ACSA wants appeals court to green light R3 billion tender to overhaul baggage screening processes

ACSA is appealing a court ruling that blocked its R3 billion baggage screening overhaul, arguing it has the legal mandate to manage airport security.

or tambo airport drug mule

The Airports Company South Africa (ACSA) has approached the Gauteng High Court to challenge a ruling that prevented it from proceeding with a R3 billion baggage screening overhaul.

ACSA appeals interdict halting a questionable tender bid

The case, which centres on whether ACSA or airlines have the legal right to provide baggage screening services, has placed the company’s ambitious restructuring plans in limbo.

The dispute began after the court ruled in favour of Aviation Coordination Services (ACS), a private company representing airline associations.

In November 2024, ACS successfully obtained an interim interdict preventing ACSA from issuing a new tender for baggage screening services.

The court found that ACS had established a prima facie right to challenge ACSA’s decision to insource the service, halting ACSA’s plans pending a full judicial review.

Speaking on the matter, ACSA spokesperson Refilwe Ledwaba said: 

“We firmly believe that ACSA has the constitutional and legislative mandate to provide baggage screening services. The current arrangement has persisted for over two decades without a transparent procurement process, and we are committed to rectifying that.”

ACSA argues that baggage screening should be managed under Section 217 of the Constitution, which governs public procurement.

The company claims that allowing ACS to continue operations without a competitive bidding process contradicts fair and transparent governance principles.

Meanwhile, ACS has defended its position, stating that baggage screening has traditionally been the responsibility of airlines. ACS CEO Peter Maluleke emphasised: 

“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.”

Tuesday’s appeal hearing is critical for ACSA, as the interdict currently prevents it from proceeding with its R3 billion overhaul.

If successful, ACSA will be able to move forward with its tender process ahead of the full review application in the coming months.

Why ACSA wants to spend R3 billion to overhaul baggage screening at airports

ACSA’s baggage screening overhaul is part of a broader initiative to modernise airport security and reduce airline control over screening operations.

The R3 billion investment would fund the introduction of advanced baggage management systems, including automated threat detection technology, and replace outdated screening equipment at major airports such as OR Tambo, King Shaka, and Cape Town International.

According to Duncan Pieterse, Director-General of Treasury:

“This project is about ensuring compliance with international aviation standards, improving operational efficiency, and eliminating monopoly practices in baggage screening.”

However, ACS and its airline partners strongly oppose the move, arguing that ACSA lacks the legal mandate to take over baggage screening.

The company warns that the new plan could lead to unnecessary costs and logistical disruptions. 

“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,” Maluleke added.

The court previously sided with ACS, agreeing that allowing ACSA to proceed with insourcing could create financial and operational risks. The ruling also granted ACS the right to replace outdated baggage screening machines while the case is under review.

The appeal outcome will determine whether ACSA can move forward with its tender process or if it must wait until the legal review concludes.

For now, baggage screening at South African airports remains under the management of ACS, with no immediate changes to operations.