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airline of the Republic of Mauritius that operates between a point in the territory of the Portuguese Republic and

another point in the territory of the Portuguese Republic or in the territory of another European Union Member

State.

ARTICLE 12

User Charges

1. Each Party shall endeavour to ensure that user charges imposed or permitted to be imposed by its

competent authorities on a designated airline of the other Party are just and reasonable. These charges shall be

based on sound economic principles.

2. Neither Party shall impose or permit to be imposed on a designated airline of the other Party user charges

higher than those imposed on its own designated airline conducting similar international air transportation using

similar aircraft and associated facilities and services.

3. Each Party shall encourage consultations between its responsible charging bodies and the designated

airlines using the facilities and services. Where practicable, such consultations should be through the appropriate

representative airline organization.

4. Each Party shall encourage the competent charging authorities or bodies and the airlines to exchange such

information as may be necessary to permit an accurate review of the reasonableness of the charges in

accordance with the principles enunciated in paragraphs 1 and 2 of this Article. Each Party shall encourage the

competent charging authorities to provide users with reasonable notice of any proposal for changes in user

charges to enable users to express their views before changes are made.

ARTICLE 13

Conversion and Transfer of Revenues

1. Each Party grants to the designated airlines of the other Party the right of free transfer at the official rate of

currency exchange, of revenues tax exempted and of the excess of receipts over expenditures achieved in

connection with the carriage of passengers, baggage, cargo and mail on the agreed services in its territory, and

in accordance with the applicable domestic law in the territory of the Party from which the transfer is made.

2. For the purpose of this Article, the applicable domestic law of the Portuguese Republic includes all

measures taken by the European Union.

ARTICLE 14

Principles Governing Operation of Agreed Services

1. The capacity to be provided by the designated airlines of each Contracting Party shall bear a relationship

to the requirements of the public for transportation on the agreed routes and shall have as its primary objective

the provision, at a reasonable load factor, of capacity adequate to meet the current and reasonably anticipated

requirements for the carriage of passengers baggage, cargo and mail originating from or destined for the territory

of the Contracting Party which has designated the airlines.

2. Any provision by the designated airlines for the carriage of traffic to be uplifted from or discharged at points

on the specified routes in the territories of third States, shall be made in accordance with the general principles

that capacity shall be related to -

(a) traffic requirements to and from the territory of the Contracting Party which has designated the airlines;

(b) traffic requirements of the area through which the agreed services pass, after taking account of other

transport services established by the airlines of the States comprising the area; and

(c) the requirements of through airline operation.

3. The capacity and frequency of services to be operated by the designated airlines of each Contracting Party

shall be subject to predetermination jointly done by the Aeronautical Authorities of both Contracting Parties on

the basis of the principles enshrined in this Article.