16.3.3  Extension of Sunset Date

(a)  Some jurisdictions may extend the Sunset Date for all Relief Events by the same number of days by which the Date for Completion is extended for the relevant Relief Event.

(b)  In other jurisdictions, the Relief Events for which government will extend the Sunset Date are more limited.  In those jurisdictions, where an extension of the Date for Completion occurs as a result of a Relief Event which is caused by an act or omission of government rather than a neutral event (e.g. breach by government of a Project Contract or act or omission of government, other than the performance of the core services or acts / omissions permitted by the Project Contracts), the Sunset Date will be extended by the same period. However, the Date for Completion will not at any time be extended beyond the Sunset Date (as extended) for any Relief Event.

(c)  Where paragraph (b) applies, and where the failure to meet the Sunset Date is caused by:

(i)  a Force Majeure Event, the private party's obligation to meet the Sunset Date will be suspended in accordance with the regime described in Chapter 21 (Force majeure) and government will not be able to claim an Event of Default or Default Termination Event on the basis of such failure; and

(ii)  a government-initiated Modification or compensable Change in Law, the private party's obligation to meet the Sunset Date will be suspended in accordance with the regime in Chapters 19 (Modifications) and 20 (Change in Law), respectively.

(d)  Jurisdictions which only extend the Sunset Date for certain Relief Events recognise the importance of ensuring an adequate time period between the Date for Completion and the Sunset Date. Typically, the period will be at least half of the anticipated period for the design and construction phase (e.g. for a three year design and construction phase, the period between the Date for Completion and the Sunset Date will be 18 months). However, this should be determined on a project-specific basis.