Corporate & Commercial Law News South Africa

High Court rules against SATRP and Bridgestone

The Minister of Water and Environmental Affairs, Edna Molewa and the Director-General of Environmental Affairs, Nosipho Ngcaba have welcomed the decision of the North Gauteng High Court in Pretoria to dismiss with costs the application brought by the South African Tyre Recycling Process Company NPC (SATRP) and Bridgestone South Africa (Pty) Ltd. The matter was heard on 11 September 2012 and judgement was delivered on 17 September.
High Court rules against SATRP and Bridgestone

The minister, director-general and the Recycling and Economic Development Initiative of South Africa NPC (REDISA) were served with a notice of motion on Thursday, 30 August 2012 by SATRP and Bridgestone.

Seeking an interdict

The applicants had served an urgent application in which they sought an urgent interdict and a declaratory order to the effect that they should not be compelled to subscribe to the REDISA Integrated Industry Waste Tyre Management Plan (IIWTMP) pending the minister's approval or otherwise of the IIWTMP submitted by SATRP.

In terms of the regulations published under Section 24B of the Environment Conservation Act, a tyre producer has to comply with the integrated industry waste tyre management plan immediately on receiving the minister's approval, or comply within 60 days with an existing integrated industry waste tyre management plan approved by the Minister (i.e. 60 days after 23 July being before or on 21 September 2012).

Failed to submit plan

Acting High Court Judge, PC van der Byl ruled that the SATRP had failed to prepare and submit an integrated industry waste tyre management plan within the 60 day period envisaged in Regulation 6(3)(a). After the rejection of its plan on 15 November 2011 SATRP re-submitted its amended integrated industry waste tyre management plan almost eight months later and seven days after publication of the REDISA plan. The Judge ruled that SATRP subscribers were therefore left with no option but to register with the approved integrated industry waste tyre management plan of REDISA.

The Judge indicated that he was of the view that the interpretation to be assigned to the regulations is that any tyre producer that has no integrated industry waste tyre management plan approved by the Minister of Water and Environmental Affairs or does not belong to an existing integrated waste tyre management plan, will as from 21 September 2012 not be entitled to manufacture, import new, part worn, retreadable casings or vehicles fitted with tyres or, distribute or sell new, part worn or retreaded tyres and will be subject to sanctions provided in the regulations and other applicable legislative provisions.

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