Maccsand (Pty) Ltd and Another v City of Cape Town and Others

Maccsand (Pty) Ltd obtained a mining right and a mining permit under the Minerals and Petroleum Resources Development Act 28 of 2002 (MPRDA) from the Minister of Mineral Resources to mine sand on two parcels of land (the Westridge and Rocklands dunes) in Mitchell’s Plain, Cape Town, both owned by the City of Cape Town and zoned as public open space or rural land under the Land Use Planning Ordinance 15 of 1985 (LUPO). Maccsand contended that the mining right and permit entitled it to commence mining without obtaining municipal land-use planning authorisations or environmental authorisations under the National Environmental Management Act 107 of 1998 (NEMA). The City disagreed and sought interdicts to prevent mining until LUPO and NEMA approvals were obtained. The High Court held that both LUPO and NEMA applied to mining operations. Maccsand and the Minister of Mineral Resources appealed to the Supreme Court of Appeal.

The appeal was upheld in part. Paragraphs 2, 3, 4.2 and 5 of the High Court’s order (relating to NEMA environmental authorisations) were set aside. The remainder of the order, requiring compliance with LUPO land-use planning authorisations before mining could proceed, effectively stood. Each party, including the amicus curiae, was ordered to bear its own costs.

This case is a leading authority on the relationship between mining rights and municipal planning powers in South Africa. It confirms that a mining right granted under the MPRDA does not override or substitute for municipal land-use planning approval. The judgment reinforces the constitutional autonomy of local government in matters of municipal planning and clarifies cooperative governance between spheres of government in resource development.