Case Law[2025] ZAGPJHC 660South Africa
Jaltech Africa Capital (Pty) Ltd and Others v Alleyroads Power (Pty) Ltd and Others (2025/091612) [2025] ZAGPJHC 660 (2 July 2025)
High Court of South Africa (Gauteng Division, Johannesburg)
2 July 2025
Headnotes
Summary: Urgent opposed application for relief to turn off and deactivate a power supply system - Applicant sells electricity to the first respondent who in turn sells electricity to the third respondent - Second respondent operates the system to be turned off for emergency repairs, normal maintenance - Interference with the safe operation of the system - Monies outstanding for electricity sold - Respondents interdicted from interfering or removing components from the system.
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Jaltech Africa Capital (Pty) Ltd and Others v Alleyroads Power (Pty) Ltd and Others (2025/091612) [2025] ZAGPJHC 660 (2 July 2025)
Jaltech Africa Capital (Pty) Ltd and Others v Alleyroads Power (Pty) Ltd and Others (2025/091612) [2025] ZAGPJHC 660 (2 July 2025)
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sino date 2 July 2025
IN THE HIGH COURT OF
SOUTH AFRICA
(GAUTENG DIVISION,
JOHANNESBURG)
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHER JUDGES: NO
(3)
REVISED.
CASE
NO:
2025-091612
In the matter between: -
JALTECH
AFRICA CAPITAL (PTY) LTD
First Applicant
(Reg No: 2015/006686/07)
JALTECH SP 1
PARTNERSHIP EN
COMMANDITE
Second Applicant
JALTECH SP SEPTEMBER
2023
PARTNERSHIP
EN
COMMANDITE
Third Applicant
and
ALLEYROADS
POWER (PTY) LTD
First Respondent
(Reg No: 2016/210715/07)
BLOCKPOWER
(PTY) LTD
Second Respondent
(Reg No: 2016/288505/07)
BRIDGE
CITY HOUSING CONSORTIUM (PTY) LTD
Third Respondent
(Reg No: 2023/110305/07)
SIVULA
SOUTH AFRICA (PTY) LTD
Fourth Respondent
(Reg No: 2023/095186/07)
Neutral
citation
: Jaltech and Others v
Alleyroad and Others
[2025]
ZAGPJHC
(2 July 2025)
Coram: Allen AJ
Heard:
1 July 2025
Delivered:
This
judgment was handed down electronically by circulation to the parties
or their legal representatives by email, by uploading
to the
electronic file of this matter on Caselines, and by publication of
the judgment to the South African Legal Information Institute.
The
date for hand-down is deemed to be 2 July 2025.
Summary:
Urgent opposed application for relief
to turn off and deactivate a power supply system - Applicant sells
electricity to the first
respondent who in turn sells electricity to
the third respondent - Second respondent operates the system to be
turned off for emergency
repairs, normal maintenance - Interference
with the safe operation of the system - Monies outstanding for
electricity sold - Respondents
interdicted from interfering or
removing components from the system.
JUDGMENT
ALLEN AJ
INTRODUCTION
[1] This is an
urgent opposed application for relief to turn off and deactivate the
380 KWP Solar PV and 1000 KWP Battery
Electricity Generating Storage
and Supply System known as Chiawelo Phase 2 (“the System”)
situated at Chiawelo-Wasani
Heights Apartment Block in Chiawelo,
Soweto for emergency repairs and normal maintenance.
[2] The fourth
respondent be ordered to do all things necessary to give effect to
the relief sought.
[3] The respondents
be interdicted and restrained from interfering with the System,
removing components therefrom, taking
any steps to turn it on and
reactivate the System without the applicant's prior written consent
and costs by those respondents
opposing the application on the
attorney and client scale.
[4] Respondents two
and four gave notice to abide and respondents one and three opposed
the application. First respondent
filed an answering affidavit, but
not third respondent. Second respondent, notwithstanding the business
relationship with applicant
and its notice to abide, gave a
confirmatory affidavit to first respondent.
THE FACTS
[5] First applicant
is the joint owner of the System and sells electricity generated
therefrom to the first respondent who
in turn sells electricity to
the third respondent, the owner of the block of flats. The second
respondent is the sub-contracted
operator of the System in terms of
an Operator Agreement.
[6] It is common
cause that the System has been interfered with. Mr. Sauer, for
respondents, gave an expert report based on
his observations from the
outside only. Mr. Sauer is a Construction Health and Safety Manager
and not an
engineer as provided for in the
Master Power Purchase Agreement (“the Agreement”) namely
that the Independent Expert
should be, depending on the expertise
needed, be a charted accountant, attorney / advocate or engineer. Mr.
Sauer does not fall
in the engineering category applicable and his
report is therefore of no assistance.
[7] It is common
cause that the System has been interfered with, amongst other, the
geyser bypass issue. Respondents also
conceded that applicant needs
access to the System to perform maintenance, monitoring and fault
detection.
[8] The applicant
has not been paid and the amount of R663 479.90 was due as on 30 June
2024 which should be more by now due
to non-payment.
URGENCY
[9] Annexure “FA18”
referred to applicant's expert report of Mr. Mathebula that the
System should be deactivated
to prevent irreparable losses and/or
damage to the System. Applicant demanded that the System be
deactivated by 9h00, Tuesday 17
June 2025 failing which an urgent
application will be brought compelling Blockpower to do so.
Blockpower did not adhere to the
deadline hence this application. It
is common cause that non-payment has been ongoing for an extended
period of time. Respondents
conceded urgency. I deem it not necessary
to delve further into the events that culminated to the launching of
this application
and determine that the application is urgent.
[10] The monetary
issue, geyser bypass issue, the refusal to shut down the System and
also the fact that it was shut down
and started up and reactivated
again renders this application urgent.
CLEAR RIGHT
[11] Applicant has
a clear right as applicant is the owner of the System in terms of the
Agreement and may shut down the System
for maintenance, emergency
repairs or interference with the safe operation thereof. Applicants
are also prevented access to the
System's settings in order to
address the issues.
IRREPARABLE HARM
[12] The report of
Mr. Mathebula of the applicant, an Engineer, details his concerns
around potential health and safety, accelerated
degradation and
faults on the System and not operating in accordance with its
intended design or functionality. Components were
also removed
without approval. The shutdown of the System as proposed is
necessary to prevent irreparable harm. In addition,
the continuous
use of the System without payment contributes to the financial losses
of the applicant.
[13] Clause
10.2.1.2 read with clause 2.1.21 of the Agreement makes provision for
applicant to shut down the System for failure
by first respondent to
make payment of any amounts due to applicant. Clause 12.2.4 obliges
first respondent to pay all amounts
to applicant free of any
withholding, deduction or set off.
NO ALTERNATIVE REMEDY
[14] The Agreement
between applicant and first respondent, clause 31, has a dispute
resolution clause. It is common cause
that there are disputes between
the parties. First respondent, for instance, alleges that the System
provides only 44 percent instead
of the 95 to 98 percent and in
annexure “D” declared a dispute with applicant and also
disputes the amounts due to
applicant.
[15] Applicant’s
dispute is the geyser bypass issue, interference and maintenance of
the System and non-payment. Clause
31 of the Agreement reads as
follows: “31.1. for the avoidance of doubt, where the customer
disputes any amount payable to
the seller under or in terms of this
agreement, the customer shall be required to pay such amount to the
seller first before referring
the determination of the amount payable
(or the dispute) for determination by an Independent Expert and shall
be obliged to continue
paying the seller all amounts due in terms of
this agreement for the duration that any dispute exists”.
[16] The Agreement
makes provision for the steps to be taken once a dispute is declared
and the appointment of an applicable
Independent Expert being a
chartered accountant, attorney / advocate or engineer depending on
the type of dispute.
[17] Clause
31.5.4.1.8 makes provision that the Independent Expert shall “make
such award, including an award for specific
performance, an
interdict, damages or a penalty or to costs as he in his discretion
might deem fit and appropriate”.
[18] Clause 31.6
reads: “…. the Independent Expert's determination shall
be completed as quickly as possible
after his appointment …
and the decision of the Independent Expert shall, save in the event
of fraud or manifest error,
be final and binding on the parties, and
shall not be subject to an appeal or review.”
[19] Clause 31.9
reads: “Nothing contained within this clause 31 shall preclude
any party from obtaining interim relief
on an urgent basis from a
court of competent jurisdiction pending the decision of the
Independent Expert.”
[20] It is common
cause that the dispute was not taken further in terms of this dispute
resolution clause and the referral
to arbitration is discretionary.
First respondent, however, is obliged to continue to make payments
pending the dispute resolution
which the respondent has not done.
There is also an Operator Agreement with Blackpower which has a
similar dispute resolution clause
set out in clause 21 thereof.
[21] In the matter
of
Eskom Holdings S.O.C. Limited v Masinga
(1225/2018)
[2019] ZASCA 98
(18 June 2019)
the SCA upheld Eskom's appeal
and the order granted by the court a quo was set aside where a
spoliation order was granted after
the disconnecting of an illegal
connection to Masinga's immovable property.
[22] In the instant
matter it is common cause that the System has been tampered with and
bypassed which can only be specified
to what extent after a detailed
inspection which applicant is prevented from. It is also applicant's
case that the System is not
operating in accordance with its intended
design or functionality as some components have been removed without
approval. The System
is worth over R20 000 000.00 and may
be irreversibly destroyed. The System has not been maintained either.
[23]
The requirements for a final interdict have been met namely a clear
right, an injury actually committed or reasonably
apprehended and the
absence of any other satisfactory remedy to the applicant.
[1]
[24]
Notwithstanding any dispute between the parties first respondent was
to continue to make payment pending the outcome
of disputes to be
resolved in terms of the dispute resolution clause which the
respondent has not done. I am inclined to
make an order to
deactivate and turn off the System to limit applicants’ damages
and the System be accessed to perform maintenance,
fault detection
and emergency repairs.
[2]
ORDER
In the result I make the
following order:
1 Dispensing with
the forms and service provided for in the rules of the above
Honourable Court and directing that the matter
be heard as one of
urgency in accordance with Rule 6 (12).
2 The applicants
are hereby authorized to turn off and deactivate the 380 KWP Solar PV
and 1000 KWP Battery Electricity Generating
Storage and Supply System
known as Chiawelo Phase 2 (“the System”) situated at
Chiawelo- Wasani Heights Apartment Block
in Wasani Street, Chiawelo,
Soweto (“the Apartment Block”)
3 The fourth
respondent is hereby ordered to do all things necessary to give
effect to the relief sought in prayer 2 above.
4 The respondents
are interdicted and restrained from:
4.1 interfering
with the System; and/or
4.2 removing
components from the System; and/or
4.3 taking any
steps to turn on and reactivate the System without the applicant's
prior written consent.
5 The costs of the
application shall be paid by first and third respondents on an
attorney and client scale.
ALLEN AJ
ACTING JUDGE OF THE HIGH
COURT,
GAUTENG DIVISION
JOHANNESBURG
For
the Applicants:
Adv. JM Hoffman
Instructed
by:
LLGV Inc
For
the Respondents:
Adv. J
Schoeman
Instructed
by:
Van der Walt Inc
[1]
Setlogelo
v Setlogelo
1914
AD 221
[2]
Heroldt
v Wills
2013
(2) SA 530
(GSJ)
at para 30 to 39
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