- 1
- Either Contracting Party shall have the right to designate one or more Airline(s) to operate International Air Services on the routes specified in the Annex and to substitute another Airline for an Airline previously designated. Such designations shall be transmitted to the other Contracting Party in writing through diplomatic channels.
- On receipt of such a designation the other Contracting Party shall grant the appropriate operating authorisations and permissions with minimum procedural delay, provided:
-
- a)in the case of an airline designated by the Kingdom of the Netherlands:
- 1.it is established in the territory of the Kingdom of the Netherlands under the Treaty establishing the European Community and has a valid Operating Licence in accordance with European Community Law; and
- 2.effective regulatory control of the airline is exercised and maintained by the European Community Member State responsible for issuing its Air Operator’s Certificate and the relevant Aeronautical Authority is clearly identified in the designation;
- b)in the case of an airline designated by the Philippines:
- 1.majority ownership and effective control of such airline are vested in the Philippines and/or its nationals; and
- 2.such airline has a valid Operating License in accordance with applicable law of the Philippines and effective control is exercised by the Philippines,
- c)the designated airline is qualified to meet the conditions prescribed under the laws and regulations normally applied to the operation of international air services by the Party considering the application or applications;
- d)the designated airline qualifies before the Aeronautical Authorities of the Contracting Party assessing the authorization, under the laws and regulations normally and reasonably applied to the operation of the International Air Services by these Authorities in conformity with the Convention;
- e)the designated airline(s) operate(s) in accordance with the conditions prescribed under this Agreement.
- 2
- Either Contracting Party may revoke, suspend or limit the operation authorisation or technical permissions of an airline designated by the other Contracting Party where:
-
- a)in the case of an airline designated by the Kingdom of the Netherlands:
- 1.it is not established in the territory of the Kingdom of the Netherlands under the Treaty establishing the European Community or does not have a valid Operating Licence in accordance with European Community Law; or
- 2.effective regulatory control of the airline is not exercised or not maintained by the European Community Member State responsible for issuing its Air Operator’s Certificate or the relevant aeronautical authority is not clearly identified in the designation;
- b)in the case of an airline designated by the Philippines:
- 1.majority ownership and effective control of such airline are not vested in the Philippines and/or its nationals; or
- 2.such airline does not have a valid Operating License in accordance with applicable law of the Philippines or effective control is not exercised by the Philippines;
- c)that airline has failed to comply with the laws and regulations referred to in this Agreement;
- d)the airline is already authorized to operate under a bilateral agreement between the Philippines and another Member State which is exercising traffic rights under this Agreement on a route that includes a point in that other Member State, the airline would in effect be circumventing restrictions on the traffic rights imposed by that other agreement; or
- e)the designated airline holds an Air Operators Certificate issued by a Member State, there is no bilateral air services agreement between the Philippines and that Member State and the traffic rights necessary to conduct the operation proposed by such designated airline are not reciprocally available to the designated carriers of the Philippines.
