If an Intervening Event occurs during the Operational Phase, and, Project Co:
• has submitted a Change Notice within the timeframe specified in clause 32.1(b) in accordance with the Change Compensation Principles;
• can demonstrate that it has actually been or will be prevented from performing the Services by the relevant Intervening Event or its consequences; and
• along with the relevant Change Notice, submits to the State such information reasonably required by the State to enable the State to determine Project Co's entitlement to relief,
Project Co's obligations to perform those Services will be suspended for the period of the Intervening Event.
For a discussion of the concept of 'prevention' see section 2.27.3 above.
Where the Intervening Event is:
• the consequence of a breach of a Direct Interface Deed by a Direct Interface Party, (on the basis that Project Co's entitlement to compensation will be addressed under the relevant Direct Interface Deed);
• a Force Majeure Event (refer to section (a)(i)2.28.2 for discussion on relief and compensation for an Intervening Event which is a Force Majeure Event); or
• an Insured Risk (which is a not a Force Majeure Event) for which Project Co is unable to recover insurance proceeds as a result of a State Insurance Breach (on the basis that the State will only take risk on the Insurances responding and the sufficiency of Insurance coverage for a State Insurance Breach),
for the period during which some or all of Project Co's obligations are suspended for an Intervening Event, the Service Payment will be abated for any suspended services in accordance with the Payment Schedule, but any such Abatement will not constitute a breach of the Abatement thresholds for the purposes of the relevant Major Default or Default Termination Event definitions.
For all other Intervening Events, for the period during which Project Co's obligations are suspended in connection with the Intervening Event, the Service Payment will not be subject to Abatement and the State will continue to pay Project Co the unabated Service Payment, less any costs not incurred by Project Co as a result of the suspension.
If the Intervening Event is a Compensable Intervening Event, Project Co will, in addition to payment of the unabated Service Payment (if applicable), be entitled to compensation calculated in accordance with Item 6, Table 1 of the Change Compensation Principles. Refer to section 2.28 for a discussion on Intervening Events which are Force Majeure Events.
Project Co's right to relief arising from an Intervening Event does not affect the State's step-in rights (see section 2.46 for further discussion).