29.2.5  Inspection at end of Contract Term

Within an agreed period after the end of the Contract Term, government must give to the private party a notice specifying:

(a)  details of the matters or things that government considers the private party needs to do ensure that the facility and site comply with the return conditions; and

(b)  the amount which government considers necessary to be expended to comply with the return conditions.

The private party has a period of time to respond to the notice by government. If the private party does not dispute the notice, then the amount set out in the notice is a debt due to government, which may be satisfied by government drawing on the escrow account or making a demand under the performance bond.

If the private party disputes the notice, the parties must use their reasonable endeavours to agree on the amount in the notice. Once the amount is agreed, the amount is a debt due to government, which may be satisfied by government drawing on the escrow account or making a demand under the performance bond. If the amount cannot be agreed, it is referred for dispute resolution in accordance with Chapter 30 (Dispute resolution).

If any funds remain in the escrow account after government has exercised its rights under this section, the balance must be paid to the private party.