Article 8 — Designation of air traffic service providers

1. Member States shall ensure the provision of air traffic services on an exclusive basis within specific airspace blocks in respect of the airspace under their responsibility. For this purpose, Member States shall individually or collectively, designate one or more air traffic service providers. Member States shall have discretionary powers in designating air traffic service providers on condition that such air traffic service providers fulfil the requirements laid down in this Article without prejudice to Article 11(3). 2. Air traffic service providers shall fulfil the following cumulative conditions: (a) hold a certificate pursuant to Article 41 of Regulation (EU) 2018/1139 or a valid declaration pursuant to Article 41(5) of Regulation (EU) 2018/1139, without prejudice to Article 7(4) of this Regulation; (b) comply with the national security and defence requirements; (c) have their principal place of business located in the territory of a Member State; and (d) be owned more than 50 % by Member States or nationals of Member States and effectively controlled by them, whether directly or indirectly through one or more intermediate undertakings, except where otherwise provided for in an agreement with a third country to which the Union is a party. By way of derogation from points (c) and (d), a Member State may designate an air traffic service provider having its principal place of business in a third country or which does not comply with the ownership and control conditions set out in point (d) to provide air traffic services in a limited part of the airspace for which that Member State is responsible where that part of the airspace borders airspace under the responsibility of that third country. 3. The designation of an air traffic service provider shall not be subject to any condition requiring that provider to: (a) be owned directly or through a majority holding by the designating Member State or its nationals; (b) have its principal place of operation or registered office in the territory of the designating Member State; or (c) use only facilities in the designating Member State, where the application of such condition entails a restriction of the freedom to provide services or the freedom of establishment which is not justified in the light of a legitimate objective of general interest, such as public policy, public security or safety, and is not proportionate to that objective. 4. Where relevant, Member States shall specify the rights and obligations to be met by the air traffic service providers designated in accordance with this Article. Those obligations may include conditions for the timely supply of relevant information enabling all aircraft movements to be identified in the airspace under their responsibility. 5. Member States shall assess the rights and obligations referred to in paragraph 4 and compliance with the obligations stemming from this Regulation and from Regulation (EU) 2018/1139 periodically, or whenever they identify relevant changes in the provision of the services, and, if deemed necessary, shall take appropriate decisions regarding the designation of the air traffic service providers concerned, without prejudice to service continuity. 6. Member States shall inform the Commission and other Member States without delay of any decision taken on the basis of this Article regarding the designation of an air traffic service provider within specific airspace blocks in respect of the airspace under their responsibility.