The Airports Company of South Africa (ACSA) has been granted leave to appeal a ruling that had previously blocked it from proceeding with an open tender process for procuring baggage screening equipment.
Court sides with ACSA in baggage screening tender case
The Johannesburg High Court handed down the decision on Friday, 28 February 2025, stating that there were reasonable grounds for a different court to reach a different conclusion on the matter.
The case stems from a dispute between ACSA and Aviation Coordination Services (ACS), a private company representing airline associations.
In November 2024, ACS obtained an interdict that prevented ACSA from insourcing baggage screening services, effectively halting its plans to modernise airport security operations.
The court acknowledged the importance of the matter, stating that the ruling had significant implications for ACSA’s ability to exercise its statutory and constitutional responsibilities regarding aviation safety.
The judgment is seen as a step forward for ACSA, allowing it to continue pursuing its R3 billion plan to overhaul baggage screening services at major airports across the country.
Legal battle over baggage screening continues
The dispute centres on whether ACSA or airline companies have the legal right to manage baggage screening at airports.
ACS has argued that baggage screening has traditionally been handled by airlines and that ACSA’s sudden decision to take over the service lacks regulatory clarity.
ACS CEO Peter Maluleke defended the company’s role, stating:
“We have provided this service efficiently for over 20 years. ACSA’s sudden move to take over screening lacks regulatory clarity and could lead to unnecessary disruptions at major airports.”
However, ACSA maintains that baggage screening should fall under its mandate and be subject to a transparent public procurement process, as outlined in Section 217 of the Constitution.
ACSA spokesperson Refilwe Ledwaba emphasised the need for a fair bidding process:
“The current arrangement has persisted for over two decades without a transparent procurement process, and we are committed to rectifying that.”
The appeal ruling does not immediately resolve the legal battle but allows ACSA to challenge the initial interdict in a higher court.
Meanwhile, ACS has also won a separate legal argument, with the court ruling that it may proceed with replacing backup screening equipment at King Shaka International and OR Tambo International airports, despite ACSA’s appeal.
ACSA’s proposed baggage screening overhaul is part of a broader initiative to modernise airport security and ensure compliance with international aviation standards.
The R3 billion investment includes plans to introduce advanced threat detection technology and replace outdated screening equipment at OR Tambo, King Shaka, and Cape Town International airports.
Treasury Director-General Duncan Pieterse highlighted the significance of the project, stating:
“This project is about ensuring compliance with international aviation standards, improving operational efficiency, and eliminating monopoly practices in baggage screening.”
ACS and its airline partners, however, continue to oppose the plan, warning that it could lead to increased costs and operational inefficiencies. Maluleke argued:
“We have raised concerns that this plan could amount to wasteful expenditure. ACSA’s proposal could drive up costs unnecessarily when we already provide a working system.”
For now, baggage screening operations remain under ACS’s control, but the outcome of ACSA’s appeal will determine whether the company can proceed with its tender process or if the matter will remain tied up in court.