Eskom, Areva win technical knockout in Constitutional Court nuclear ruling
The Constitutional Court has affirmed Eskom’s award of a R5bn contract to Areva, ending a long-running dispute between the power utility and rival service provider Westinghouse. The contract was for the replacement of the six steam generators at the Koeberg Power Station. The decision by the Constitutional Court sets aside judgments of the Gauteng High Court and Supreme Court of Appeal over the R5bn contract to Areva on the grounds that Westinghouse Electric Belgium Societe Anonyme did not have locus standi to bring the action. The Constitutional Court held that the case should have been brought by Westinghouse USA as this was the real bidder for the tender and Westinghouse Belgium was simply acting as an agent for the company. Throughout the long process of litigation Westinghouse claimed Eskom had introduced “strategic considerations” into the tender evaluation at a late stage in order to favour Areva. The Gauteng High Court rejected Westinhouse’s application for a review of the t...
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