# South African Court Invalidates Procurement Law

South Africa's Constitutional Court has declared the Public Procurement Act of 2024 unconstitutional and invalid due to insufficient public participation during its legislative process. This ruling halts the implementation of the Act's uniform national procurement rules, including race-based tender requirements, preserving provincial and municipal autonomy over procurement decisions. The decision impacts government procurement policies by removing race-based criteria and centralized controls, affecting contractors and suppliers engaging with South African government entities. Finance Minister Enoch Godongwana has affirmed commitment to procurement reform focused on fairness and transparency despite the setback, indicating ongoing efforts to revise procurement frameworks with improved public engagement.

- Procurement professionals should note the suspension of the 2024 Act's provisions, including race-based tender requirements, which alters compliance and eligibility criteria for government contracts.
- Provincial and municipal governments retain autonomy in procurement, potentially leading to varied regional procurement policies and requirements.
- Contractors and suppliers must monitor developments as revised procurement legislation is anticipated, emphasizing transparent and equitable processes.
- Organizations involved in infrastructure and service delivery should assess impacts on project timelines and procurement procedures due to the ruling and ongoing legal challenges.

**Jurisdictions:** sled
**Industries:** Public Safety, Professional Services
**Topics:** Regulatory Compliance
**Published:** September 17, 2026

### Government Entities
- Constitutional Court of South Africa
- Parliament of South Africa
- South African Government
- Western Cape Government (WCG)
- City of Cape Town

### Key Quotes
> While I respect the court283s judgment, the current form of the country283s procurement system will not realise the constitutional principles of being competitive and cost-effective while also protecting against unfair discrimination.
> — Enoch Godongwana, Finance Minister

> This Act would have slowed down local service delivery and infrastructure investment, making it much harder for municipalities to procure quickly for urgent local needs.
> — Geordin Hill-Lewis, Mayor, City of Cape Town

> This ruling on public procurement is a victory for Solidarity, but it benefits every South African. For example, when the state commissions the construction of a road, purchases computers, or appoints a service provider, the prime question should be who can do the work best and who provides the best value, and not what race the provider belongs to.
> — Anton van der Bijl, Deputy Chief Executive, Solidarity

### Sources
- [Constitutional Court declares South Africa’s new tender and procurement laws invalid https://t.co/UibI5CisWf](https://x.com/GNews_Vegan/status/2100593099110002736) - twitter-fed-procurement
- [The Constitutional Court has ruled the Public Procurement Act unconstitutional and is no longer valid.
https://t.co/kD2AZV1pMY](https://x.com/BusinessTechSA/status/2100538768314843360) - twitter-fed-procurement
- [Godongwana remains committed to procurement reform despite ConCourt rebuke over Public Procurement Bill](https://www.ewn.co.za/godongwana-remains-committed-to-procurement-reform-despite-concourt-rebuke-over-public-procurement-bill) - EWN