The South African Post Office has rolled out new point-of-sale hardware and EMV-compliant payment terminals across 610 priority branches nationwide, replacing equipment that had reached the end of its operational life. EMV is the chip-based card payment standard developed by Europay, Mastercard and Visa that underpins secure chip-and-PIN and contactless transactions across most modern retail and banking environments.
The upgrade follows a pilot at 40 Gauteng branches where the new system has been running since 28 May. SAPO expects to complete the nationwide rollout by the end of September, covering all nine provinces and every branch that offers motor vehicle licence renewal services.
The new terminals support chip-and-PIN transactions, contactless tap payments and payments through supported smartphone digital wallets, alongside existing cash payment options. The platform handles payments for traffic fines, motor vehicle licence renewals, postal services and municipal accounts. New POS software was also deployed alongside the hardware replacement.
Acting CEO Fathima Gany described what the upgrade is meant to accomplish for customers and for the organization's longer-term position:
"By upgrading our payment platform with industry-standard EMV technology, modern software and new hardware, we are enhancing payment security, improving service reliability and providing customers with a payment experience that meets today's expectations. It also creates a stronger technology foundation that will support SAPO's continued transformation in the years ahead."
The payment platform upgrade takes place while SAPO is preparing to exit business rescue. The state-owned entity, which falls under the Department of Communications and Digital Technologies, was placed under supervision and business rescue in 2023 after its liabilities reached approximately R12.5 billion as of 31 July of that year.
Business rescue practitioners announced last month that they had asked the High Court to terminate the proceedings. The practitioners also noted that government did not provide R3.8 billion that had been earmarked for IT upgrades, broadband capabilities and digital services, leaving SAPO's broader digital modernisation program dependent on the shareholder and new board going forward.
