Subject to the provisions of this section, F1Scottish Water may, by agreement with the owner of F2any private sewage treatment worksF3 or private SUD system , or failing such agreement, in pursuance of proposals made by F4it under subsection (2) below, take over the works F5or system .

F6Scottish Water may, by notice served on the owner of works F7or a SUD system as mentioned in the foregoing subsection, intimate F8its proposals to take over the works F9or system within such period, not being less than 2 months, as may be specified in the notice, and on such conditions, including if F10it thinks fit conditions as to payment of compensation by F11it, as may be so specified F12... ; any notice served under this subsection shall inform the owner of his right of appeal under subsection (3) below.

If an owner on whom a notice has been served under subsection (2) above is aggrieved by the notice, he may, within the period specified in the notice, appeal to the Secretary of State who may confirm the proposals of F13Scottish Water and any conditions so specified either with or without modification or refuse to confirm them.

All works F14and any SUD system taken over by F15Scottish Water under this section shall vest in F16it in accordance with the terms of any agreement made under subsection (1) above, or failing such agreement, at the end of the period specified under subsection (2) above or on such date as may be specified by the Secretary of State in his decision on an appeal under subsection (3) above.

Subject to the provisions of this Act, a person who immediately before the taking over of works F17or a SUD system under this section was lawfully entitled to use them F18or it shall continue to be so entitled after they haveF19or it has been so taken over.

An agreement under subsection (1) above or proposals under subsection (2) above may relate to a part only of works F20or a SUD system .