Court dismisses Mchunu’s bid to halt IPP operations at Clanwilliam Dam

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Judge rules the proceedings ‘were not properly authorised’.

A high court application by Minister of Water and Sanitation Senzo Mchunu to stop the operations of an independent power producer at Clanwilliam Dam has been dismissed with costs because of false testimony by the department’s chief director of engineering services.

Mchunu’s founding papers said this project requires the termination of the operations agreement with Clackson Power, which resulted in the DWS addressing correspondence to Clackson Power terminating the agreement effective from 28 February 2022. Clackson Power has a right to occupy the property and possess the land based on an agreement of servitude dated 31 March 1998, the contract of sale between it and the municipality dated 27 February 1998, the PPA dated 8 December 2011, and the operating agreement dated 17 April 2001;

Judge Joubert said “it is surprising, to say the least” that there was no attempt by Chaminuka in his replying affidavit to explain the false evidence given in his founding affidavit relating to his designation nor the purpose and effect of the general power of attorney and also no attempt at ratifying Chaminuka’s actions by an authorised official.

“It is accordingly neither necessary nor sensible to deal with the remaining issues raised in this case.”Judge Joubert said Chaminuka falsely testified that he is the Director-General of the DWS and, on that basis, alleged authority to institute the proceedings on Mchunu’s behalf. JSE-listed construction group Raubex lodged a high court application last year seeking an order compelling the DWS to provide reasons for the award of a tender for drilling and blasting for the Clanwilliam Dam foundation excavation and slope protection to a contractor whose bid price was a staggering R148.9 million more than its bid, the lowest and only other bid.

Source: Law Daily Report (lawdailyreport.net)

 

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