Index: /Users/alex/Library/OpenSource/cocoon/blocks/cocoon-html/cocoon-html-impl/src/main/java/org/apache/cocoon/transformation/NekoHTMLTransformer.java
===================================================================
--- /Users/alex/Library/OpenSource/cocoon/blocks/cocoon-html/cocoon-html-impl/src/main/java/org/apache/cocoon/transformation/NekoHTMLTransformer.java	(revision 531860)
+++ /Users/alex/Library/OpenSource/cocoon/blocks/cocoon-html/cocoon-html-impl/src/main/java/org/apache/cocoon/transformation/NekoHTMLTransformer.java	(working copy)
@@ -18,6 +18,7 @@
 
 import java.io.ByteArrayInputStream;
 import java.io.IOException;
+import java.nio.charset.Charset;
 import java.util.HashMap;
 import java.util.Iterator;
 import java.util.Map;
@@ -30,8 +31,8 @@
 import org.apache.avalon.framework.parameters.Parameters;
 import org.apache.cocoon.ProcessingException;
 import org.apache.cocoon.environment.SourceResolver;
+import org.apache.cocoon.xml.IncludeXMLConsumer;
 import org.apache.cocoon.xml.dom.DOMBuilder;
-import org.apache.cocoon.xml.IncludeXMLConsumer;
 import org.apache.excalibur.source.Source;
 import org.apache.xerces.parsers.AbstractSAXParser;
 import org.cyberneko.html.HTMLConfiguration;
@@ -42,10 +43,13 @@
 
 /**
  * Converts (escaped) HTML snippets into tidied HTML using the NekoHTML library.
- * This transformer expects a list of elements, passed as comma separated
- * values of the "tags" parameter. It records the text enclosed in such
- * elements and pass it thru Neko to obtain valid XHTML.
- *
+ * This transformer expects a list of elements, passed as comma separated values
+ * of the "tags" parameter. It records the text enclosed in such elements and
+ * pass it thru Neko to obtain valid XHTML.
+ * 
+ * Automatically sets the encoding of the local system as default-encoding
+ * parameter for nekohtml to work properly
+ * 
  * @version $Id$
  */
 public class NekoHTMLTransformer
@@ -94,7 +98,7 @@
         Attributes attr)
         throws SAXException {
         super.startElement(uri, name, raw, attr);
-		if (this.tags.containsKey(name)) {
+        if (this.tags.containsKey(name)) {
             this.startTextRecording();
         }
     }
@@ -174,7 +178,7 @@
         super.setup(resolver, objectModel, src, par);
         String tagsParam = par.getParameter("tags", "");        
         if (getLogger().isDebugEnabled()) {
-        	getLogger().debug("tags: " + tagsParam);
+            getLogger().debug("tags: " + tagsParam);
         }        
         this.tags = new HashMap();
         StringTokenizer tokenizer = new StringTokenizer(tagsParam, ",");
@@ -193,6 +197,7 @@
         private static HTMLConfiguration getConfig(Properties properties) {
             HTMLConfiguration config = new HTMLConfiguration();
             config.setProperty("http://cyberneko.org/html/properties/names/elems", "lower");
+            config.setProperty("http://cyberneko.org/html/properties/default-encoding", Charset.defaultCharset().name());
             if (properties != null) {
                 for (Iterator i = properties.keySet().iterator();i.hasNext();) {
                     String name = (String) i.next();