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Petroleum Pipelines Act, 2003 (Act No. 60 of 2003)

Regulations

Regulations in terms of the Petroleum Pipelines Act, 2003 (Act No. 60 of 2003)

13. Arbitration

 

 

(1) A request for the Authority to act as an arbitrator must be made in writing and must set out the nature of the dispute between the parties.

 

(2) A suitable person recommended for appointment as an arbitrator in terms of section 30(2)(a) of the Act must be so appointed within 10 working days of receipt of the request by the Authority.

 

(3) At the commencement of arbitration, the appointed arbitrator must—
(a) inform the parties that he or she does not have any conflict of interest;
(b) inform the parties about the procedure and manner in which the arbitration will be conducted;
(c) inform the parties how the fees, if any, to be paid by one or more of the parties for the arbitration will be determined and to whom payments should be made;
(d) inform the parties that any award made will be final and binding; and
(e) secure agreement from the parties to the dispute with regard to paragraphs (a) to (d), before proceeding with the arbitration.

 

(4) The party initiating a dispute, the applicant, shall submit to the arbitrator and to the other party involved in the dispute, the respondent, a written statement including the following information:
(a) the name and address of the person who will represent the claimant at the proceedings;
(b a detailed description of the dispute; and
(c) the relief or remedy sought and the amount claimed, if applicable.

 

(5) The respondent must, after receipt of the statement referred to in subregulation (4), submit a written statement of defence to the arbitrator and the applicant by a date determined by the arbitrator.

 

(6) During arbitration proceedings, any party may amend or supplement its claim, counterclaim or defence, unless the arbitrator considers it inappropriate to allow such amendment or supplement, because of the party's delay in making it, if it would be prejudicial to the other parties or because of any other circumstances.

 

(7) A party may not amend or supplement a claim or counterclaim if the amendment or supplement would fall outside the scope of the agreement to arbitrate.

 

(8) Any party to arbitration may be allowed representation.

 

(9) The names, addresses and telephone numbers of representatives must be communicated in writing to the other parties and to the arbitrator.

 

(10) The parties or their representatives may communicate in writing directly with the arbitrator, provided that copies of such documents are provided to all the other parties to the dispute.

 

(11) The arbitrator must conduct the arbitration in a manner ensuring that the parties are treated with equality and that each party has the right to be heard and is given a fair opportunity to present its case.

 

(12) Documents or information supplied to the arbitrator by one party must, at the same time, be supplied by that party to the other party or parties.

 

(13) Each party shall have the burden of proving the facts relied on to support its claim or defence.

 

(14) At any time during the proceedings, the arbitrator may order parties to produce other documents, exhibits or other evidence that he or she deems necessary or appropriate.

 

(15) The arbitrator may appoint one or more independent experts to report to him or her, in writing, on specific issues designated by the arbitrator and communicated to the parties.

 

(16) The parties must provide an expert contemplated in subregulation (15) with any relevant information or produce for inspection any relevant documents or goods that such expert may require.

 

(17) Any dispute between a party and an expert as to the relevance of the requested information or goods must be referred to the arbitrator for decision.

 

(18) Upon receipt of an expert's report, the arbitrator must send a copy of the report to all parties to the dispute and must give the parties to the dispute an opportunity to express, in writing, their opinion on the report.

 

(19) A party may examine any document upon which an expert had relied in a report contemplated in subregulation (18).

 

(20) At the request of either party, the arbitrator must give the parties an opportunity to question an expert at a hearing.

 

(21) Parties may present expert witnesses to testify on the points at issue during arbitration proceedings.

 

(22) Awards by an arbitrator must be made in writing and shall be binding on the parties and the parties must carry out any such award immediately.

 

(23) The arbitrator must state the reasons for the award.

 

(24) An award may be made public only with the consent of the parties to the dispute, or as required by law.

 

(25) In addition to making a final award, the arbitrator may make interim, interlocutory or partial orders and awards.

 

(26) The arbitrator must, upon request of the parties, terminate the arbitration if the parties settle the dispute before an award is made.

 

(27) If, in the opinion of the arbitrator, the continuation of the proceedings becomes unnecessary or impossible for any other reason, the arbitrator must inform the parties of his or her intention to terminate the proceedings and must thereafter issue an order terminating the arbitration.

 

(28) Confidential information disclosed during the proceedings by the parties or by witnesses shall not be divulged by the arbitrator.

 

(29) The arbitrator must keep confidential all matters relating to the arbitration or the award, unless otherwise agreed upon by the parties, or required by applicable law.

 

(30) An arbitrator shall not be liable for any act or omission in connection with any arbitration conducted under these regulations, except for the consequences of gross negligence and conscious and deliberate wrongdoing.