A Cape Town company has won a major court victory against two government departments that tried to slash its water meter testing license without following the law.
Precision Meters, which has been testing water meters for 10 years, went to the High Court after regulators suddenly tried to cut back the size of meters it was allowed to check – from 100mm down to just 25mm.
Precision Meters tests water meters to make sure they work properly. For the past decade, they’ve been licensed to test meters up to 100mm wide (about the width of a tennis ball). This bigger license allows them to handle most residential and commercial water meters.
The trouble started in August 2024 when the City of Cape Town told Precision Meters that no labs were licensed to test large water meters. This led to a confusing back-and-forth with two government bodies: the South African National Accreditation System (SANAS) and the National Regulator for Compulsory Specifications.
In a bizarre twist, SANAS first said Precision Meters’ license didn’t actually cover meters up to 100mm – despite having given them that exact license for years. Then, after inspecting the company in March, SANAS issued a new certificate in May 2025 clearly stating they could test meters up to 100mm.
But just two months later, the other regulator issued a certificate limiting them to only 25mm meters, claiming this was based on information from SANAS.
To make matters worse, SANAS then posted unsigned documents on their website trying to reduce the license scope – something they’re not allowed to do under the law.
Acting Judge K. Hofmeyr didn’t hold back when delivering her judgment this week. She was particularly angry about how the government bodies behaved during the court case.
“Government departments should know better,” the judge said, criticising SANAS for making “scurrilous and unjustified attacks” on Precision Meters during the legal fight.
The judge found that SANAS had accused the company of being “deliberately reckless” and spreading lies – accusations that had no basis in fact.
“When government bodies go to court, they have special responsibilities to behave properly,” Judge Hofmeyr said. “They failed badly here.”
Without their full license, Precision Meters faced losing 15% of their income and potentially having to fire four employees. The company had also spent money on equipment and training staff specifically to handle larger meter testing.
The ruling
Judge Hofmeyr ruled that:
- Precision Meters’ original license for meters up to 100mm is valid until 2029
- The unsigned documents trying to reduce their license have no legal power
- SANAS must remove these documents from their website
- The other regulator must issue a proper certificate within two days
- Both government bodies must pay the company’s legal costs
The case will now go to a full court hearing where Precision Meters will seek a permanent ruling. For now, though, they can continue their business as usual.
The victory highlights ongoing concerns about how some government departments handle their regulatory duties and treat the businesses they’re supposed to oversee fairly.
