Case Law[2024] ZAWCHC 284South Africa
Compregen (Pty) Ltd v Lezmin 2021 (Pty) Ltd and Others (866/2023) [2024] ZAWCHC 284 (27 September 2024)
Judgment
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# South Africa: Western Cape High Court, Cape Town
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## Compregen (Pty) Ltd v Lezmin 2021 (Pty) Ltd and Others (866/2023) [2024] ZAWCHC 284 (27 September 2024)
Compregen (Pty) Ltd v Lezmin 2021 (Pty) Ltd and Others (866/2023) [2024] ZAWCHC 284 (27 September 2024)
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sino date 27 September 2024
IN
THE HIGH COURT OF SOUTH AFRICA
(EASTERN CIRCUIT LOCAL
DIVISION, THEMBALETHU)
CASE
NO: 866/2023
In
the matter between
COMPREGEN
(PTY) LTD
APPLICANT
AND
LEZMIN
2021 (PTY) LTD
1
st
RESPONDENT
GEORGE
LOCAL MUNICIPALITY
2
nd
RESPONDENT
THE
MINISTER OF MINERALS AND RESOURCES
3
rd
RESPONDENT
THE
MINISTER OF FORESTRY, FISHERIES AND
ENVIRONMENT
4
th
RESPONDENT
THE
MINISTER OF WATER AND SANITATION
5
th
RESPODENT
THE
MINISTER OF LOCAL GOVERNMENT,
ENVIRONMENTAL
AFFAIRS AND DEVELOPMENT
PLANNING,
6
th
RESPONDENT
THE
MEC, DEPARTMENT OF LOCAL GOVERNMENT,
ENVIRONMENTAL
AFFAIRS AND DEVELOPMENT
PLANNING,
WESTERN CAPE
7
th
RESPONDENT
Date
of Hearing:
12 June 2024
Date of
Judgment:
27 September 2024 (to be delivered
via email to the respective
counsel)
JUDGMENT
THULARE
J
[1] This is an opposed
application where the applicant sought to declare mining activities
conducted by the first respondent (Lezmin)
unlawful and to prohibit
Lezmin from conducting the mining activities conducted on Portions 8
and 48 of the Farm Kraaibosch No.
195 (the properties) until the
properties are specifically zoned for mining and until Lezmin
obtained the necessary water use authorization
to conduct mining
activities on the properties. The applicant further sought that
Lezmin be prohibited from commencing with expansion
of its mining
activities on the properties under phase 4 and 5 thereof or to
continue with its mining operations on the properties
until and
unless authorization had been granted to it to do so in terms of
Western Cape Land Use Planning Act No. 3 of 2014 (LUPA)
and the Land
Use Planning By-Law for the George Municipality (2015) (LUPB) and
until and unless a lawful water use licence has
been granted to it in
terms of the National Water Act 36 of 1998 (NWA) and that pending the
outcome of the appeal and review proceedings
under reference number
WC 30/5/1/2/2/10114 NR Lezmin may not commence or continue with the
expansion of its mining activities under
phases 4 and 5 of its mining
operations on the properties.
[2] No relief was sought
against the second to seventh respondents save in the event of
opposition. They were cited as competent
authorities in terms of
statutory provisions which they regulated and controlled and in so
far as they may have an interest in
the alleged illegal conduct. At
the hearing of the application, Lezmin sought leave to file a further
affidavit and that certain
passages from the applicant’s
replying affidavit be struck out on the basis that they constituted
impermissible new matter
in reply. Lezmin also raised issue with
applicant’s impermissible reliance on hearsay evidence and
applied to strike out
all such matter from the founding affidavit.
Lezmin raised two threshold defences to the application. First, the
existence of material
disputes of fact which rendered application
proceedings inappropriate and precluded the applicant from obtaining
the relief it
sought. The disputes were in so far as Lezmin’s
use of the relevant properties where it conducted mining activities,
and
its water use on the properties. Secondly, the applicant’s
standing to seek the relief it did pursuant the alleged
contraventions
of the NWA and related legislation. Lezmin also
applied to strike out numerous passages in the applicant’s
founding papers.
[3] Lezmin conducted open
case mining activities at a granite quarry on the remainder of
portion 8 of the farm Kraaibosch measuring
40,9457 hectares and
portion 48 of the farm Sandkraal which was a portion of portion 13,
measuring 105, 7317 of the farms Kraaibosch
No 195 in George, Western
Cape. The applicant’s case was that during 1981 the initial
mining right was lawfully obtained
by way of a consent use granted by
the then Divisional Council of the Municipality to mine on 0.8
hectares of the properties. Since
then, the mining activities had
been unlawfully extended to more than 20 hectares. No land use
application to extend the mining
area were submitted to the
Municipality. The area currently being mined extended beyond the
consent use which was granted. Lezmin’s
mining activities on
the properties could not take place until the properties had been
specifically zoned for mining and a zoning
determination was done
under Special Planning and Land Use Management Act 16 of 2013
(SPLUMA) read with LUPA and LUPB. As the properties
were not properly
zoned and/or the zoning had not been determined, Lezmin did not have
the necessary water use authorization as
envisaged in the NWA to
conduct lawful mining activities on the properties. According to the
applicant, Lezmin did not have (1)
authorization to use water as
envisaged in schedule 1 of the NWA, (2) the General Authorisation
(the GA) to use water without a
licence as envisaged in section 39 of
the NWA, (3) an Existing Lawful Water Use (ELU) and a (4) Water Use
Licence (WUL) as envisaged
in section 22(1)(b) of the NWA. Without
the necessary authorization to use water Lezmin;s mining activities
on the properties was
unlawful. Under the circumstances and due to
its illegal conduct Lezmin must be prohibited from continuing with
its mining operations
until and unless authorization had been granted
for such properties to be used for mining and a water use
authorization had been
granted in terms of the NWA for the conducting
of mining activities on the properties.
APPLICATION
TO STRIKE OUT
[4]
Lezmin brought two applications to strike out. The first related to
numerous passages in the applicant’s founding affidavit
and the
basis for the strike out is hearsay evidence. The second related to
numerous passages in the applicant’s replying
affidavit and the
basis is impermissible new facts raised in reply. As regards the
first, it is common cause that the application
was premised on a
report obtained from the Municipality which related to Lezmin’s
application to expand its mining activities.
The report was compiled
by the Deputy Director: Town Planning and Environmental Management in
the Human Settlements, Planning and
Development of the Municipality,
Ms D Power (Power) in response to Lezmin’s application for
expansion of mining licence on
the remainder of Portion 8 and Portion
48 of the Farm Kraaibosch 195. The report was annexed as FA2 to the
applicant’s founding
affidavit deposed to by the applicant’s
Head of Development (HD). HD relied on the report to advance
applicant’s case.
The case was that the consent use granted for
the mining right on the property in 1981 was 0.8 ha and that the
mining activities
had been unlawfully extended to more than 20 ha.
The area currently being mined extends beyond the 0.8 ha and
therefore it constituted
unlawful use and Lezmin does not have the
water use authorization as envisaged in section 2 of the NWA to
conduct mining activities.
At the time when the 1981 consent use was
granted no zoning or town planning scheme existed in the municipal
area where the properties
were situated. On application of LUPO
council did not determine the entire property to have mining rights,
except the permitted
area of 0.8 ha. During 1986 the remainder of the
properties were zoned agriculture zone 1 due to the farming
activities conducted
on the property and no zoning determination was
carried out at the time. Only 0.08 ha was zoned in accordance with
the utilization
thereof. Lezmin’s mining activities extended to
more than 20 ha over the properties and therefore well outside the
mining
right granted. No land use application was submitted since the
implementation of LUPO on 1 July 1986 to expand the mining area.
Any
mining activity conducted over 0,8 ha constituted unlawful land use
and Lezmin should be prohibited from continuing and/or
extending its
mining operations on the properties until and unless it had obtained
the necessary authorization in terms of the
relevant statutory
provisions to use the properties for mining. Applications to rezone
the properties were approved but the rezoning
lapsed due to the
zoning not utilized and/or implemented in accordance with the
relevant approval. In 2022 Lezmin successfully
applied to extend its
mining activities on the properties. The applicant lodged an appeal
which was opposed. The appeal suspended
the proposed extension and
the parties were awaiting the outcome of the appeal. If the appeal
was not successful in respect of
the 0.8 ha any further mining
activities on the properties was in any event unlawful.
[5] The applicant also
relied on email correspondence between Ms Erasmus (Erasmus), an
environmental consultant appointed by the
applicant to assist it with
its development on the properties and Ms Sibonelo Ndlovu (Ndlovu), a
water use officer in the employ
of the Breede-Gouritz Catchment
Management Agency (BGCMA). Erasmus enquired from inter alia Ndlovu
whether any lawful water uses
or authorized water uses such as a
General Authorisation to use water (GA) or an Existing Lawful Water
Use (ELU) on the properties.
Ndlovu’s response was that there
was no GA or ELU or Water Use Licence (WUL) for the properties.
Ndlovu said there was a
water use registration in respect of the
remainder of Portion 8 of the farm Kraaibosch no. 195. Ndlovu
attached some documents
confirming that a water use had been
registered but not authorized. Ndlovu also indicated that a
registration certificate merely
confirmed that a water use was
registered and not that there was an application for water use and/or
an approval to lawfully use
water. The email correspondence was
attached as FA4 to applicant’s affidavit. The properties were
situated in a medium, long-term
urban growth area and by implication
the mining operations conflicted with and did not support the
Municipality’s long-term
spatial vision for the George,
Kraaibosch and Victory Bay areas. The area to the East and Sout East
of the current mining footprint
was denoted as ‘critical
biodiversity areas and green corridors and updated data from the
Western Cape Provincial Government
confirmed the existence of
critically of critically endangered species in the area and that a
significant amount of biodiversity
had already been compromised. The
Municipality also recognized that the blasting taking place on the
site has been problematic
and disrupts the occupiers of the next-door
development and the wildlife in the area. Residents have complained
to their infrastructure
and buildings being damaged due to unlawful
mining activities by Lezmin. Lezmin asked the court to strike these
portions from the
founding affidavit as its constituted impermissible
and inadmissible hearsay.
[6]
The applicant did not formally oppose Lezmin’s application to
strike out nor has it formally applied for any specific
hearsay
evidence to be allowed by the court. Nowhere in the founding
affidavit did the applicant even attempt to make out a case
for the
hearsay evidence upon which it relied, to be admitted by the court.
The applicant’s cause of action in respect of
the land use
question was exclusively based upon written facts that depended upon
the credibility of someone other than HD, the
deponent to its
affidavit. Power was an official of the Municipality. The evidence
was not only hearsay, but related to matters
spanning decades, in
respect of which Power had no direct knowledge and importantly,
related to what the land use was at the quarry
on 1 July 1986, some
36 years ago. The applicant tendered no evidence whatsoever in its
founding affidavit addressing the constituent
factors of section
36(1)(c) of the Law of Evidence Amendment Act, No. 45 of 1988 (the
Hearsay Act). The applicant did not apply,
in which application it
dealt with the factors that the court had to consider and as a result
Lezmin did not have the opportunity
nor was it called upon to answer
to whatever factors the applicant wished to rely on to convince the
court to exercise its discretion
in favour of the applicant and admit
the otherwise inadmissible evidence. The applicant did not file an
opposing affidavit in response
to the Lezmin’s application to
strike out. The applicant addressed the issue of hearsay raised by
Lezmin in reply. Lezmin
did not have the opportunity to respond to
the allegations made in reply. The applicant could not compel Power
to depose to an
affidavit for purposes of this application. Faced
with this difficulty, the applicant still pursued its relief by way
of application
and not action. The applicant had the option to pursue
relief by action, in which case it would have been able to subpoena
Power
or any witness to testify at court alternatively to produce
documents by way of subpoena
duces
decum
. The
applicant could not rely on another party it joined, the
Municipality, to advance the applicant’s own case to the
question
of the land use of the property. It is the applicant that
must make out its own case.
Hearsay
evidence.
[7]
Section 3 and 4 of the Hearsay Act provides:
“
3
Hearsay evidence
1.
Subject to the provisions of
any other law, hearsay evidence shall not be admitted as evidence at
criminal or civil proceedings,
unless-
(a)
each
party against whom the evidence is to be adduced agrees to the
admission thereof as evidence at such proceedings;
(b)
the
person upon whose credibility the probative value of such evidence
depends, himself testifies at such proceedings; or
(c)
the
court, having regard to-
(i)
the
nature of the proceedings;
(ii)
the
nature of the evidence;
(iii)
the
purpose for which the evidence is tendered;
(iv)
the
probative value of the evidence;
(v)
the
reason why the evidence is not given by the person upon whose
credibility the probative value of such evidence depends;
(vi)
any
prejudice to a party which the admission of such evidence might
entail; and
(vii)
any
other factor which should in the opinion of the court be taken into
account,
is of
the opinion that such evidence should be admitted in the interests of
justice.
(2)
The provisions of subsection (1) shall not render admissible any
evidence which is inadmissible on any ground other than that
such
evidence is hearsay evidence.
(3)
Hearsay
evidence may be provisionally admitted in terms of subsection
(1)
(b)
if
the court is informed that the person upon whose credibility the
probative value of such evidence depends, will himself
testify in
such proceedings: Provided that if such person does not later testify
in such proceedings, the hearsay evidence shall
be left out of
account unless the hearsay evidence is admitted in terms of
paragraph
(a)
of
subsection (1) or is admitted by the court in terms of
paragraph
(c)
of
that subsection.
(4)
For
the purposes of this section-
'hearsay
evidence'
means
evidence, whether oral or in writing, the probative value of which
depends upon the credibility of any person other than the
person
giving such evidence;”
In
Makhathini v Road
Accident Dund
2002
(1) SA 511
(SCA) at para 27 and 28 it was said:
“
[27]
The purpose of the Act is to allow the admission of hearsay evidence
in circumstances where justice dictates its reception. In
Metedad
v National Employers' General Insurance Co Ltd
1992
(1) SA 494
(W)
it
was stated as follows at 498I - 499G:
'It
seems to me that the purpose of the amendment was to permit hearsay
evidence in certain circumstances where the application
of rigid and
somewhat archaic principles might frustrate the interests of
justice. The exclusion of the hearsay statement
of an
otherwise reliable person whose testimony cannot be obtained
might be a far greater injustice than any uncertainty
which may
result from its admission. Moreover, the fact that the statement is
untested by cross-examination is a factor to be taken
into account in
assessing its probative value. . . . There is no principle to be
extracted from the Act that it is to be applied
only sparingly. On
the contrary, the Court is bound to apply it when so required by the
interests of justice.'
In
each case the factors set out in s 3(1)
(c)
are
to be considered in the light of the facts of the case. The weight to
be accorded to such evidence, once it is admitted,
in the assessment
of the totality of the evidence adduced, is a distinct question.
[28]
The factors set out in s 3(1)
(c)
(i)
- (vii) should not be considered in isolation. One should approach
the application of s 3(1)
(c)
on
the basis that these factors are interrelated and that they overlap.
See
Hewan
v Kourie NO and Another
1993
(3) SA 233
(T)
at
239B - C and Schmidt and Rademeyer's
Bewysreg
(supra
at
481) where the learned authors state:
'Soos
reeds uit die voorafgaande bespreking van die afsonderlike faktore
sou blyk, behoort 'n hof nie die faktore onafhanklik, en
sonder
inagneming van die ander, in ag te neem nie. Die afsonderlike faktore
hou tot 'n hoë mate op verskillende vlakke met
mekaar verband,
en elkeen kan gevolglik net effektief in aanmerking geneem word
indien die hof, in die oorwegingsproses, die impak
en invloed van die
ander ook in die weegskaal plaas.'
[8]
The evidence of Power, Erasmus and Ndlovu is hearsay as defined in
section 3(4). Lezmin did not agree to the admission of such
evidence
as envisaged in section 3(1)(a). Power, Erasmus and Ndlovu did not
provide affidavits for the application to allow the
admission of the
hearsay evidence as envisaged in section 3(1(b). The evidence can
only be allowed if the court allowed it as envisaged
in section
3(1)(c). A party in application proceedings should not be ambushed by
the admission of hearsay evidence at the hearing
of the matter. Where
a party in application proceedings sought to rely on hearsay
evidence, the other party must, from the papers,
learn clearly and
timeously that the court will be asked to consider and rule on the
admission of such hearsay as envisaged in
section 3(1)(c) of the
Hearsay Act. It is unfair for the other party, for one party to seek
for the first time in argument to build
up a case for admission of
hearsay evidence in argument. In its founding papers, the party
seeking to rely on hearsay evidence
should clearly signal to the
other its intention to invoke the provisions of the Hearsay Act to
enable the other party to appreciate
the full evidentiary ambit it is
required to traverse in answering the case. In
Giesecke
& Devrient Southern Africa (Pty) Ltd v Minister of Safety and
Security
2012 (2)
SA 137
(SCA) at para 24 it was said:
[24]
“… Stated somewhat differently, in order to decide
whether the plaintiff has made out a case to answer,
a
defendant is entitled to know the constituent elements of that
case.”
The other party must be
called upon and must have the opportunity to answer whatever factors
that the party seeking to rely on hearsay
evidence puts forward in
its founding papers. The other party must have sufficient
particularity and opportunity to respond to
the allegations and
factors to properly answer so as to assist the court in consideration
of its discretion on the admissibility
of the hearsay evidence in
respect of the hearsay evidence. It is insufficient, in application
proceedings, only at argument, to
rely on the bald reference to the
court’s discretion to admit hearsay evidence. The nature of the
proceedings, under the
circumstances, militates against admission. It
is worth noting that the applicant elected to pursue relief by way of
application,
an election in which the applicant did not favour action
proceedings which would have allowed the applicant to subpoena
relevant
witnesses including calling upon them to produce documents
under subpoena.
[9] As regards the nature
of the evidence (section 3(1)(c)(ii), what is required was said to be
the characterization of the evidence
sought to be introduced
[
Makhathini's
at 523A;
Maize Board v Hart
2005
(5) SA 480
(O) at 488 (B)]. Except for her office in the
Municipality, nothing much is known about Power from the papers. It
is even unknown
whether she derives information from documents which
were in her lawful custody. It seems that she was neither the author,
signatory
nor attesting witness to the documents she relied upon.
Most importantly, the applicant sought to rely on Power’s
opinions
which seems to be based on some historical documents. Her
opinions are challenged by Lezmin and that dispute was the very
reason
for the application. It has always been within the applicant’s
knowledge that Lezmin did not accept Power’s opinion
on the
land use. The applicant knew that for it to succeed, Power’s
opinion was to be accepted by the court as a correct
reflection of
the position. Acceptance of the opinion of Power on land use would
amount to an undeserved crucial and advantageous
position for the
applicant and an undue evidential disadvantage to Lezmin. Similarly,
Erasmus and Ndlovu’s opinions, where
contested, must be fairly
considered. A dispute needs to be properly resolved through deserved
advantages and due disadvantages.
The interests of justice do not
permit admission on the evidence of this nature under the
circumstances.
[10]
In respect of the purpose for which the evidence is tendered, it was
said in
Metedad v
National Empoyers General Insurance Co Ltd
1992
(1) SA 494
(W) at 498D:
“
The
fact that the Court is required to have regard,
inter
alia
, to the
purpose for which the evidence is tendered in deciding whether or not
to exercise its discretion to allow hearsay evidence
under s
3(1)
(c)
(iii) of
the Act does not affect this decision. It means only that evidence
tendered for a compelling reason would stand a
better chance of
admission than evidence tendered for a doubtful or illegitimate
purpose.”
In the
circumstances of this case, and the issues dealt with, the applicant
should have realized that a serious dispute of fact
which was
incapable of resolution on the papers was bound to develop [
Adbro
Investment Co Ltd v Minister of the Interior
1956
(3) SA 354
AD at 350A]. From 349H to 35A it was said:
“
I
may add that where the facts are in dispute a Court has a discretion
as to the future course of the proceedings. It may dismiss
the
application with costs or order the parties to go to trial or order
oral evidence in terms of any Rule of Court. The first
course may be
adopted when the applicant should have realised when launching
his application that a serious dispute of fact
was bound to develop.
See
Room Hire
Co. (Pty.) Limited v Jeppe Street Mansions (Pty.) Limited
,
1949
(3) SA 1155
(T) at pp. 1162 and 1168.”
The
use of the land at the quarry for mining was ongoing for many
decades. The applicant has itself no direct knowledge of what
Lezmin’s water use was at the quarry. The applicant relied on
these material issues on persons who did not depose to affidavits.
There is an important date of 1 July 1986, a date on which the Land
Use Planning Ordinance Cape, 15 of 1985 (LUPO) commenced. Amongst
others, the issue between the parties was the interpretation of
section 14(1) of LUPO which provides:
“
With
effect from the date of commencement of this ordinance all land
referred to in section 8 shall be deemed to be zoned in accordance
with the utilization thereof, as determined by the council
concerned.”
The
Municipality took no action to what the applicant alleged to be
unlawful use of the land since 1986, 38 years before the applicant
issues its process. A hearsay untested opinion that Lezmin utilized
the land without appropriate zoning does not merit admission
in the
circumstances. Furthermore, where the applicant acknowledged that no
water use for Lezmin have been determined and that
the authorization
process for Lezmin’s water use has yet to be confirmed, hearsay
untested opinions cannot be admitted with
the purpose of constituting
a proper cause of action. The evidence may still be found useful if
it is properly placed before the
court, but I am reluctant to admit
untested hearsay opinions to be used against a party who puts such
opinions in contest. In
Makhathini
at para 32 it was
said in respect of the probative value of the evidence:
“
[32]
Section 3(1)
(c)
(iv)
requires that the probative value of the evidence be considered.
Evidence sought to be introduced in terms of s 3(1)
(c)
may
be such that its probative value, even at first blush, is minimal and
in those circumstances the enquiry will end there.
Questions of
relevance and reliability arise in the application of this
subsection: see
S
v Ramavhale (supra
at
649
e
-
650
a)
.”
An
untested opinion based on resources not placed before the court,
where the facts upon which the opinions are based are contested
and
not settled, and the qualification of the person giving the opinion
remained unclear, have minimal probative value. Dealing
with
prejudice as envisaged in section 3(1)(c)(v) at para 32 in
Giesecke
it was said that:
[32] …
The respondent's prejudice lies in the fact that he will be deprived
of the opportunity to test this evidence through
cross-examination,
which is undoubtedly a real disadvantage.”
[11]
I am unable to find any other factor on which to exercise my
discretion to admit the hearsay evidence of Power, Erasmus and
Ndlovu. The applicant should have addressed the constituent factors
of section 36(1)(c) upon which it sought to rely in its founding
affidavit, or by way of a distinct application supported by a
founding affidavit dealing therewith. In this way, Lenmin would have
had an opportunity to fully deal with the factors as relied upon by
the applicant in its answer. This is what fairness and justice
demands for a court to arrive at an informed decision on the question
of the admission of hearsay evidence. The applicant’s
case in
its founding affidavit is exclusively premised on hearsay evidence in
respect of which no case is made out for its admission.
I am
persuaded that the application to strike out hearsay evidence should
be granted.
Impermissible
new matter in reply.
[12] The respondent also
asked the court to strike out impermissible new matter from
applicant’s replying affidavit wherein
the applicant made
various allegations. The applicant therein alleged that contrary to
Lezmin’s Basic Assessment Report (BAR)
(RA2 in the papers),
Lezmin admitted that it did not have a WUL to use water for its
mining operations. The further allegations
related to the rainfall
which ran down the stockpile and ultimately accumulated in the mining
pit, which water was then being used
for dust suppression on haul
roads, on the plant and in the washing plant which triggered certain
provisions of the NWA inter alia
storage water (section 21(b),
discharging waste or water containing waste into a water resource
through a pipe, canal, sewer, sea
outfall or other conduit (section
21(f), disposing of waste in a manner which may detrimentally impact
on a water resource (section
21(g) and disposing in any manner of
water which contained waste from, or which has been heated in, any
industrial or power generation
process (section 21(h)). The BAR and
Environmental Management Plan Report described and depicted the dam
wall, settling pond system,
still water cut-off drains, silt
catchment pod and processing plants, water body, surface water and
its use. The case was that
the excavated mining pit in the BAR report
accumulated and/or retained water which would otherwise have flown
from the property,
which on all the available evidence was situated
on a typographically higher elevation than the remaining properties
and that this
water would otherwise have flown from the property to
the lower lying areas and was now accumulating in the pit. The
typography
of the land was changed by the excavation and impacted on
the normal flow of water. Lezmin had created an off-stream dam and
the
excavated area enabled Lezmin to collect water which would have
otherwise either been absorbed into the soil to supplement
underground
resources or would have reached one of the multiple
streams in the region and would have reached one of the surrounding
rivers.
[13]
The well-established rule was that an applicant must stand or fall by
its founding papers [
Director
of Hospital Services v Mistry
1979
(1) SA 626
(A)
at 635-636
in
fine
.]
The relief sought must be found in the evidence supported by the
facts set out in the founding affidavit [
Kleynhaans
v van der Westhuizen
NO
1970
(1) SA 565
(O)
at 568E
.]
There are exceptions to the rule [
Body
Corporate, Shaftesbury Sectional Title Scheme v Rippert's Estate and
Others
2003
(5) SA 1
(C)] and the court had a discretion to admit new evidence
[
Body
Corporate
at
6D-F;
Mostert
v First Rand Bank
2018
(4) SA 443
at para 13]]. In exercising the discretion, the Court
would ordinarily strike out new issues raised in a replying affidavit
if
the applicant knew or ought to have known of the existence of such
issues but failed for whatever reason to raise them in the founding
affidavit [
Bayat
and Others v Hansa and Another
1955
(3) SA 547
(N);
Dawood
V Mahomed
1979
(2) SA 361
(D);
Faber
v Nazerian
(2012/42735) [2013] ZAGPJHC 65 (15 April 2013) at para 24]. New
matter introduced by the applicant’s replying affidavit is
what
applicant knew or ought to have known at the time that it deposed to
the founding affidavit, and were thus known to the applicant
before
the applicant received the respondent’s answering papers. The
applicant knew that whether the Lezmin’s water
use fell within
the ambit of the NWA was still an open question. Allowing the new
evidence would be prejudicial to Lezmin as it
did not have the
opportunity to deal with it, unless the matter was postponed
affording it such opportunity. In the circumstances,
there is no
basis upon which the court should exercise its discretion in favour
of allowing the new evidence introduced by the
applicant in the
replying affidavit [
Faber
at
para 26]. In my view the applicant has not made the hurdle of a cause
of action. The applicant’s reliance on inadmissible
hearsay
evidence and impermissible new matter in reply is not allowed.
APPLICANT’S
LOCUS
STANDI
[14]
The applicant alleged that it has
locus
standi
as it was
the owner of the properties where Lezmin conducted mining activities.
It relied on a title deed of transferring ownership
to the applicant
dated 11 January 2023. According to the applicant the transfer was
not subject to any conditions which entitled
Lezmin to mine on the
properties. The applicant also relied on being an interested and
affected party that was directly affected
by the mining activities.
The applicant acknowledged that the facts upon which its application
was premised were obtained from
a report from the Municipality which
related to Lezmin’s application to expand its mining activities
and to Lezmin’s
alleged illegal activities. Lezmin did not
dispute applicant’s ownership of the properties with full
knowledge of the existence
of the ongoing mining activities. Lezmin’s
position was that it had the right to mine in terms of a renewal of
its mining
right dated 9 November 2021, granted in terms of section
24(3) of the Mineral and Petroleum Resources Development Act 28 of
2002
(the MPRDA) and that Lezmin’s right to mine the properties
in terms of such renewal was in respect of an area of 30, 0530
hectares on the properties where the quarry was situated and it
endured for a period of 30 years commencing on 1 October 2021.
There
was no attack on the validity of Lezmin’s mining right.
[15]
Lezmin submitted that in relation to the complaint regarding the
alleged contravention of the NWA, the applicant had no standing.
Its
argument was that water was a national resource which belonged to all
people and that the purpose of the NWA was to ensure
that water
resources were protected, used, developed, conserved, managed and
controlled in ways that took account amongst others
factors meeting
the basic human needs of present and future generations and that it
was manifestly legislation intended for the
benefit of all South
Africa’s people. The NWA was not enacted for the protection of
a particular class of persons. In
Makhanya NO v Goede Wellington
Boerdery (Pty) Ltd
2012 JDR 2323 (SCA);
[2013] 1 All SA 526
(SCA) at para 38 it was
said:
“
[38] The
preamble to the Act makes it clear that water is a natural resource
that belongs to all people and
that the discriminatory laws of the
past have prevented equal access to water and the use of water
resources. It makes it equally
clear that water in South Arica is
scarce. The preamble recognises that the ultimate aim of water
resource management is to achieve
the sustainable use of water for
the benefit of all users. It states that the 'protection of the
quality of water resources is
necessary to ensure sustainability of
the nation's water resources in the interests of all water users'.”
In the interest of all
water users the NWA moved water law from the domain of private law to
public law. In
Witzenberg Properties (Pty) Ltd v Bokveldskloof
Boerdery (Pty) Ltd and Another
2018 (6) SA 307
(WCC) at para 24
it was said:
“
[24]
Given that Witzenberg seeks interdictory relief in pursuit of its own
interests, the issue of legal standing is approached
in accordance
with the principles set out in
Patz
v Green & Co
read with
Roodepoort-Maraisburg
Town Council v Eastern Properties (Pty) Ltd
, which
were encapsulated E in
Laskey
and Another v Showzone CC and Others.
In essence these principles are:
[24.1] When
it appears that a statute was enacted in the interest of a particular
person or any class of persons,
a party who shows that he or she is
one of such class of persons, and seeks judicial F intervention
by way of
interdictory relief premised on the statute, is not
required to show harm as a result of a contravention of the statute,
such harm
being presumed.
[24.2] However,
when a statutory duty was imposed, not in the interest of a
particular person or a particular
class, but in the public
interest generally, the applicant must show that he or she has
sustained or apprehends actual harm
to obtain interdictory relief on
the ground of breach of the statute.
[25]
As Cameron J put it in
Giant
Concerts CC v Rinaldo Investments (Pty) Ltd and Others
:
'[33]
The separation of the merits from the question of standing has two
implications for the own-interest litigant. First, it signals
that
the nature of the interest that confers standing on the own-interest
litigant is insulated from the merits of the challenge
he or she
seeks to bring. An own-interest litigant does not acquire standing
from the invalidity of the challenged decision
or law, but from
the effect it will have on his or her interests or potential
interests. He or she has standing to bring the challenge
even if the
decision or law is in fact valid. But the interests that confer
standing to bring the challenge, and the impact the
decision or law
has on them, must be demonstrated.
[34] Second,
it means that an own-interest litigant may be denied standing even
though the result could be that an unlawful
decision stands. This is
not illogical. As the Supreme Court of Appeal pointed out, standing
determines solely whether this particular
litigant is entitled to
mount the challenge: a successful challenge to a public decision can
be brought only if the right remedy
is sought by the right person
in the right proceedings. To this observation one must add that the
interests of justice under
the Constitution may require courts to be
hesitant to dispose of cases on standing alone where broader concerns
of accountability
and responsiveness may require investigation and
determination of the merits. By corollary, there may be cases where
the interests
of justice or the public interest might compel a court
to scrutinise action even if the applicant's standing is
questionable.
When the public interest cries out for relief, an
applicant should not fail merely for acting in his or her own
interest.
[35]
Hence,
where a litigant acts solely in his or her own interest, there is no
broad or unqualified capacity to litigate against illegalities.
Something more must be shown
.'
[Emphasis supplied.]
[26] The
preamble to the NWA expressly recognises that
(a)
water
belongs 'to all people'; and
(b)
national
government has overall responsibility for and authority over the
nation's water resources and their use, including
the equitable
allocation of water for beneficial use.
[27]
Witzenberg cited the Minister as second respondent purely because she
has 'a substantial and direct interest in the subject
matter of these
proceedings and is accordingly a necessary party hereto'
.
Section
3 of the NWA stipulates that national government, acting through the
Minister, is the public trustee of the nation's
water resources. It
is clearly for this reason that the Minister is empowered, under part
3 (ss 32 – 35) of the NWA to determine,
where necessary, an
'existing lawful water use'.
In
Tavakoli and Another
v Bantry Hills (Pty) Ltd
2019
(3) SA 163
(SCA) at para 26 it was said:
“
[26]
The appellants were required to establish their locus standi in
their founding papers. The only founding allegations
concerning
standing are in para 21, where their deponent, Mr Tavakoli, said that
they had standing because they were entitled to
enforce the DMS
against the respondent and because their constitutional rights to
just administrative action had been infringed
by the approval of the
plans. The first of these grounds is a conclusion unsupported
by facts. The second, as the
JDJ
Properties
case
shows, does not relieve the appellants of the burden of establishing
their standing along conventional lines. With reference
to s 38 of
the Constitution, the appellants have not alleged that they are
acting in anyone's interests other than their own. The
sufficiency of
their own interest must be determined in accordance with the
principle emanating from
Patz
v Greene.
As
Cameron JA stated in
Giant
Concerts CC v Rinaldo Investments (Pty) Ltd and Others
2013
(3) BCLR 251
(SCA) ([2012] ZASCA 28), an 'own-interest litigant' does
not acquire standing from the invalidity of the challenged decision
but
from the effect it will have on his or her interests (para
33).”
In
Giant Concerts CC v
Rinaldo Investments (Pty) Ltd
2012 JDR 2298 (CC);
2013 (3) BCLR
251
(CC) at para 35 it was said:
“
[35] Hence,
where a litigant acts solely in his or her own interest, there is no
broad or unqualified capacity
to litigate against illegalities.
Something more must be shown.”
[16]
To establish locus standi the applicant had to show that it suffered
harm from a contravention of the NWA beyond that which
it may be
supposed all members of the public to. The applicant only had locus
standi in respect of the alleged breach of the NWA
if it showed that
it had suffered actual or apprehended harm or loss. The applicant
only relied on its ownership of the property
and did not allege and
prove that it had sustained or apprehended actual harm of the kind
required. When the applicant acquired
the properties Lezmin’s
mining activities were ongoing. The applicant had no standing to
pursue its case in respect of Lezmin’s
alleged use of water in
breach of the provisions of the NWA. No relief can accordingly be
granted to it as it had no standing to
be granted such relief.
RELIEF
[17] From the facts
before me, I am unable to declare Lezmin’s mining activities
conducted on portions 8 and 48 of the Farm
Kraaibosch No. 195
unlawful. I am unable to prohibit Lezmin from commencing with the
expansion of its mining activities on the
properties under phase 4
and 5 or to continue with its current mining operations on the
properties.
ORDER
[18]
For these reasons, I
make the following order:
The
application is dismissed with costs, such costs to include costs of
Senior Counsel on the scale C.
DM
THULARE
JUDGE
OF THE HIGH COURT
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