AUTHORITY STEP-IN. (a) If the Authority or any relevant Government Authority reasonably believes that it needs to take action in connection with the Services, the Marine Services and/or the operation and maintenance of the Terminal and the Port Crafts (including suspension of the Services and/or the Marine Services): (i) due to an emergency; (ii) because a serious risk is posed to the health or safety of persons or property or to the environment; and/or (iii) to discharge a statutory obligation or fulfil a statutory or regulatory function or duty, (each a Step-In Event) then the Authority shall be entitled to take action in accordance with this Clause 16.5. (b) If a Step-In Event occurs and the Authority wishes to take action, the Authority shall notify the Concessionaire in writing of the following: (i) the action it wishes to take; (ii) the reason for such action; (iii) the date it wishes to commence such action; (iv) the time period which it believes will be necessary for such action; and (v) to the extent practicable, the effect on the Concessionaire and its obligation to carry out the Works, provide the Services or the Marine Services during the period such action is being taken, (the Step-In Notice). (c) Following service of the Step-In Notice, the Authority shall take such action as set out in the Step-In Notice and any consequential additional action as it reasonably believes is necessary (together, the Required Action ) and the Concessionaire shall give all reasonable assistance to the Authority while it is taking the Required Action including providing its staff, equipment and assets for use by the Authority. The Authority shall provide the Concessionaire with notice of completion of the Required Action and shall use reasonable endeavours to provide such advance notice as is reasonably practicable of its anticipated completion. (d) Where the Required Action has been taken other than as a result of a breach by the Concessionaire, the Authority shall undertake the Required Action in accordance with Good Industry Practice and shall indemnify the Concessionaire against all direct losses where it fails to do so. (e) During the period of any Required Action, the Authority may take over collection of and may retain the Tariff, the Port Dues and the Vessel Related Charges collected from the Users. (f) If the Concessionaire is not in breach of its obligations under this Agreement, then for so long as and to the extent that the Required Action is taken, and this prevents the Concessionaire from carrying out any of its obligations under this Agreement: (i) the Concessionaire shall be relieved from its obligations that it is unable to carry out as a result of the Required Action; and (ii) in respect of the period in which the Authority is taking the Required Action and provided that the Concessionaire provides the Authority with reasonable assistance (such assistance to be at the expense of the Authority to the extent that incremental costs are incurred), the Authority shall pay to the Concessionaire an amount equal to the senior debt service and any fixed O&M fees that are payable by the Concessionaire during any period of Required Action.
Appears in 1 contract
Sources: Concession Agreement
AUTHORITY STEP-IN. 27.1 Step-In – General
(a) If Where the Authority or any relevant Government Authority Authority:
(i) reasonably believes that it needs to take action in connection with the Services:
(A) because there is, or is likely to be, a breach by the Marine Services and/or Contractor of any of its obligations under this Agreement, or a Subcontractor under a Material Subcontract, which materially and adversely affects the operation and maintenance performance of the Terminal and the Port Crafts (including suspension of the Services and/or the Marine Services):
(i) due to an emergency;
(iiB) because a serious risk is posed exists to the health or safety of persons or property or to the environment;
(C) to discharge a statutory duty or to comply with a direction of a Relevant Authority; and/or
(D) because an Emergency has arisen;
(ii) requires the ability to inspect the Services and monitor compliance by the Contractor with its obligations under this Agreement; and/or
(iii) requires the ability to discharge a statutory obligation or fulfil a statutory or regulatory function or dutyconduct research and evaluation in accordance with the Mandatory Probation Instruction “Research Applications” (including by Third Party researchers commissioned by the Authority), (each a Step-In Event) then the Authority shall be entitled to take action in accordance with this Clause 16.527.
(b) If a Step-In Event occurs Clause 27.1
(a) applies and the Authority wishes to take action, the Authority shall notify the Concessionaire Contractor in writing of the following:
(i) the action it wishes to taketake whether with respect to the Contractor, a Subcontractor or the Allocated Persons or all;
(ii) the reason for such the action;
(iii) the date it wishes to commence such start the action;
(iv) the expected time period which it believes will be necessary for such actionthe action (which, for the avoidance of doubt, can be an indefinite period); and
(v) to the extent practicable, the effect on the Concessionaire Contractor or the relevant Subcontractor, as the case may be, and its obligation to carry out the Works, provide the Services or the Marine Services during the period such the action is being taken, (the Step-In Notice).
(c) For the purposes of Clause 27.1(b), the action which the Authority wishes to take may include access to any or all items and personnel specified in Schedule 15 (Audit).
(d) Following service of the Step-In Noticenotice pursuant to Clause 27.1(b), the Authority shall take such the action as set out in the Step-In Notice notified under Clause 27.1(b) and any consequential additional action as it reasonably believes is necessary (together, the Required Action Action) and the Concessionaire Contractor shall give all reasonable assistance to the Authority before it takes and while it is taking taking, the Required Action including providing its staff, equipment the Authority with all necessary training to use the Contractor System for the purposes of taking the Required Action and assets facilitating access for use the Authority to the Allocated Persons if requested by the Authority. The Authority shall provide the Concessionaire Contractor with notice of completion of the Required Action and shall use reasonable endeavours to provide such advance notice notice, as is reasonably practicable practicable, of its anticipated completion.
(de) Where the Required Action has been taken other otherwise than as a result of a breach by the ConcessionaireContractor of its obligations under this Agreement, the Authority shall undertake the Required Action in accordance with Good Industry Practice and shall indemnify Practice. For the Concessionaire against all direct losses where it fails to do so.
(e) During the period avoidance of any Required Actiondoubt, if the Authority may exercises its right to take over collection of and may retain the Tariff, the Port Dues and the Vessel Related Charges collected from the Users.
(f) If the Concessionaire is not in breach of its obligations under this Agreement, then for so long as and to the extent that the Required Action is takenin accordance with this Clause 27, and this prevents the Concessionaire from carrying out any of its obligations under this Agreement:
(i) the Concessionaire shall be relieved from its obligations that it is unable to carry out as a result employees of the Required Action; and
Contractor will not transfer to the Authority (ii) in respect by operation of the period in which Employment Regulations or a scheme pursuant to any Applicable Law or otherwise) and shall remain employed by the Contractor at all times while the Authority is taking the Required Action and provided that the Concessionaire provides the Authority with reasonable assistance (such assistance to be at the expense of the Authority to the extent that incremental costs are incurred), the Authority shall pay to the Concessionaire an amount equal to the senior debt service and any fixed O&M fees that are payable by the Concessionaire during any period of Required Actionafterwards.
Appears in 1 contract
Sources: Services Agreement