1986 Ed.]
Public Bus Services
[CAP. 230
7
(6) Where an amendment to a franchise is made under subsection (5) without the consent of the grantee, the grantee shall be entitled to compensation for the loss of any permitted return (as defined in Part V) on any investment which the grantee may reasonably have been expected to make had the franchise not been so amended, subject to the deduction from that permitted return of any sum required to be deducted under sections 28 and 29. (Added, 56 of 1986, s. 22)
(7) In determining any compensation payable under subsection (6) account shall be had of any opportunity which the grantee may have had to mitigate his loss and to the effect the construction and operation of the North-west Railway under the Kowloon-Canton Railway Corporation Ordinance would have had on the operations of the grantee (being an effect for which no compensation is payable) had his franchise not been amended. (Added, 56 of 1986, s. 22)
(8) Compensation payable under subsection (6) shall be in such amount as may be agreed between the Commissioner and the grantee or, in the event of a failure to agree, as may be determined by arbitration under the Arbitration Ordinance and, for the purposes of that Ordinance, the reference in this subsection to arbitration shall be deemed to be a reference by an arbitration agreement, as defined for the purposes of that Ordinance, to 2 arbitrators, one appointed by the grantee and one by the Commissioner. (Added, 56 of 1986, s. 22)
(9) The powers conferred on the Governor in Council by subsection (5) shall cease to be exercisable after a period of 20 years from the commencement* of the Kowloon-Canton Railway Corporation (Amendment) Ordinance 1986 or such further period or periods as may be authorized by resolution of the Legislative Council. (Added, 56 of 1986, s. 22)
6. (1) A franchise may be granted for a period not exceeding 10 years, and in calculating a franchise period no account shall be taken of any change from time to time in the specified routes.
(2) If, not less than 1 year before the expiry of the period for which a franchise was granted under subsection (1), the grantee has by notice in writing to the Chief Secretary requested an extension of such period, the Governor in Council may, if he is satisfied that the grantee is capable of maintaining a proper and efficient service, extend the franchise for a further period not exceeding 5 years. (Amended, 44 of 1984, s. 6)
(3) The Governor in Council may, at any time during a franchise period-
(a) whenever he considers it appropriate having regard to any circumstances affecting the franchise; and
(b) if he is satisfied that the grantee is capable of maintaining a proper and efficient service, (Replaced, 44 of 1984, s. 6)
(Cap. 372,)
(Cap. 341)
(56 of 1986.) [*1.11.86.]
Periods of grants and extensions thereof.