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12. The two Governments will collaborate generally with regard to the location of machinery set up under international organizations, such as the United Nations Relief and Rehabilitation Administration, and, in particular, with regard to the location of the Par Eastern Committee of that Administration. Security and Defence 13. The two Governments agree that, within the framework of a general system of world security, a regional zone of defence comprising the South-west and South Pacific areas shall be established and that this zone should be based on Australia and New Zealand, stretching through the arc of islands north and north-east of Australia, to Western Samoa and the Cook Islands. 14. The two Governments regard it as a matter of cardinal importance that they should both be associated not only in the membership, but also in the planning and establishment, of the general international organization referred to in the Moscow Declaration of October, 1943, which organization is based on the principle of the sovereign equality of all peace-loving states and open to membership by all such states, large or small, for the maintenance of international peace and security. 15. Pending the re-establishment of law and order and the inauguration of a system of general security, the two Governments hereby declare their vital interest in the action on behalf of the community of nations contemplated in Article sof the Moscow Declaration of October, 1943. Por that purpose it is agreed that it would be proper for Australia and New Zealand to assume full responsibility for policing or sharing in policing such areas in the South-west and South Pacific as may from time to time be agreed upon. 16. The two Governments accept as a recognized principle of international practice that the construction and use, in time of war, by any power of naval, military, or air installations, in any territory under the sovereignty or control of another power does not, in itself, afford any basis for territorial claims or rights of sovereignty or control after the conclusion of hostilities. Civil Aviation 17. The two Governments agree that the regulation of all air transport services should be subject to the terms of a convention which will supersede the Convention relating to the Regulation of Aerial Navigation. 18. The two Governments declare that the air services using the international air trunk routes should be operated by an international air transport authority. 19. The two Governments support the principles that — (a) Pull control of the international air trunk routes and the ownership of all aircraft and ancillary equipment should be vested in the international air transport authority ; (b) The international air trunk routes should themselves be specified in the international agreement referred to in the next succeeding clause. 20. The two Governments agree that the creation of the international air transport authority should be effected by an international agreement. 21. Within the framework of the system set up under any such international agreement the two Governments support — (a) The right of each country to conduct all air transport services within its own national jurisdiction, including its own contiguous territories, subject only to agreed international requirements regarding safety, facilities, landing and transit rights for international services and exchange of mails ; (b) The right of Australia and New Zealand to utilize to the fullest extent their productive capacity in respect of aircraft and raw materials for the production of aircraft ; and (c) The right of Australia and New Zealand to use a fair proportion of their own personnel, agencies, and materials in operating and maintaining international air trunk routes. 22. In the event of failure to obtain a satisfactory international agreement to establish and govern the use of international air trunk routes, the two Governments will support a system of air trunk routes controlled and operated by Governments of the British Commbnwealth of Nations under government ownership. 23. The two Governments will act jointly in support of the above-mentioned principles with respect to civil aviation, and each will inform the other of its existing interests and commitments, as a basis of advancing the policy herein agreed upon. Dependencies and Territories 24. Following the procedure adopted at the Conference which has just concluded, the two Governments will regularly exchange information and views in regard to all developments in or affecting the islands of the Pacific. 25. The two Governments take note of the intention of the Australian Government to resume administration at the earliest possible moment of those parts of its territories which have not yet been reoccupied. 26. The two Governments declare that the interim administration and ultimate disposal of enemy territories in the Pacific are of vital importance to Australia and New Zealand, and that any such disposal should be effected only with their agreement and as part of a general Pacific settlement. 27. The two Governments declare that no change in the sovereignty or system of control of any of the islands of the Pacific should be effected except as a result of an agreement to which they are parties or in the terms of which they have both concurred. Welfare and Advancement of Native Peoples of the Pacific 28. The two Governments declare that, in applying the principles of the Atlantic Charter to the Pacific, the doctrine of " trusteeship " (already applicable in the case of the mandated territories of which the two Governments are mandatory powers) is applicable in broad principle to all colonial territories in the Pacific and elsewhere, and that the main purpose of the trust is the welfare of the native peoples and their social, economic, and political development.

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