The Contract must address the possibility that service commencement is delayed beyond the Planned Service Commencement Date. 12 When considering the deduction regime in the period between the planned and actual dates of service commencement, Authorities should take account of the guidance set out in Section 8.2.2.6 of the Defra Derogations. Implementation of such guidance would allow the Authority to recoup any additional haulage and waste disposal costs (including landfill tax and LATS costs) in excess of the saved Base Payment during the period between the planned and actual dates of service commencement.
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12 The Contract should provide for the Planned Service Commencement Date to be adjusted to reflect a delay in securing planning consent, which is not as a result of a Contractor Breach.