City of Cape Town v Aurecon South Africa (Pty) Ltd

The City of Cape Town awarded a tender to Aurecon South Africa (Pty) Ltd for project management services relating to the decommissioning of the Athlone Power Station. Aurecon had previously been involved in a pre-feasibility study and drafting a scope of work for the project. After the award, concerns were raised within the City about alleged irregularities and potential unfair advantage arising from Aurecon’s prior involvement. The City commissioned a forensic investigation, which reported alleged procurement irregularities. Approximately 532 days after the tender award, the City launched review proceedings under PAJA seeking to set aside its own decision and applied for condonation for non-compliance with the 180-day time limit. The High Court upheld the review, but the Supreme Court of Appeal overturned that decision, holding that the review was brought too late and that no proper case for condonation had been made. The City sought leave to appeal to the Constitutional Court.

Leave to appeal was refused, and the application was dismissed with costs, including the costs of two counsel.

The case is a leading authority on delay in judicial review under PAJA, particularly where an орган of state seeks to review its own administrative decision. It affirms that the 180-day period promotes legal certainty and finality, and that condonation is not automatic even in cases alleging serious irregularities in public procurement. The judgment underscores the high threshold for extending PAJA time limits and clarifies that late discovery of irregularities does not postpone the commencement of the 180-day period.