MEC for Agriculture, Conservation, Environment & Land Affairs v Sasol Oil (Pty) Ltd and Another

Sasol Oil (Pty) Ltd and Bright Sun Developments CC proposed constructing a filling station and convenience store on a property in Gauteng. As required by section 22(1) of the Environment Conservation Act 73 of 1989 (ECA), Bright Sun applied to the Gauteng Department of Agriculture, Conservation, Environment and Land Affairs for environmental authorisation. The application was supported by a scoping report. The Department refused authorisation, relying largely on departmental policy guidelines which discouraged new filling stations within certain distances of existing stations and residential areas. The MEC dismissed an internal appeal. Sasol and Bright Sun then approached the Johannesburg High Court seeking to declare the guidelines ultra vires, alternatively to review and set aside the decisions. The High Court refused declaratory relief but reviewed and set aside the administrative decisions. The MEC appealed to the Supreme Court of Appeal, and the respondents cross-appealed.

The appeal by the MEC was upheld and the cross-appeal dismissed. The High Court’s order reviewing and setting aside the decisions of the Department and the MEC was overturned. The refusal of environmental authorisation for the filling station stood.

The case clarifies the scope of environmental authorisation under the ECA, confirming that filling stations fall within 'storage' and 'handling' facilities for hazardous substances. It affirms a purposive, constitutionally informed interpretation of environmental legislation and endorses the lawful use of policy guidelines in administrative decision-making. It also provides important guidance on the interaction between internal appeals and judicial review time periods under the ECA.