The State and Project Co will appoint an independent party, the Handover Reviewer, to review the Maintained Assets towards the end of the Term and determine whether they will meet the Handover Condition.
The PV Standard Project Deeds provide that the review will commence:
• if the Expiry Date is the Final Expiry Date, 24 Months prior to the Final Expiry Date. However, timing should be determined on a project specific basis with 24 months being the minimum period; and
• if the Expiry Date is earlier than the Final Expiry Date, within such shorter period before the Expiry Date as is reasonably required by the State.
The Handover Reviewer will determine the Final Refurbishment Works to be undertaken to meet the Handover Condition and the cost of such work.
Where the aggregate of the remaining Service Payments is equal to or less than the 120 per cent of the estimated total cost of the remaining Final Refurbishment Works, Project Co must provide security to the State for the difference. Security can be in the form of deductions from the Service Payments paid into an escrow account or a Handover Bond (where the remaining Service Payments are insufficient, Project Co must provide a Handover Bond).
If Project Co fails to complete the Final Refurbishment Works:
• to the satisfaction of the Handover Reviewer; or
• within a timeframe specified by the Handover Reviewer,
the State may exercise its rights of step in to complete any Final Refurbishment Works and all costs incurred by the State in doing so will be a debt due and payable by Project Co to the State.