Government departments commended for timeous payment of supplier invoice

Public Service Commission (PSC) Commissioner, Anele Gxoyiya, has commended government departments that are complying with the legislation of paying suppliers timeously.

“Departments that consistently comply with this legislation are commended and encouraged to continue and maintain this performance and pay all legitimate invoices from suppliers timeously or within 30 days as required by the Public Finance Management Act and its related prescripts,” Gxoyiya said.

Addressing the media in Pretoria earlier today, Gxoyiya highlighted that as of the end of the third quarter of the 2024/25 financial year, 38 153 invoices, amounting to approximately R1 billion, were paid by the national departments after 30 days.

However, 4 993 invoices valued at about R442 million, remained unpaid by the departments, beyond the 30-day period.

Gxoyiya said the Department of Defence reported the highest number of invoices paid after 30 days during the third quarter with 30 355 invoices amounting to over R456 million.

“This department was also the highest during the first and second quarters with an average of 61% and 80% respectively of the total number of invoices paid after 30 days by national departments,” Gxoyiya said.

“The most common reasons provided by departments for the late and/or non-payment of invoices vary from misfiled, misplaced or unrecorded invoices to internal control deficiencies,” he said.

Gxoyiya said a total of 76 154 invoices amounting to over R8 billion were paid after 30 days and a total of 94 914 invoices older than 30 days not paid with the rand value of over R12 billion.

“The non-payment of invoices within 30 days remains a concern to the PSC as it is a contravention of the Public Finance Management Act. 

“The PSC will further engage the Office of the Auditor-General on mechanisms to ensure consequence management against Accounting Officers who fail to pay service providers within 30 days upon receipt of an invoice particularly where queries are concerned,” he said.

The National Treasury is continuously assisting suppliers with queries on non-payment of invoices through a dedicated central email address (30daysqueries@treasury.gov.za) by following up with transgressing institutions and providing feedback to suppliers with reasons for the late or non-payment of invoices, and possible date for the payment or any other resolution.

The National Treasury is encouraged to engage with service providers on various platforms to raise awareness of the dedicated queries communication platform so that more queries can come to the fore and receive attention. – SAnews.gov.za  

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