Education department owes service providers R600 million

Jacques Smalle (MPL)

DA Limpopo Provincial Leader

The DA was informed by Provincial Treasury that the Department of Education outstanding bill to service providers is more than R600 million.

It seems that there are no measures in place to pay service providers anytime soon.

This shocking statement was made during the last Education portfolio committee meeting.

This revelation is further evidence that the department’s financial affairs are still in shambles despite the intervention by national government.

The department’s accounting officers along with MEC Thembisile Nwedamutswu, have failed to monitor and assess the implementation of PFMA regulations and National treasury instruction note 34 which requires payments to be done within 30 days from receipt of an invoice.

Furthermore, Section 38 of the Public Finance Management Act (PFMA) require all the accounting officers to settle all contractual obligations and pay all monies owing.

Businesses are forced to close down largely due to financial constrains, whilst others are resorting to drastic measures such as retrenching employees.

The DA has already submitted written questions to the various departments to determine the extent of non payment to service providers and if corrective measures are in place.

The DA will continue to pursue all available avenues to ensure that service providers in the province are paid what is rightfully due to them.