South African Court Case Challenges Airline License Rules

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A South African business advocacy group, Sakeliga, has launched a legal challenge in the High Court against what it calls “race-restrictive” licensing requirements for international airline operators.

Filed on September 30 in the Gauteng division of the High Court in Pretoria, the case accuses the International Air Services Council (IASC) of using South Africa’s Broad-Based Black Economic Empowerment (B-BBEE) Act as a factor in evaluating international air service licence applications. Sakeliga argues this practice is unlawful and beyond the IASC’s authority under the International Air Services Act.

The group claims the IASC has no legal mandate to demand B-BBEE credentials or transformation commitments from foreign airlines, warning that such requirements discourage international carriers from expanding in South Africa. This, it says, could reduce passenger and cargo capacity, raise prices, and limit market competition.

The legal action follows minutes obtained in May 2025, which Sakeliga says show the IASC delaying approvals and requesting “arbitrary” B-BBEE certificates since late 2023. The case seeks a court order to overturn the council’s alleged use of B-BBEE criteria.

Respondents include IASC chairman Derick Block, the minister and director-general of transport, and the South African Civil Aviation Authority. The case follows a similar 2025 ruling against the domestic Airline Services Licensing Council, which was found to have acted unlawfully when applying B-BBEE rules.

A Transport Department spokesperson said the matter is under review with the Department of Trade, Industry and Competition.

Related News: https://airguide.info/category/air-travel-business/airline-finance/

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com

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