12.5.1  Abatement

(a)  The service fee will be abated where an Availability Failure, Incident Failure, Quality Failure, Repeated Failure or Reporting Failure occurs.  

(b)  In some jurisdictions, the service fee will not be abated if the failure has been caused by a Relief Event, although the service fee may be adjusted for costs not incurred by the private party.

(c)  The amount abated for an Availability Failure or Incident Failure will depend on:

(i)  what unit and area of accommodation (or other relevant indicator) is affected;

(ii)  the time taken to rectify the failure following expiry of the rectification period; and

(iii)  the categorisation of the Availability Failure or Incident Failure.

(d)  The more critical the affected unit and area to the provision of the Contracted Services, the higher the weighting given to that unit/area and the greater the abatement from the service fee for a failure. The more critically classified failure events will have shorter response and rectification times and, therefore, more frequent deductions for failure.

(e)  The level of abatement applied for Quality Failures will depend on the severity of the failure and how long it is sustained (as appropriate) and, in certain jurisdictions, how often it is repeated. The more severe the failure, the greater the abatement. A minimum number of failure points may be accumulated prior to triggering a financial abatement.