Section 16, The Public-Private Partnership Act, 2010

(1) A contracting authority shall have the right, underthe prescribed circumstances set out in a PPP Agreement, to take over the operation of a PPP Project, for the purpose of ensuring the effective and uninterrupted delivery or timely completion of the PPP Project in the event of a- (a) material default by the private partner in the performance of its obligations; and (b) failure by the private partner to rectify the breach within a reasonable period of time after having been given notice by the contracting authority to do so. (2) The duration of a takeover referred to in subsection (1) and the residual rights– (if any) of the private partner shall be as set out in the PPP Agreement. (3) When a contracting authority elects to take over a PPP Project under subsection (1), the contracting authority, in accordance with the terms of the PPP Agreement— (a) shall collect and pay any revenues that are subject to lien to satisfy any obligation; (b) may develop and operate the PPP Project, impose user levies and comply with any existing service contract; and (c) may solicit proposals, as appropriate, for the construction, maintenance or operation of the