1155.This section is based on sections 4(2AB) and 20(5) and (6) of CAA 1990. It sets out how the concept of “the relevant interest” in the building in Chapter 3 is to be applied in the case of a highway concession.
1156.Subsection (1) gives the general rule that a highway concession is not regarded as an interest in a road on which construction expenditure has been incurred.
1157.Subsection (2) provides an exception to subsection (1). If:
expenditure has been incurred on the construction of a road by a person; and
at that time that person holds no interest in the road but instead was entitled to a highway concession over it;
then that highway concession can be treated as the relevant interest in relation to that construction expenditure.
1158.Subsection (3) refers to section 344. That section is concerned with a new or renewed concession being treated as an extension of the previous or original concession. This is also to be applied when determining the relevant interest.