Tekoa Consulting Engineers (Pty) Ltd v Alfred Nzo District Municipality and Others (1284/2021) [2022] ZAECMKHC 59 (6 September 2022)

Tekoa Consulting Engineers (Pty) Ltd v Alfred Nzo District Municipality and Others (1284/2021) [2022] ZAECMKHC 59 (6 September 2022)

The court found that the tender process was unlawful due to the improper application of the preference point system and that the applicant's disqualification was not justified. The specifications did not clearly require CIDB registration as a mandatory condition, and the applicant's bid was therefore acceptable. The...

Source-derived case information.

Citation
[2022] ZAECMKHC 59
Parties
Applicant: Tekoa Consulting Engineers (Pty) Ltd; Respondent: Alfred Nzo District Municipality; Respondent: The Municipal Manager: Alfred Nzo District Municipality; Respondent: Zinzame Consulting Engineers / Cycle Projects / Ubuntu Bam JV; Respondent: Emlanjeni JV; Respondent: Olon Consulting Engineers JV IPM Plant Hire; Respondent: BM Infrastructure JV Magnacorp
Court
Eastern Cape High Court, Makhanda
Jurisdiction
South Africa
Judgment Date
6 September 2022
Case Number
1284/2021
Procedural Posture
Leave to Appeal / Application for Leave to Appeal Following Judgment on Tender Review
Outcome
Application for leave to appeal dismissed; costs awarded against respondents jointly and severally.
Judges
Laing
Legal Topics
Tender Review, Promotion of Administrative Justice Act, Preferential Procurement Policy Framework Act, Unreasonable Delay, Acceptable Tender, Costs Order
Administrative Law Civil Procedure Tender Review Promotion of Administrative Justice Act Preferential Procurement Policy Framework Act Unreasonable Delay Acceptable Tender Costs Order

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Parties

Tekoa Consulting Engineers (Pty) Ltd

Applicant

Alfred Nzo District Municipality

Respondent

The Municipal Manager: Alfred Nzo District Municipality

Respondent

Zinzame Consulting Engineers / Cycle Projects / Ubuntu Bam JV

Respondent

Emlanjeni JV

Respondent

Olon Consulting Engineers JV IPM Plant Hire

Respondent

BM Infrastructure JV Magnacorp

Respondent

Procedural Posture

Leave to Appeal / Application for Leave to Appeal Following Judgment on Tender Review

Legal Issues

  1. 1 Whether the applicant was entitled to be appointed to the panel of service providers for WSIG funded projects.
  2. 2 Whether the tender process and the disqualification of the applicant's bid were lawful.
  3. 3 Whether the applicant's failure to submit proof of CIDB registration rendered its bid unacceptable.

Ratio Decidendi

The court found that the tender process was unlawful due to the improper application of the preference point system and that the applicant's disqualification was not justified. The specifications did not clearly require CIDB registration as a mandatory condition, and the applicant's bid was therefore acceptable. The review proceedings were instituted within the prescribed period, and the grounds for leave to appeal did not raise any reasonable prospects of success. The court stood by its previous findings and relief granted, dismissing the application for leave to appeal and awarding costs against the respondents.

Court Disposition

Application for leave to appeal dismissed; costs awarded against respondents jointly and severally.

Orders

  • The application for leave to appeal is dismissed.
  • The respondents are liable for the costs of the application, jointly and severally.