LAWYERS working for APM Terminals have managed to put rival International Container Terminal Services, Inc's (ICTSI) entry into South Africa's largest container port on hold, adding another embarrassing setback to the African nation's bid to privatize and improve their port facilities.
A South African court last week decided to temporarily block ICTSI's 25-year deal with state-run Transnet to take over the running of a container terminal in Durban, according to Singapore's Splash 247.
APM Terminals took the matter to court when it lost the bid, arguing that ICTSI did not meet a stipulated solvency measure.
The court found that Transnet's decision to award ICTSI the contract was 'potentially flawed and ??unfair to the other bidders'.
Allowances were made for ICTSI that were not offered to its competitors, the judge declared.
The temporary block will remain in place until the end of the court case, which could stretch into the new year.
After 20 years of trying, the South African government took its first step towards port privatization with the ICTSI award last July.
Transnet selected ICTSI as the preferred bidder for a joint venture to develop and upgrade the flagship Durban terminal nine months ago so that it can handle 2.8 million TEU a year, up from the current 2 million TEU.
SeaNews Turkey
A South African court last week decided to temporarily block ICTSI's 25-year deal with state-run Transnet to take over the running of a container terminal in Durban, according to Singapore's Splash 247.
APM Terminals took the matter to court when it lost the bid, arguing that ICTSI did not meet a stipulated solvency measure.
The court found that Transnet's decision to award ICTSI the contract was 'potentially flawed and ??unfair to the other bidders'.
Allowances were made for ICTSI that were not offered to its competitors, the judge declared.
The temporary block will remain in place until the end of the court case, which could stretch into the new year.
After 20 years of trying, the South African government took its first step towards port privatization with the ICTSI award last July.
Transnet selected ICTSI as the preferred bidder for a joint venture to develop and upgrade the flagship Durban terminal nine months ago so that it can handle 2.8 million TEU a year, up from the current 2 million TEU.
SeaNews Turkey
