(1) When a local authority has under the authority of an order completed a tramway, or has under the provisions of this Act or of an order acquired possession of a tramway, it may, by a lease to be approved by the ¹[Government], let to any person the right of user of the tramway and of demanding and taking the authorized tolls.
     (2) On the determination of a lease the local authority may from time to time let the right for such further term and on such conditions as the ¹[Government] may approve.
     (3) Every lease made under this section shall imply a condition of re-entry if at any time after the making thereof it is proved to the satisfaction of the ¹[Government] that the lessee has practically discontinued the working of the tramway leased, or of any part thereof, for the space of one month without a reason sufficient, in the opinion of the ¹[Government], to warrant the discontinuance.
     (4) Notice of the intention of the local authority to make a lease shall be given in manner prescribed.
     (5) If the local authority cannot by means of a lease obtain what it deems to be a fair rent for the tramway, it may itself, with the previous sanction of the ¹[Government] and for such term as the ¹[Government] directs, place and run carriages upon the tramway, and demand and take the authorised tolls in respect of the use of the carriages.