Highest score vs capacity: lessons from Urban Icon (Pty) Ltd v South African National Roads Agency SOC Ltd

Section 217 of the Constitution sets the parameters within which organs of state must procure goods and services. The Preferential Procurement Policy Framework Act (“PPPFA”) and the Preferential Procurement Regulations give practical effect to these parameters. The legal framework seeks to balance fairness and competitiveness with the state’s obligation to procure goods and services efficiently and responsibly. The Supreme Court of Appeal’s recent decision in Urban Icon (Pty) Ltd v South African National Roads Agency SOC Ltd highlights the complexities of this task.

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