§ `.—(1) In giving in relation to a PPP agreement—
- (a) any direction under section (Directions of the PPP arbiter)(3) above, or
- (b) any guidance under section (Guidance by the PPP arbiter)(2) above,
the PPP arbiter shall act in the way he considers best calculated to achieve the objectives specified in subsections (2) to (5) below.
(2) The objective specified in this subsection is to ensure the performance of the PPP agreement in question so as to secure that the railway infrastructure to which the agreement relates—
- (a) is provided, constructed, renewed or improved, as the case may be, and
- (b) is maintained,
having regard to the resources available to any relevant body which is a party to the agreement.
(3) The objective specified in this subsection is to promote efficiency and economy—
- (a) in the provision, construction, renewal, or improvement, as the case may be, and
- (b) in the maintenance,
of the railway infrastructure to which the PPP agreement in question relates.
(4) The objective specified in this subsection is to enable any PPP company which is a party to the PPP agreement in question, and which the PPP arbiter considers to be efficient and economic in performing the agreement, to earn the rate of return incorporated in the agreement.
(5) The objective specified in this subsection is to enable any PPP company which is a party to the PPP agreement in question to plan the future performance of the agreement with reasonable certainty.
(6) In giving any such direction or guidance as is mentioned in subsection (1) above the PPP arbiter is to take account of any factors which—
- (a) are notified to him by the parties to the PPP agreement in question, acting jointly, as factors to which he must have regard when giving the direction or guidance in question, or
- (b) are factors specified or described in the PPP agreement in question as factors to which the PPP arbiter must have regard in giving any direction under section (Directions of the PPP arbiter)(3) above or any guidance under section (Guidance by the PPP arbiter)(2) above.
(7) For the purposes of subsection (4) above, a rate of return is "incorporated in a PPP agreement" if, and only if, the agreement—
- (a) makes provision for the rate of return to be earned under the agreement by the PPP company concerned, and
- (b) states that subsection (4) above is to have effect in relation to that provision.
(8) In this section "railway infrastructure" means the railway or proposed railway in question and includes a reference to any stations, rolling stock or depots used or to be used in connection with that railway.'.—[Mr. Dowd.]Brought up, read the First and Second time, and added to the Bill.