Paragraph 4 Grant of new rights to the Secretary of State

(1)

This paragraph applies where, after the Secretary of State has consulted with the manager—

(a)

the manager refuses to grant a right to the Secretary of State; and

(b)

the Secretary of State is of the view that, for reasons of defence or national security, there is an overriding public interest in the right being granted to the Secretary of State.

(2)

The Secretary of State may give notice to the manager in writing stating—

(a)

that the Secretary of State requires the right to be granted;

(b)

the Secretary of State’s reasons for requiring the right to be granted; and

(c)

the terms and conditions on which the right is to be granted, including—

(i)

the date on which the right is to begin (which must not be any earlier than one month after the day on which the notice is given), and

(ii)

the term for which the right is to be granted.

(3)

If the Secretary of State is of the view that, for reasons of defence or national security, there is an overriding public interest in the reasons mentioned in sub-paragraph (2)(b) not being made public—

(a)

the Secretary of State must state that view in the notice, and

(b)

sub-paragraph (2)(b) does not apply.

(4)

The terms and conditions mentioned in sub-paragraph (2)(c) must provide that the Secretary of State is to pay market value for the right.

(5)

Where notice is given under sub-paragraph (2), a right is deemed to be granted by the manager on the terms and conditions specified in the notice.

(6)

Sub-paragraph (5) is subject to any alternative agreement which the manager and the Secretary of State may reach.