed system’

The slow and problematic payment system that has delayed subsidy transfers to several non-profit organisations for months was designed by inhouse IT experts at the Department of Social Development.

The system has created havoc in the payment of subsidies, with some organisations still waiting for their money.

“The conceptualisation of the new system started in the last financial year,” Social Development spokesman Mzukisi Solani said.

He said there were change management workshops in all the districts and training for those using the system.

Solani said the new system was necessary as the department had to upgrade to the latest technology platforms.

“It was also necessary to align payments with the Public Finance Act and other national compliance requirements.”

There was also a need to improve the non-profit organisation reporting system.

“The new system includes reporting templates, checklist requirements and simplification of business plans, master list and allocation letters.

“The department developed the system using in-house expertise,” he said.

“We are almost finalising the last payments.”

The Nelson Mandela Bay metro and Joe Gqabi (Barkly East) districts were continuing to use the new system, he said.

Other district payments would continue on the old system for the second quarter and join the new system in the third quarter.

Maureen Andreka, of the Algoa Bay Council for the Aged, said they had received two out of five payments due.

Limeez Arends, of Port Elizabeth Mental Health, said they only received a nominal amount for some of their projects but no subsidies.