Power to take over operations
38 Power to take over operations
If—
a water industry entity contravenes this Act, or a water industry entity's licence ceases, or is to cease, to be in force; and
it is necessary, in the Commission's opinion, to take over the entity's operations (or some of them) to ensure an adequate supply of water to customers or the proper provision of any sewerage service (as the case may require), the Governor may make a proclamation under this section.
Before a proclamation is made under this section, the Commission must give the water industry entity a reasonable opportunity to make written representations giving reasons why the proclamation should not be made.
A proclamation under this section—
authorises the Commission to take over the water industry entity's operations or a specified part of the water industry entity's operations;
and
may contain ancillary directions (and may, in particular, contain directions about how the costs of carrying on the operations, and revenue generated from the operations, are to be dealt with).
A direction under subsection (3)(b) operates to the exclusion of rights that are inconsistent with it.
The Governor may, by subsequent proclamation, vary or revoke a proclamation made under this section.
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