Question NW1107 to the Minister in the Presidency
09 May 2016 - NW1107
Lovemore, Ms AT to ask the Minister in the Presidency
With reference to the reply to question 68 on 4 April 2016, (a) how does his department monitor the payment of suppliers by government departments to ensure that payments are made within 30 days of receipt of goods or services, (b) what are the relevant details of the findings of the monitoring for the (i) 2013-14, (ii) 2014-15 and the (iii) 2015-16 financial years for each national and provincial department, entity or unit, (c) to whom are the findings reported and (d) what accountability mechanism is in place to ensure that there are consequences for non-compliance with the 30-day payment requirement?
Reply:
The Department of Planning, Monitoring and Evaluation (DPME) monitors payment of suppliers through (i) progress reports on the Medium Term Strategic Framework (MTSF) and reports to the Forum of South African Directors-General (FOSAD) Plan of Action. The DPME’s Management Performance Assessment Tool (MPAT) is also used to assess payment of suppliers. In addition, the DPME has established a unit dealing with the 30 days payment of suppliers which receives and investigates complaints of non-payment from suppliers to facilitate payment. To date, a total of R61 million has been paid to various suppliers as a direct result of DPME’s interventions.
The findings of Monitoring for National and Provincial departments are as follows:
|
National Departments |
Provincial Departments |
|
January-December 2014 149 926 invoices to the value of R3,7 billion were paid after 30 days
62 382 invoices to the value of R2,3 billion older than 30 days and were not paid |
January-December 2014 256 399 invoices to the value of R14 billion were paid after 30 days
374 564 invoices to the value of R22.9 billion, older than 30 days and were not paid |
|
January-December 2015 163 056 invoices to the value of R3.7 billion were paid after 30 days 64 232 invoices to the value of R4,7 billion, older than 30 days and were not paid |
January-December 2015 337 277 invoices to the value of R27 billion were paid after 30 days 454 903 invoices to the value of R36.8 billion, older than 30 days and were not paid |
|
January-February 2016 32 694 invoices to the value of the value of R856 million were paid after 30 days 16 629 invoices to the value of R1 billion, older than 30 days and were not paid |
January- February 2016 47 067 invoices to the value of the value of R3.7 billion were paid after 30 days 98 520 invoices to the value of R8.5 billion, older than 30 days and were not paid |
The Public Finance Management Act (PFMA) provides for consequences in the case where Accounting Officers are found to have been guilty of financial misconduct. The misconduct as defined in the PFMA includes failure by the Accounting Officers to carry out their responsibilities in terms of the Act. It is the responsibility of relevant departments to implement consequences for erring officials as provided for in the PFMA and other relevant legislations.