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Mr President, let me now briefly outline the main features of the Bill

(a)

(b)

(c)

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Clause 3 of the Bill permits the Administration to suspend a franchise and take possession of any property used or kept by the franchisee when an emergency exists.

Clause 4 of the Bill extends the period of taking possession of property used or kept by the franchisee to a period of not more than 2 years with an extension of up to another year subject to the approval of the Governor in Council. The situation where a franchise is not renewed after expiry is also covered. Upon receipt of Government's written notice, the franchisee is required to deliver the property to Government.

Clause 5 of the Bill gives Government the right to purchase property. except for land and buildings, used or kept by the franchisee. The franchisee has to be notified which items of property that Government intends to purchase within one year from the date of the Government taking temporary possession. The clause also gives Government the power of entry.

All these clauses also set out in detail the compensation provisions and the terms upon which possession of franchise related property is to be taken. A new section 25D under Clause 5 also provides for disputes as regarding compensation to be referred to an independent arbitrator.

Clause 6 of the Bill provides that the amendments will apply to all existing

franchises.

Mr President, let me assure Honourable Members that the Government has no intention of taking over public bus services except in very exceptional circumstances and, even so, for no longer than it takes for private enterprise to resume operations. The Bill before this Council simply seeks to safeguard the interests of the travelling public. With these remarks, I recommend the Bill to Honourable Members.

End/Wednesday, May 24, 1995

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