National Water Act, 1998 (Act No. 36 of 1998)

Regulations

Water Use Licence Application and Appeals Regulations, 2017

Regulations regarding the Procedural Requirements for Water Use Licence Applications and Appeals

Annexures

Annexure E
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ANNEXURE E

 

SECURITY AND GUARANTEE

 

DEED OF SURETYSHIP (to be completed prior to award of licence)

 

WHEREAS: the responsible authority awarded a licence to (hereinafter called "the Licencee ") dated ......I......I.......for the authorisation of water use activities in the licence, and it is provided by such licence that the Licencee shall provide the responsible authority with security by way of suretyship for the due and faithful fulfilment of such conditions of the Licencee;

 

AND WHEREAS ........................................................................................................................

Has/have at the request of the Licencee, agreed to give such security;

 

NOW THEREFORE WE,

 

...............................................................................................................................................

do hereby guarantee and bind ourselves jointly and severally as Sureties and Co-principal Debtors to the responsible authority under renunciation of the benefits of division and excursion for the due and faithful performance by the Licencee of all the terms and conditions of the said Licence, subject to the following conditions:

 

1. The responsible authority shall, without reference and /or notice to us, have complete liberty of action to act in any manner authorised and/or contemplated by the terms of the said Licence, and /or to agree to any modifications, variations, alterations, directions or extensions of the conditions under said Licence, and at that its rights under this guarantee shall in no way be prejudiced nor our liability hereunder be affected by reason of any steps which the responsible authority may take under such Licence, or of any modification, variation, alterations of the conditions which the responsible authority may make, give, concede or agree to under said Licence.

 

2. The responsible authority shall, at any time during the subsistence of this licence and within five years after the licence has expired, be entitled, without reference to us, to release any securities held by it, and to give time to or compound or make any arrangement with the Licensee, if any licence condition or provision of the Act is being violated.

 

3. This guarantee shall remain in full force and effect until the issue of the Certificate of Rehabilitation in terms of the Licence, unless we are advised in writing by the responsible authority before the issue of the said Certificate of his intention to institute claims, and the particulars thereof, in which event the guarantee shall remain in full force and effect until all such claims have been paid or liquidated.

 

4. Our total liability hereunder shall not exceed the sum of ....................... (R.............................)

 

5. The licensee hereby attaches a letter of credit from the bank, a surety or a bank guarantee, a bond, or an insurance policy [*delete whichever is not applicable], in favour of the responsible authority

 

6. We hereby choose domicilium citandi et executandi for all purpose arising hereof at................................................................................................................................