......as High Court strikes out K6.6 billion claim against the company
Ethanol distiller, Press Cane Limited has said it has completed construction of a landmark MK10 billion processing facility that will convert waste into organic fertilizer, transforming legacy waste streams into productive value.
Press Cane Chief Executive Officer Bryson Mkhomaanthu said in an interview yesterday that the company has prioritized compliance and environmental risk mitigation through the implementation of an aggressive remedial programme, which includes immediate structural upgrades to effluent ponds, strengthened waste management controls, and enhancements to effluent treatment systems designed to significantly reduce the risk of future spillages.
He was reacting to a recent High court ruling which struck out a K6.6 billion legal suit brought by medical doctor Steve Kamiza and 56 others who alleged that waste from Press Cane's ethanol plant in Chikwawa spilt from evaporation ponds into surrounding areas, damaging crops and farmland.
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"We welcome the decision of the High Court in this case because indeed, while we acknowledge that there was spillage of waste, it was not done in bad faith. We have just completed construction of a landmark MK10 billion processing facility that will convert waste into organic fertilizer, transforming legacy waste streams into productive value."
"The Company maintains that these interventions will not only eliminate future spillage risks, but also convert what was once viewed as an environmental liability into a sustainable economic asset that creates value for local communities, agriculture, and the wider economy," said Mkhomaanthu.
High Court Judge Justice Allan Hans Muhome said in his ruling that the K6.6 billion compensation claim against PressCane Limited could not proceed because there was no proof that the company acted in bad faith.
The Judge noted that under Section 19 of the Environmental Management Act (2017), companies that are authorised to operate under the law cannot be taken to court for actions carried out in good faith.
Press Cane operates under a licence issued by the Malawi Environmental Protection Authority.
The Court said the law also applies to private companies, not just government bodies.
"This Court agrees... that the protection under Section 19 extends to private enterprises like the Defendant (Press Cane)," said Justice Muhome in his ruling.
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The judge further ruled that the claimants did not show any evidence that PressCane acted in bad faith in relation to the alleged spill.
"The claim cannot proceed without proof of bad faith," the ruling states.
The Court also declined to change its earlier position on how the law should be interpreted.
As a result, the case was struck out, with each party ordered to bear its own costs.
PressCane is an ethanol producer based in Chikwawa and has been operating since 2004, supplying fuel and industrial alcohol to the domestic market and beyond.
The case follows concerns raised in recent months over effluent spillages from Press Cane's ethanol plant in Chikwawa, which prompted engagement by environmental authorities and affected communities.
