Transnet Soc Limited v Total South Africa (Pty) Ltd and Another (728/2015)
Transnet Soc Limited v Total South Africa (Pty) Ltd and Another (728/2015) [2016] ZASCA 116; 2017 (1) SA 526 (SCA) (14 September 2016)
The Supreme Court of Appeal held that the variation agreement of 1991, embodying the neutrality principle, remains binding on Transnet despite the change in legislative regime. The Petroleum Pipelines Act and NERSA Act do not abrogate the agreement, as NERSA sets maximum tariffs and permits discounting, allowing Transnet to comply with the neutrality principle. Failure to apply the principle would result in unfair discrimination against inland refinery shareholders, contrary to the non-discrimination provisions of the PPA. The court found no incompatibility between the contract and the releva…
Source excerpt
- Contract Enforceability
- Statutory Interpretation
- Tariff Regulation
- Non Discrimination
- Vested Rights