### article 3 geographical coverage for cross - border cooperation , the regions to be supported shall be the nuts level 3 regions of the union along all internal and external land borders other than those covered by programmes under the external financial instruments of the union , and all nuts level 3 regions of the union along maritime borders separated by a maximum of 150 km , without prejudice to potential adjustments needed to ensure the coherence and continuity of cooperation programme areas established for the 2007 - 2013 programming period . the commission shall adopt the list of cross - border areas to receive support , broken down by cooperation programme , by means of implementing acts . those implementing acts shall be adopted in accordance with the advisory procedure referred to in article 30 . that list shall also specify those nuts level 3 regions in the union taken into account for the erdf allocation to cross - border cooperation on all internal and those external borders covered by the external financial instruments of the union , such as eni pursuant to regulation no [ … ] / 2012 [ the eni regulation ] and ipa pursuant to regulation no [ … ] / 2012 the ipa regulation ] . when submitting draft cross - border cooperation programmes , member states may request that additional nuts level 3 regions adjacent to those listed in the decision referred to in the second subparagraph are added to a given cross - border area and shall give reasons for the request . 2 . without prejudice to article 19 and , cross - border cooperation programmes may cover regions from norway , switzerland , liechtenstein , andorra , monaco and san marino and third countries or territories neighbouring outermost regions . such regions shall be nuts level 3 equivalent regions . 3 . for transnational cooperation , the commission shall adopt the list of transnational areas to receive support , broken down by cooperation programme and covering nuts level 2 regions while ensuring the continuity of such cooperation in larger coherent areas based on previous programmes , by means of implementing acts . those implementing acts shall be adopted in accordance with the advisory procedure referred to in article 30 . when submitting draft transnational cooperation programmes , member states may request that additional nuts level 2 regions adjacent to those listed in the decision referred to in the first subparagraph are added to a given transnational cooperation area and shall give reasons for the request . 4 . without prejudice to article 19 and , transnational cooperation programmes may cover regions from the following third countries or territories : the third countries or territories listed or referred to in paragraph 2 ; and the faroe islands and greenland . without prejudice to article 19 and , transnational cooperation programmes may also cover regions from third countries covered by the external financial instruments of the union , such as eni pursuant to regulation no [ … ] / 2012 , including the relevant regions of the russian federation , and ipa pursuant to regulation no [ … ] / 2012 . annual appropriations corresponding to the support of the eni and ipa to these programmes will be made available , provided that the programmes adequately address the relevant external cooperation objectives . such regions shall be nuts level 2 regions or equivalent regions . 5 . for interregional cooperation , support from the erdf shall cover the entire territory of the union . without prejudice to article 19 and , interregional cooperation programmes may cover the whole or part of the territory of third countries referred to in paragraph 4 and . 6 . for information purposes , regions of third countries or territories referred to in paragraphs 2 and 4 shall be mentioned in the lists referred to in paragraphs 1 and 3 . ### article 3 geographical coverage for cross - border cooperation , the regions to be supported shall be the nuts level 3 regions of the union along all internal and external land borders other than those covered by programmes under the external financial instruments of the union , and all nuts level 3 regions of the union along maritime borders separated by a maximum of 150 km , without prejudice to potential adjustments needed to ensure the coherence and continuity of cooperation programme areas established for the 2007 - 2013 programming period . the commission shall adopt a decision , by means of implementing acts , on the list of cross - border areas to receive support , broken down by cooperation programme . those implementing acts shall be adopted in accordance with the advisory procedure referred to in article 30 . that list shall also specify those nuts level 3 regions in the union taken into account for the erdf allocation to cross - border cooperation on all internal and those external borders covered by the external financial instruments of the union , such as eni pursuant to regulation no [ … ] / 2012 [ the eni regulation ] and ipa pursuant to regulation no [ … ] / 2012 the ipa regulation ] . when submitting draft cross - border cooperation programmes , member states , in duly justified cases , and , in order to ensure the coherence of cross border areas , may request that additional nuts level 3 regions are included to those listed in the decision referred to in the second subparagraph . at the request of those member states concerned , in order to facilitate cross border cooperation on maritime borders for outermost regions , and without prejudice to the provisions of the first subparagraph , the commission may include in the decision referred to in the second subparagraph as cross border areas which may receive support from the corresponding allocation of those member states , nuts level 3 regions in outermost regions along maritime borders separated by more than 150 km . 2 . without prejudice to article 19 and , cross - border cooperation programmes may cover regions from norway , switzerland , liechtenstein , andorra , monaco and san marino and third countries or territories neighbouring outermost regions . such regions shall be nuts level 3 equivalent regions . 3 . for transnational cooperation , the commission shall adopt a decision , by means of implementing acts , on the list of transnational areas to receive support , broken down by cooperation programme and covering nuts level 2 regions while ensuring the continuity of such cooperation in larger coherent areas based on previous programmes , taking account of macro - regional and sea - basin strategies , where appropriate . those implementing acts shall be adopted in accordance with the advisory procedure referred to in article 30 . when submitting draft transnational cooperation programmes , member states may request that additional nuts level 2 regions adjacent to those listed in the decision referred to in the first subparagraph are added to a given transnational cooperation area and shall give reasons for the request . 4 . without prejudice to article 19 and , transnational cooperation programmes may cover regions from the following third countries or territories : the third countries or territories listed or referred to in paragraph 2 ; and the faroe islands and greenland . without prejudice to article 19 and , transnational cooperation programmes may also cover regions from third countries covered by the external financial instruments of the union , such as eni pursuant to regulation no [ … ] / 2012 , including the relevant regions of the russian federation , and ipa pursuant to regulation no [ … ] / 2012 . annual appropriations corresponding to the support of the eni and ipa to these programmes will be made available , provided that the programmes adequately address the relevant external cooperation objectives . such regions shall be nuts level 2 equivalent regions . 5 . for interregional cooperation , support from the erdf shall cover the entire territory of the union . without prejudice to article 19 and , interregional cooperation programmes may cover the whole or part of the territory of third countries referred to in paragraph 4 and . 6 . for information purposes , regions of third countries or territories referred to in paragraphs 2 and 4 shall be mentioned in the lists referred to in paragraphs 1 and 3 . 6 a . in duly justified cases , to increase the efficiency of programme implementation , the outermost regions may combine in a single programme for territorial cooperation , the amounts of the erdf allocated for cross - border and transnational cooperation as referred to in the paragraphs above , including the additional allowance of article 4 , respecting the applicable rules for each of these allocations .


### areas for transnational cooperation should be defined having regard to actions needed to promote integrated territorial development . the commission should be empowered to define transnational cooperation areas . ### areas for transnational cooperation should be defined having regard to actions needed to promote integrated territorial development . the commission should be empowered to define transnational cooperation areas . the commission must take into consideration the necessary adjustments in order to ensure coherence with cross - border regional strategies .


### exchange of experience on thematic objectives among partners throughout the union on the identification and dissemination of good practice with a view to its transfer to operational programmes under the investment for growth and jobs goal ; ### exchange of experience on thematic and territorial objectives among partners throughout the union on the identification and dissemination of good practice with a view to its transfer to operational programmes under the investment for growth and jobs goal ;


### for transnational cooperation , the commission shall adopt the list of transnational areas to receive support , broken down by cooperation programme and covering nuts level 2 regions while ensuring the continuity of such cooperation in larger coherent areas based on previous programmes , by means of implementing acts . those implementing acts shall be adopted in accordance with the advisory procedure referred to in article 30 . ### for transnational cooperation , the commission shall adopt the list of transnational areas to receive support , broken down by cooperation programme and covering nuts level 2 regions while ensuring the continuity of such cooperation in larger coherent areas based on previous programmes , by means of implementing acts . to improve programming efficiency , the transnational areas identified must rely on natural and human geography and consider large sea - basins , river basins and river basins in their breakdown . those implementing acts shall be adopted in accordance with the advisory procedure referred to in article 30 .


### flavour , pulp , and cells obtained by suitable physical means from the same species of fruit may be restored to the juice . ### flavour , pulp and cells from the juice which are separated during processing may be restored to the same juice .


### in order to enhance the free movement of fruit juices and certain similar products within the european union , council directive 2001 / 112 / ec of 20 december 2001 relating to fruit juices and certain similar products intended for human consumption4 has laid down specific provisions regarding production , composition and labelling of the products concerned . those rules should be adapted to technical progress and should take account of developments in relevant international standards , in particular the codex standard for fruit juices and nectars which was adopted by the codex alimentarius commission during its 28th session on 4 - 9 july 2005 and the code of practice of the european fruit juice association . ### in order to enhance the free movement of fruit juices and certain similar products within the european union , council directive 2001 / 112 / ec of 20 december 2001 relating to fruit juices and certain similar products intended for human consumption4 has laid down specific provisions regarding production , composition and labelling of the products concerned . those rules should be adapted .


### biofuels produced from feedstocks listed in part b of annex ix shall be considered to be twice their energy content ; ### biofuels produced from feedstocks listed in annex ix shall be considered to be twice their energy content after prior scientific assessment of their environmental and social sustainability ;


### based on forecasts of biofuel demand provided by the member states and estimates of indirect land - use change emissions for different biofuel feedstocks it is likely that greenhouse gas emissions linked to indirect land use change are significant , and could negate some or all of the greenhouse gas savings of individual biofuels . this is because almost the entire biofuel production in 2020 is expected to come from crops grown on land that could be used to satisfy food and feed markets . in order to reduce such emissions , it is appropriate to distinguish between crop groups such as oil crops , cereals , sugars and other starch containing crops accordingly . ### based on forecasts of biofuel demand provided by the member states and estimates of indirect land - use change emissions for different biofuel feedstocks greenhouse gas emissions linked to indirect land use change are significant , and will negate some or all of the greenhouse gas savings of individual biofuels . this is because almost the entire biofuel production in 2020 is expected to come from crops grown on land that could be used to satisfy food and feed markets . furthermore , increased use of biofuels produced from food crops contributes to food price volatility and could have negative impacts on global food security . this has had significant negative social impacts on livelihoods and the ability to realise human rights including the right to food or access to land for local communities living in poverty in countries outside the union . in order to reduce such emissions and such negative social impacts , it is appropriate to focus in particular on reducing the projected use of biofuels grown on land .


### the estimated indirect land - use change emissions should be included in the reporting of greenhouse gas emissions from biofuels under directives 98 / 70 / ec and 2009 / 28 / ec . biofuels made from feedstocks that do not lead to additional demand for land , such as those from waste feedstocks , should be assigned a zero emissions factor . . ### in order to make sure that union targets for greenhouse gas emission savings and biofuels are meaningful and effective , indirect land - use change emissions should be taken into account when calculating the greenhouse gas emission savings required under the sustainability criteria set out in directive 2009 / 28 / ec and directive 98 / 70 / ec . indirect land - use change emissions should also be counted towards the target set in article 7a , in order to offer incentives for the production of biofuels with a low indirect land - use change impact . biofuels made from feedstocks that do not lead to additional demand for land , such as those from waste feedstocks , should be assigned a zero emissions factor .


### based on forecasts of biofuel demand provided by the member states and estimates of indirect land - use change emissions for different biofuel feedstocks it is likely that greenhouse gas emissions linked to indirect land use change are significant , and could negate some or all of the greenhouse gas savings of individual biofuels . this is because almost the entire biofuel production in 2020 is expected to come from crops grown on land that could be used to satisfy food and feed markets . in order to reduce such emissions , it is appropriate to distinguish between crop groups such as oil crops , cereals , sugars and other starch containing crops accordingly . ### based on forecasts of biofuel demand provided by the member states and estimates of indirect land - use change emissions for different biofuel feedstocks , greenhouse gas emissions linked to indirect land use change are significant , and will negate some or all of any greenhouse gas savings of individual biofuels . this is because almost the entire biofuel production in 2020 is expected to come from crops grown on land that could be used to satisfy food and feed markets . indirect land - use changes therefore need to be taken into account so as to prevent these potential sources of emissions from undermining efforts to meet the union ' s renewable energy and greenhouse gas emission targets . in order to reduce indirect land - use change and land grabbing , it is appropriate therefore to distinguish between land - based energy crops on the one hand , and non - land - based biofuels on the other hand . furthermore , eu public subsidies for the biofuels industry incentivise land - use change and land - grabbing and should be phased out by 2020 at the latest .


### in order to ensure the long - term competitiveness of bio - based industrial sectors , and in line with the 2012 communication ‘ innovating for sustainable growth : a bioeconomy for europe’ and the roadmap to a resource efficient europe , promoting integrated and diversified biorefineries across europe , enhanced incentives under directive 2009 / 28 / ec should be set in a way that gives preference to the use of biomass feedstocks that do not have a high economic value for other uses than biofuels . ### in order to ensure the long - term competitiveness of bio - based industrial sectors , and in line with the 2012 communication ' innovating for sustainable growth : a bioeconomy for europe ' and the roadmap to a resource efficient europe , promoting integrated and diversified biorefineries across europe , enhanced incentives under directive 2009 / 28 / ec should be set in a way that gives preference to the use of biomass feedstocks that do not have a high economic value for other uses than biofuels . it is also essential to make sure that eu waste policies remain consistent and that the waste hierarchy set out in article 4 of directive 2008 / 98 / ec is applied . no negative incentives that could jeopardise proper implementation of this directive should be created .


### the estimated indirect land - use change emissions should be included in the reporting of greenhouse gas emissions from biofuels under directives 98 / 70 / ec and 2009 / 28 / ec . biofuels made from feedstocks that do not lead to additional demand for land , such as those from waste feedstocks , should be assigned a zero emissions factor . ### in order to make sure that eu targets for greenhouse gas emission savings and biofuels are effectively met , indirect land - use change emissions should be taken into account when calculating the greenhouse gas emission savings required under the sustainability criteria set out in directive 2009 / 28 / ec and directive 98 / 70 / ec . indirect land - use change emissions should also be counted towards the target set in article 7aof directive 98 / 70 / ec , in order to offer incentives for the production of biofuels with a lower indirect land - use change impact . biofuels made from feedstocks that do not lead to additional demand for land , such as those from waste and residues , should be assigned a zero emissions factor provided they meet adequate sustainability standards .


### selected candidates from national diplomatic services who are seconded by their member states should be employed as temporary agents and thus be put on equal footing with officials . the implementing provisions to be adopted by the eeas should guarantee career perspectives for temporary agents that are equivalent to those of officials . ### selected candidates from national diplomatic services who are seconded by their member states should be employed as temporary agents and thus be put on equal footing with officials . the implementing provisions to be adopted by the eeas should guarantee equivalent career prospects for temporary agents and officials .


### in order to take account of specific situations in a flexible manner , a transfer of officials in the interests of the service , that is without prior publication of the vacant post , from the council or the commission to the eeas should also be made possible in exceptional cases . similarly , it should be possible to transfer officials in the interest of the service from the eeas to the council or the commission . ### in order to take account of specific situations in a flexible manner , a transfer of officials in the interests of the service , that is without prior publication of the vacant post , from the council or the commission to the eeas should also be made possible in duly justified exceptional cases . similarly , it should be possible to transfer officials in the interest of the service from the eeas to the council or the commission .


### they may be engaged for a maximum period of four years . contracts may be renewed more than once for a maximum period of four years for each renewal . a renewal shall be granted on condition that the secondment from the national diplomatic service is extended for the period of renewal . ### they may be engaged for a maximum period of four years . contracts may be renewed more than once for a maximum period of four years . in total , engagement should not exceed eight years . however , in exceptional circumstances and in the interests of the service , at the end of the eighth year , the contract may be extended for a maximum period of two years .


### selected candidates from national diplomatic services who are seconded by their member states should be employed as temporary agents and thus be put on equal footing with officials . the implementing provisions to be adopted by the eeas should guarantee career perspectives for temporary agents that are equivalent to those of officials . ### selected candidates from national diplomatic services who are seconded by their member states should be recruited according to an objective and transparent procedure and employed as temporary agents and thus be put on equal footing with officials . the implementing provisions to be adopted by the eeas should guarantee equivalent career prospects for temporary agents and officials within the eeas .


### the fund shall support national schemes whereby food products and basic consumer goods for the personal use of homeless persons or of children are distributed to the most deprived persons through partner organisations selected by member states . ### the fund shall support national systems for distributing healthy food products to the most deprived as well as basic consumer goods for their personal use . the distribution shall be carried out by partner organisations which are selected by member states and the work of whose members and / or volunteers is at least in part concerned with the distribution of food products and / or agricultural products to the most deprived .


### the fund shall support national schemes whereby food products and basic consumer goods for the personal use of homeless persons or of children are distributed to the most deprived persons through partner organisations selected by member states . ### the fund shall support national and local schemes whereby high - quality food products and basic consumer goods for their personal use are distributed to the most deprived persons . the distribution shall be carried out by partner organisations which are selected by member states and the work of whose members and / or volunteers is concerned at least in part with the distribution of food products and / or agricultural products to the most deprived .


### the commission shall establish a facility targeting the cultural and creative sectors and operated within the context of a union debt instrument for small and medium - sized enterprises . this facility shall have the following priorities : ### the commission shall establish , in accordance with the rules laid down in annex i , a guarantee facility targeting the cultural and creative sectors . it shall be opened to cultural and creative smes and organisations established in a member state and shall :


### the transnational character of its activities and their impact , which will complement national , international and other union programmes ; ### the transnational character of actions and activities &#8211 ; and their impact on , particular , the cultural and creative sectors &#8211 ; which will complement national , international and other union programmes and policies ;


### one of the greatest challenges of the cultural and creative sectors , especially small operators including small and medium - sized enterprises and micro - enterprises , is their difficulty accessing the funds they need to finance their activities , grow , maintain their competitiveness or internationalise . while this is a common challenge for smes in general , the situation is significantly more difficult in the cultural and creative sectors due to the intangible nature of many of their assets , the prototype profile of their activities , the lack of investment - readiness of the operators in the sectors as well as the insufficient investor - readiness of financial institutions . ### one of the greatest challenges of the cultural and creative sectors , especially small operators including micro , small and medium - sized enterprises , is the difficulty they face in accessing the funds they need to finance their activities , grow , maintain their competitiveness or internationalise their action . while this is a common challenge for smes in general , the situation is significantly more difficult in the cultural and creative sectors due to the intangible nature of many of their assets , the prototype profile of their activities , and their intrinsic need to take risks and experiment in order to innovate . this risk - taking by operators needs to be understood and supported also by financial institutions .


### cooperation measures bringing together operators from different countries to undertake sectoral or cross - sectoral activities ; ### transnational cooperation measures and projects bringing together cultural and creative operators from different countries to undertake sectoral or cross - sectoral activities ;


### in addition to the regular monitoring the commission shall establish an external evaluation report no later than end - 2017 in order to assess the effectiveness in achieving the objectives and the efficiency of the programme and its european added value in view of a decision on the renewal , modification or suspension of the programme . the evaluation shall address the scope for simplification , its internal and external coherence , the continued relevance of all objectives , as well as the contribution of the measures to the union priorities of smart , sustainable and inclusive growth . it shall take into account evaluation results on the long - term impact of decision no 1855 / 2006 / ec , decision no 1718 / 2006 / ec and decision no 1041 / 2009 / ec of the european parliament and of the council . ### the commission shall ensure that the framework programme is evaluated regularly , externally and independently . in order to assess the effectiveness in achieving the objectives and the efficiency of the framework programme , the evaluation shall address the possibility of its being simplified , its internal and external coherence , and the continued relevance of its objectives . as well as considering the indicators referred to in paragraph 1 , the evaluation shall include an assessment of other relevant factors , such as the difference between the average interest rate of loans provided under the guarantee facility and the average interest rate of loans generally provided to smes under normal market conditions . evaluation results on the long - term impact of decision no 1855 / 2006 / ec , decision no 1718 / 2006 / ec and decision no 1041 / 2009 / ec of the european parliament and of the council shall also be taken into account . the commission shall present a mid - term evaluation report to the european parliament and the council by 31 december 2017 .


### the treaty aims at an ever closer union among the peoples of europe and confers on the union the task , inter alia , of contributing to the flowering of cultures of member states , while respecting their national and regional diversity and at the same time ensuring that the conditions necessary for the competitiveness of the union ' s industry exist . in this respect , the union , where necessary , supports and supplements member states ' actions to respect cultural and linguistic diversity , strengthen the competitiveness of the european cultural and creative sectors and facilitate adaptation to industrial changes , in particular through vocational training . ### the treaty aims at an ever closer union among the peoples of europe and confers on the union the task , inter alia , of contributing to the flowering of cultures of member states , while respecting their national and regional diversity and at the same time ensuring at union level that the conditions necessary for the competitiveness of the union ' s industry exist . in this respect , the union , where necessary , supports and supplements member states ' actions to respect cultural and linguistic diversity , safeguard and promote european cultural heritage , and strengthen the economic capacity of the european cultural and creative sectors , in particular through vocational training , while taking due account of the intrinsic value of culture .


### supporting actions providing operators with skills and knowhow encouraging the adaption to digital technologies , including testing new approaches to audience building and business models ; ### supporting actions providing cultural and creative operators with skills , competences and know - how that contribute to strengthening the cultural and creative sectors , including encouraging adaptation to digital technologies , testing new approaches to audience development , promoting active participation , creative partnerships and developing and testing new business models ;


### ensuring a more level playing field in the european cultural and creative sectors by taking account of low production capacity countries and / or countries or regions with a restricted geographical and linguistic area . ### ensuring that participating countries or regions with a restricted geographical and linguistic area , or with a lower capacity for dissemination and / or production , enjoy the possibility of securing a more level playing field in the european cultural and creative sectors .


### the strands shall be open to the participation of the following countries provided that the conditions are met , including those contained within directive 2010 / 13 / eu of the european parliament and of the council of 10 march 2010 on the coordination of certain provisions laid down by law , regulation or administrative action in member states concerning the provision of audiovisual media services for the media strand , and additional appropriations are paid : ### the framework programme , with the exception of the measures listed in article 7 , shall be open to the participation of : – the member states , and – the following countries provided that the conditions are met or are in the process of being met , including , for the media programme , those laid down in directive 2010 / 13 / eu of the european parliament and of the council of 10 march 2010 on the coordination of certain provisions laid down by law , regulation or administrative action in member states concerning the provision of audiovisual media services , and provided that additional appropriations are paid :


### one of the greatest challenges of the cultural and creative sectors , especially small operators including small and medium - sized enterprises and micro - enterprises , is their difficulty accessing the funds they need to finance their activities , grow , maintain their competitiveness or internationalise . while this is a common challenge for smes in general , the situation is significantly more difficult in the cultural and creative sectors due to the intangible nature of many of their assets , the prototype profile of their activities , the lack of investment - readiness of the operators in the sectors as well as the insufficient investor - readiness of financial institutions . ### one of the greatest challenges of the cultural and creative sectors , especially of small operators including micro , small and medium - sized enterprises , is the difficulty they face in accessing the funds they need to finance their activities , grow , maintain their competitiveness or internationalise their activities . while this is a common challenge for smes in general , the situation is significantly more difficult in the cultural and creative sectors due to the intangible nature of many of their assets , the prototype profile of their activities and the lack of investment - readiness of operators in the sectors , as well as insufficient readiness to invest on the part of financial institutions .


### activities by organisations providing a promotional european platform for the development of emerging talent and stimulating the circulation of artists and works , with a systemic and large scale effect ; ### activities by organisations providing european platforms for the promotion of emerging talents and fostering the mobility of artists and their works throughout europe and beyond , with the potential to influence broadly the whole sector , and to provide for lasting effects :


### cooperation measures bringing together operators from different countries to undertake sectoral or cross - sectoral activities ; ### annual and pluri - annual cooperation projects , bringing together cultural and creative operators from different countries , with a view to : – developing activities to stimulate intercultural dialogue and mutual understanding ; – improving access to culture and the arts for as many citizens as possible , this being a means to combat social exclusion . this support measure shall be targeted at not - for - profit projects ;


### transnational cooperation stimulating more comprehensive , rapid and effective responses to global challenges and creating long - term systemic effects on the sectors ; ### transnational cooperation between cultural and creative operators , stimulating more comprehensive , rapid and effective responses to global challenges , i . e . creating long - term developments for the whole sector in terms of new economic models and development ;


### it is necessary to ensure the european added value of all actions carried out within in the framework of the programme , complementarity to member state activities and compliance with article 167 of the treaty and other union activities , in particular in the field of education , research and innovation , industrial and cohesion policy , tourism and external relations . ### it is necessary to ensure the european added value of all actions carried out within the framework programme , their complementarity to member states ' activities and other actions of the union , and their compliance with article 167 of the treaty , in particular in the fields of education and training , research and innovation , industrial and cohesion policy , tourism and external relations , as well as the digital agenda .


### the european cultural and creative sectors are inherently fragmented along national and linguistic lines . on the one hand , fragmentation results in a culturally diverse and highly independent cultural landscape , providing a voice for the different cultural traditions forming the diversity of our european heritage . on the other hand , fragmentation leads to limited and sub - optimal transnational circulation of cultural and creative works and operators within and outside the union , to geographical imbalances and - subsequently - to a limited choice for the consumer . ### the european cultural and creative landscape is not homogeneous in its functioning and its economic impact . it is inherently fragmented also along national and linguistic lines . on the one hand , this situation results in a culturally diverse and highly independent cultural field , providing a voice for the different cultural traditions and experiments and making a common cultural area for the peoples of europe a reality . on the other hand , fragmentation means a series of obstacles impeding the smooth transnational circulation of cultural and creative works , and hampering cultural players within and outside the union , which can lead to geographical imbalances in the area of access to cultural goods .


### conferences , seminars and policy dialogue including in the field of cultural and media literacy ; ### the organisation of conferences , seminars and policy dialogue on cultural , media and digital literacy ;


### one of the greatest challenges of the cultural and creative sectors , especially small operators including small and medium - sized enterprises and micro - enterprises , is their difficulty accessing the funds they need to finance their activities , grow , maintain their competitiveness or internationalise . while this is a common challenge for smes in general , the situation is significantly more difficult in the cultural and creative sectors due to the intangible nature of many of their assets , the prototype profile of their activities , the lack of investment - readiness of the operators in the sectors as well as the insufficient investor - readiness of financial institutions . ### one of the greatest challenges of the cultural and creative sectors , especially ngos or associations , small operators including small and medium - sized enterprises and micro - enterprises , is their difficulty accessing the funds they need to finance their activities , set up their operation , grow , maintain their competitiveness or internationalise . while this is a common challenge for micro - enterprises and smes in general , the situation is significantly more difficult in the cultural and creative sectors due to the intangible nature of many of their assets , the prototype profile of their activities , the lack of investment - readiness of the operators in the sectors as well as the insufficient investor - readiness of financial institutions .


### the digital shift is having a massive impact on how cultural and creative goods and services are made , disseminated , accessed , consumed and monetised . these changes offer great opportunities for the european cultural and creative sectors . lower distribution costs , new distribution channels and new opportunities for niche products can facilitate access and increase circulation worldwide . in order to seize these opportunities and adapt to the context of the digital shift and globalisation , the cultural and creative sectors need to develop new skills and require greater access to finance to upgrade equipment , develop new production and distribution methods and adapt their business models . ### the digital shift is having a massive impact on how cultural and creative goods and services are made , disseminated , accessed , consumed and monetised . these changes offer wide opportunities for the european cultural and creative sectors . lower distribution costs , new distribution channels and new opportunities for niche products can facilitate access and increase circulation of cultural and artistic works worldwide . in order to fully use these opportunities , the cultural and creative sectors need to develop their management and digital skills and therefore require even greater access to finance , in order to upgrade equipment , develop new production and distribution methods and develop their own fair and creative business models .


### facilitate access to finance for small - and medium - sized enterprises and organisations in the european cultural and creative sectors ; ### it shall facilitate access to finance for small - and medium - sized enterprises and organisations in the european cultural and creative sectors , thereby obligating the commission to ensure , in its formal agreement with the european investment fund , that banks or financial intermediaries cannot demand further guarantees in the form of personal guarantees or the alienation of any property rights such as distribution or production rights .


### the climate change mandate shall cover eib financing operations in all countries covered by this decision , where such eib financing operations support the key eu policy objective of tackling climate change by supporting projects in climate change mitigation and adaptation which contribute to the overall objective of the united nations framework convention on climate change , in particular by avoiding or reducing greenhouse gas emissions in the areas of renewable energy , energy efficiency and sustainable transport , or by increasing resilience to the adverse impacts of climate change on vulnerable countries , sectors and communities . the climate change mandate shall be implemented in close cooperation with the commission , combining where possible and appropriate eib financing with eu budget funds . ### the climate change mandate shall cover eib financing operations in all countries covered by this decision , where such eib financing operations support the key eu policy objective of tackling climate change by supporting countries in the implementation of their climate commitments under the united nations framework convention on climate change , in particular by avoiding or reducing greenhouse gas emissions in the areas of renewable energy , energy efficiency and sustainable transport , or by increasing resilience to the adverse impacts of climate change on vulnerable countries , sectors and communities . the climate change mandate shall be implemented in close cooperation with the commission , combining where possible and appropriate eib financing with eu budget funds . the optional mandate shall not be counted as a contribution of the eu and its member states to the ' fast - start ' funds agreed to at the unfccc cop in copenhagen in december 2009 . projects generating carbon credits shall not be considered for support under the additional mandate .


### the eib shall carry out thorough due diligence on development - related aspects of projects covered by the eu guarantee . the eib ' s own rules and procedures shall include the necessary provisions on assessment of environmental and social impact of projects and of aspects related to human rights , to ensure that only projects that are economically , financially , environmentally and socially sustainable are supported under this decision . ### the eib shall carry out thorough due diligence on development - related aspects of projects covered by the eu guarantee . the eib ' s own rules and procedures shall include the necessary provisions on assessment of environmental and social impact of projects and of aspects related to human rights , to ensure that only projects that are wholly economically , financially , environmentally and socially sustainable are supported under this decision .


### in addition to the regional ceilings , the optional mandate of eur 2 000 000 000 should be activated and allocated as an envelope to support eib financing operations in the field of climate change mitigation and adaptation across the regions covered by the mandate . the eib could contribute with its expertise and resources , in close cooperation with the commission , to support public authorities as well as the private sector to address the challenge of climate change and to make the best possible use of available financing . for mitigation and adaptation projects , the resources of the eib should be complemented where possible with concessional funds available under the eu budget , through the efficient and consistent blending of grants and loans for climate change financing in the context of eu external assistance . ### in addition to the regional ceilings , the optional mandate of eur 2 000 000 000 should be activated and allocated as an envelope to support eib financing operations in the field of climate change mitigation and adaptation in and across countries covered by the mandate in implementing their climate change commitment in the framework of the united nations framework convention on climate change process . the eib could contribute with its expertise and resources , in close cooperation with the commission , to support public authorities as well as the private sector to address the challenge of climate change and to make the best possible use of available financing . for mitigation and adaptation projects , the resources of the eib should be complemented where possible with concessional funds available under the eu budget , through the efficient and consistent blending of grants and loans for climate change financing in the context of eu external assistance . the optional mandate should not be counted as a contribution of the eu or its member states to the ' fast - start ' funds agreed to at the unfccc conference of the parties in copenhagen in december 2009 .


### in particular , when assessing the technical and financial capacity of the entities that apply for authorisation for offshore oil and gas activities , due account shall be taken of the risk , hazards and any other relevant information related to the area concerned and the particular stage of exploration and production operations and also of the applicants ' financial capacities , including any financial security and capacity to cover liabilities potentially deriving from offshore oil and gas activities in question , in particular liability for environmental damages . ### in particular , when assessing the technical and financial capacity of the entities that apply for authorisation for offshore oil and gas activities , full account shall be taken of the risk , hazards and any other relevant information related to the area concerned and the particular stage of exploration and production operations and also of the extent to which the applicants intend to apply best available techniques and appropriate standards , technical specifications and guidelines .


### as no existing financial security instruments , including risk pooling arrangements , can accommodate all possible consequences of extreme accidents , the commission should proceed with further analysis and studies of the appropriate measures to ensure adequately robust liability regime for damages related to offshore oil and gas operations , requirements on financial capacity including availability of appropriated financial security instruments or other arrangements . ### member states should ensure that operators in their jurisdiction demonstrate their ability to pay for the consequences of damage caused by their operations , through the provision of financial security , and should decide what instruments are appropriate for this purpose . as no existing financial security instruments , including risk pooling arrangements , can accommodate all possible consequences of extreme accidents , the commission should proceed with further analysis and studies of the appropriate measures to ensure a robust liability regime for damages related to offshore oil and gas operations , and requirements on financial capacity including improving the availability of financial security instruments and arrangements .


### licensing authorities pursuant to directive 94 / 22 / ec shall , when assessing the technical and financial capacity of the entities that apply for authorisation for offshore oil and gas activities , take into account the risks , hazards and any other relevant information related to the location concerned and the particular stage of exploration and production operations . ### licensing authorities pursuant to directive 94 / 22 / ec shall , when assessing the technical and financial capacity of the entities that apply for authorisation for offshore oil and gas activities , take into account the risks , hazards and any other relevant information related to the location concerned and the particular stage of exploration and production operations . licensing authorities shall ensure that financial provisions for potential liabilities provided pursuant to paragraph 2a is proportionate to such risks , hazards and any other relevant information related to the location concerned and stage of operations .


### there is a need to identify any natural person who exercises ownership or control over a legal person . while finding a percentage shareholding will not automatically result in finding the beneficial owner , it is an evidential factor to be taken into account . identification and verification of beneficial owners should , where relevant , extend to legal entities that own other legal entities , and should follow the chain of ownership until the natural person who exercises ownership or control of the legal person that is the customer is found . ### there is a need to identify any natural person who exercises ownership or control over a legal person . while finding a percentage shareholding will not automatically result in finding the beneficial owner , it can be an aid to the identification of the beneficial owner . identification and verification of beneficial owners should , where relevant , extend to legal entities that own other legal entities , and should follow the chain of ownership until the natural person who exercises ownership or control of the legal person that is the customer is found .


### there have been a number of cases of employees who report their suspicions of money laundering being subjected to threats or hostile action . although this directive cannot interfere with member states ' judicial procedures , this is a crucial issue for the effectiveness of the anti - money laundering and anti - terrorist financing system . member states should be aware of this problem and should do whatever they can to protect employees from such threats or hostile action . ### there have been a number of cases of individuals , including employees and representatives who report their suspicions of money laundering being subjected to threats or hostile action . although this directive cannot interfere with member states ' judicial procedures , this is a crucial issue for the effectiveness of the anti - money laundering and anti - terrorist financing system . member states should be aware of this problem and should do whatever they can to protect individuals , including employees and representatives from such threats or hostile action , as well as other adverse treatment or adverse consequence .


### this is particularly true of business relationships with individuals holding , or having held , important public positions , particularly those from countries where corruption is widespread . such relationships may expose the financial sector in particular to significant reputational and legal risks . the international effort to combat corruption also justifies the need to pay special attention to such cases and to apply appropriate enhanced customer due diligence measures in respect of persons who hold or have held prominent functions domestically or abroad and senior figures in international organisations . ### this is particularly true of business relationships with individuals holding , or having held , important public positions , particularly those from countries where corruption is widespread , within the union and internationally . such relationships may expose the financial sector in particular to significant reputational and legal risks . the international effort to combat corruption also justifies the need to pay special attention to such cases and to apply appropriate enhanced customer due diligence measures in respect of persons who hold or have held prominent functions domestically or abroad and senior figures in international organisations .


### the need for accurate and up - to - date information on the beneficial owner is a key factor in tracing criminals who might otherwise hide their identity behind a corporate structure . member states should therefore ensure that companies retain information on their beneficial ownership and make this information available to competent authorities and obliged entities . in addition , trustees should declare their status to obliged entities . ### the need for accurate and up - to - date information on the beneficial owner of legal persons , trusts , foundations , holdings and all other similar existing or future legal arrangements is a key factor in tracing criminals who might otherwise hide their identity behind a corporate structure . member states should therefore ensure that companies retain information on their beneficial ownership and ensure that this information is made publically available in form of a public registry , in line with union data protection rules . in addition , trustees should declare their status to obliged entities .


### the member states may adopt or retain in force stricter provisions in the field covered by this directive to prevent money laundering and terrorist financing . ### the member states may adopt or retain in force stricter provisions in the field covered by this directive to prevent money laundering and terrorist financing , provided that such provisions are in full compliance with the union legal order , especially as regards union data protection rules and the protection of fundamental rights as enshrined in the charter of fundamental rights of the european union . such provisions shall not unduly prevent consumers from accessing financial services and shall not constitute an obstacle to the functioning of the single market .


### member states shall ensure that the information referred to in paragraph 1 of this article can be accessed in a timely manner by competent authorities and by obliged entities . ### regarding trusts or other types of legal entity and arrangements with a similar structure and function of trusts , the information shall also include the identity of the settlor , of the trustee , of the protector , of the beneficiaries or class of beneficiaries , and of any other natural person exercising effective control over the trust . member states shall ensure that trustees disclose their status to obliged entities when , as a trustee , the trustee forms a business relationship or carries out an occasional transaction above the threshold set out in points , and of article 10 .


### the measures referred to in articles 18 , 19 and 20 shall also apply to family members or persons known to be close associates of such politically exposed persons . ### the measures referred to in articles 18 , 19 and 20 with the exception of article 19a shall also apply to family members or persons that evidence indicates are close associates of such politically exposed persons .


### a percentage of 25% plus one share shall be evidence of ownership or control through shareholding and applies to every level of direct and indirect ownership ; ### a percentage of 10% plus one share shall be evidence of ownership or control through shareholding and applies to every level of direct and indirect ownership ;


### member states shall ensure that the information referred to in paragraph 1 of this article can be accessed in a timely manner by competent authorities and by obliged entities . ### member states shall ensure that the information referred to in paragraphs 1 and 1a is displayed in a register in a timely , comprehensive and comprehensible manner . any changes to the information required shall be clearly indicated in the register without delay and at the latest within 30 days .


### eba , eiopa and esma shall issue guidelines addressed to competent authorities and the obliged entities referred to in article 2 and in accordance with article 16 of regulation no 1093 / 2010 , of regulation no 1094 / 2010 , and of regulation no 1095 / 2010 , on the risk factors to be taken into consideration and / or the measures to be taken in situations where simplified due diligence measures are appropriate . specific account should be taken of the nature and size of the business , and where appropriate and proportionate , specific measures should be foreseen . these guidelines shall be issued within 2 years of the date of entry into force of this directive . ### eba , eiopa and esma shall issue guidelines addressed to competent authorities and the obliged entities referred to in article 2 and in accordance with article 16 of regulation no 1093 / 2010 , of regulation no 1094 / 2010 , and of regulation no 1095 / 2010 , on the risk factors to be taken into consideration and / or the measures to be taken in situations where simplified due diligence measures are appropriate . specific account should be taken of the nature and size of the business , and where appropriate and proportionate , specific measures should be foreseen . these guidelines shall be issued within one year of the date of entry into force of this directive .


### member states shall require obliged entities to examine , as far as reasonably possible , the background and purpose of all complex , unusual large transactions , and all unusual patterns of transactions , which have no apparent economic or lawful purpose . in particular , they shall increase the degree and nature of monitoring of the business relationship , in order to determine whether those transactions or activities appear unusual or suspicious . ### member states shall require obliged entities to examine , the background and purpose of all complex , unusual large transactions , and all unusual patterns of transactions , which have no apparent economic or lawful purpose , or which constitute tax offences within the meaning of article 3 . in particular , they shall increase the degree and nature of monitoring of the business relationship , in order to determine whether those transactions or activities appear unusual or suspicious .


### any natural person who has sole beneficial ownership of a legal entity or legal arrangement which is known to have been set up for the benefit de facto of the person referred to in points to above ; ### any natural person who has beneficial ownership of a legal entity or legal arrangement which is known to have been set up for the benefit de facto of the person referred to in points to above ;


### all offences , including tax crimes related to direct taxes and indirect taxes , which are punishable by deprivation of liberty or a detention order for a maximum of more than one year or , as regards those states which have a minimum threshold for offences in their legal system , all offences punishable by deprivation of liberty or a detention order for a minimum of more than six months ; ### all offences , including tax offences related to direct taxes and indirect taxes , which are punishable by deprivation of liberty or a detention order for a maximum of more than one year or , as regards those states which have a minimum threshold for offences in their legal system , all offences punishable by deprivation of liberty or a detention order for a minimum of more than six months ; this linguistic change is proposed to align in particular the english language version with other language versions making clear that criminal law tax offences are addressed .


### the opinion shall be provided within 2 years from the date of entry into force of this directive . ### the assessment shall be provided within one year from the date of entry into force of this directive .


### massive flows of dirty money can damage the stability and reputation of the financial sector and threaten the single market , and terrorism shakes the very foundations of our society . in addition to the criminal law approach , a preventive effort via the financial system can produce results . ### massive flows of illicit money can damage the stability and reputation of the financial sector and threaten the single market , as well as international development , and terrorism shakes the very foundations of our society . crucial facilitators of illicit money flows are secretive corporate structures operating in and through secrecy jurisdiction , often also referred to as tax havens . in addition to the criminal law approach , a preventive effort via the financial system can produce results . however , the preventive approach should be targeted and proportional , and should not amount to an overall controlling system of the whole population .


### identifying the beneficial owner and taking reasonable measures to verify his identity so that the institution or person covered by this directive is satisfied that it knows who the beneficial owner is , including , as regards legal persons , trusts and similar legal arrangements , taking reasonable measures to understand the ownership and control structure of the customer ; ### further to the identification of the beneficial owner as listed in a register pursuant to article 29 , taking reasonable measures to verify his identity so that the institution or person covered by this directive is satisfied that it knows who the beneficial owner is , including , as regards legal persons , trusts , foundations , mutuals , holdings and all other similar existing or future legal arrangements , taking all necessary measures to understand the ownership and control structure of the customer ;


### member states shall take all appropriate measures in order to protect employees of the obliged entity who report suspicions of money laundering or terrorist financing either internally or to the fiu from being exposed to threats or hostile action . ### member states shall ensure that individuals , including employees and representatives of the obliged entity who report suspicions of money laundering or terrorist financing either internally or to the fiu are duly protected from being exposed to threats or hostile action , adverse treatment or adverse consequence . member states shall guarantee legal aid free of charge for such persons and shall provide secure communication channels for persons to report suspicions of money laundering or terrorist financing .


### eba , eiopa and esma shall issue guidelines addressed to competent authorities and the obliged entities referred to article 2 and in accordance with article 16 of regulation no 1093 / 2010 , of regulation no 1094 / 2010 , and of regulation no 1095 / 2010 on the risk factors to be taken into consideration and / or the measures to be taken in situations where enhanced due diligence measures need to be applied . those guidelines shall be issued within 2 years of the date of entry into force of this directive . ### eba , eiopa and esma shall issue guidelines addressed to competent authorities and the obliged entities referred to article 2 and in accordance with article 16 of regulation no 1093 / 2010 , of regulation no 1094 / 2010 , and of regulation no 1095 / 2010 on the risk factors to be taken into consideration and / or the measures to be taken in situations where enhanced due diligence measures need to be applied . those guidelines shall be issued within one year of the date of entry into force of this directive .


### the results of risk assessments at member state level should , where appropriate , be made available to obliged entities to enable them to identify , understand and mitigate their own risks . ### the results of risk assessments should , where appropriate , be made available in a timely manner to obliged entities to enable them to identify , understand and mitigate their own risks .


### by way of derogation from paragraph 1 , member states may allow the verification of the identity of the customer and the beneficial owner to be completed during the establishment of a business relationship if this is necessary not to interrupt the normal conduct of business and where there is little risk of money laundering or terrorist financing occurring . in such situations these procedures shall be completed as soon as practicable after the initial contact . ### by way of derogation from paragraph 1 , member states may , after informing the commission , allow the verification of the identity of the customer and the beneficial owner to be completed during the establishment of a business relationship if this is necessary not to interrupt the normal conduct of business and where there is little risk of money laundering or terrorist financing occurring . in such situations these procedures shall be completed as soon as practicable after the initial contact


### the need for accurate and up - to - date information on the beneficial owner is a key factor in tracing criminals who might otherwise hide their identity behind a corporate structure . member states should therefore ensure that companies retain information on their beneficial ownership and make this information available to competent authorities and obliged entities . in addition , trustees should declare their status to obliged entities . ### the need for accurate and up - to - date information on the beneficial owner of any legal entity and all other similar existing or future legal arrangements is a key factor in tracing criminals who might otherwise hide their identity behind a corporate structure . member states should therefore ensure that companies retain information on their beneficial ownership and make this information available to competent authorities and obliged entities through registers in line with union data protection rules . member states may decide to grant access to the information to other parties besides competent authorities and obliged entities . in addition , trustees should declare their status to obliged entities .


### the need for accurate and up - to - date information on the beneficial owner is a key factor in tracing criminals who might otherwise hide their identity behind a corporate structure . member states should therefore ensure that companies retain information on their beneficial ownership and make this information available to competent authorities and obliged entities . in addition , trustees should declare their status to obliged entities . ### the need for accurate and up - to - date information on the beneficial owner is a key factor in tracing criminals who might otherwise hide their identity behind a corporate structure . member states should therefore ensure that companies retain information on their beneficial ownership and ensure that this information is made publically available in form of a public registry . in addition , trustees should declare their status to obliged entities .


### member states shall ensure that corporate or legal entities established within their territory obtain and hold adequate , accurate and current information on their beneficial ownership . ### member states shall ensure that entities having legal personality , and all other similar , in terms of structure or function , existing or future legal arrangements established or incorporated within their territory , or governed under their law obtain , hold and transmit to a register adequate , accurate and current information on their beneficial ownership , at the moment of establishment or any changes thereof . the register shall contain the minimum information to clearly identify the beneficial owner . the requirements stipulated in this paragraph shall not exempt obliged entities from their customer due diligence obligations , and obliged entities shall not rely exclusively on this information as sufficient to fulfil these obligations .


### members of parliaments ; ### members of parliaments or similar legislative bodies ;


### member states shall require obliged entities to examine , as far as reasonably possible , the background and purpose of all complex , unusual large transactions , and all unusual patterns of transactions , which have no apparent economic or lawful purpose . in particular , they shall increase the degree and nature of monitoring of the business relationship , in order to determine whether those transactions or activities appear unusual or suspicious . ### member states shall require obliged entities to examine the background and purpose of all complex , unusual large transactions , and all unusual patterns of transactions , which have no apparent economic or lawful purpose , or which constitute tax crimes amounting to criminal activity within the meaning of point f of article 3 , or which are constitutive of aggressive tax planning as defined by commission recommendation c 8806 . in particular , they shall increase the degree and nature of monitoring of the business relationship , in order to determine whether those transactions or activities appear unusual or suspicious . in case an obliged entity determines such unusual or suspicious transaction or activity , it shall without delay inform the fius of all member states that might be concerned .


### the commission may lend such assistance as may be needed to facilitate coordination , including the exchange of information between fius within the union . it may regularly convene meetings with representatives from member states ' fius to facilitate co - operation and to exchange views on co - operation related issues . ### the commission shall lend such assistance as may be needed to facilitate coordination , including the exchange of information between fius within the union . it shall regularly convene meetings with representatives from member states ' fius to facilitate co - operation and to exchange views on co - operation related issues .


### the european banking authority , european insurance and occupational pensions authority and european securities and markets authority shall provide a joint opinion on the money laundering and terrorist financing risks affecting the internal market . ### the commission shall produce an assessment on the money laundering and terrorist financing risks affecting the internal market . in order to produce such assessment , the commission shall consult the member states , shall take into account the joint opinion provided by the european banking authority , the european insurance and occupational pensions authority , the european securities and markets authority , and shall consult the eu fius ' platform , the edps , article 29 working party , europol and other relevant authorities .


### member states shall ensure that competent authorities publish any sanction or measure imposed for breach of the national provisions adopted in the implementation of this directive without undue delay including information on the type and nature of the breach and the identity of persons responsible for it , unless such publication would seriously jeopardise the stability of financial markets . where publication would cause a disproportionate damage to the parties involved , competent authorities shall publish the sanctions on an anonymous basis . ### member states shall ensure that competent authorities publish any sanction or measure imposed for breach of the national provisions adopted in the implementation of this directive , if necessary and proportionate after a case by case evaluation , without undue delay including information on the type and nature of the breach and the identity of persons responsible for it . where publication would cause a disproportionate damage to the parties involved , competent authorities may publish the sanctions on an anonymous basis .


### member states shall ensure that the fiu has access , directly or indirectly , on a timely basis , to the financial , administrative and law enforcement information that it requires to properly fulfil its tasks . in addition , fius shall respond to requests for information by law enforcement authorities in their member state unless there are factual reasons to assume that the provision of such information would have a negative impact on ongoing investigations or analyses , or , in exceptional circumstances , where divulgation of the information would be clearly disproportionate to the legitimate interests of a natural or legal person or irrelevant with regard to the purposes for which it has been requested . ### member states shall ensure that the fiu has access , directly or indirectly , on a timely basis , to the financial , administrative and law enforcement information that it requires to properly fulfil its tasks . in addition , fius shall respond to requests for information by law enforcement authorities in their member state unless there are factual reasons to assume that the provision of such information would have a negative impact on ongoing investigations or analyses , or , in exceptional circumstances , where divulgation of the information would be clearly disproportionate to the legitimate interests of a natural or legal person or irrelevant with regard to the purposes for which it has been requested . when the fiu receives such a request , the decision to conduct analysis and / or dissemination of information to the requesting law enforcement authority should remain within the fiu .


### identifying the beneficial owner and taking reasonable measures to verify his identity so that the institution or person covered by this directive is satisfied that it knows who the beneficial owner is , including , as regards legal persons , trusts and similar legal arrangements , taking reasonable measures to understand the ownership and control structure of the customer ; ### identifying the beneficial owners and taking reasonable measures to verify their identity so that the institution or person covered by this directive is satisfied that it knows who the beneficial owners are , including , as regards legal persons , trusts and similar legal arrangements , taking reasonable measures to understand the ownership and control structure of the customer ;


### the use of the gambling sector to launder the proceeds of criminal activity is of concern . in order to mitigate the risks related to the sector and to provide parity amongst the providers of gambling services , an obligation for all providers of gambling services to conduct customer due diligence for single transactions of eur 2 000 or more should be laid down . member states should consider applying this threshold to the collection of winnings as well as wagering a stake . providers of gambling services with physical premises should ensure that customer due diligence , if it is taken at the point of entry to the premises , can be linked to the transactions conducted by the customer on those premises . ### the use of the gambling sector to launder the proceeds of criminal activity is of concern . in order to mitigate the risks related to the sector and to provide parity amongst the providers of gambling services , an obligation for all providers of gambling services to conduct customer due diligence for single transactions of eur 2 000 or more should be laid down . member states should consider applying this threshold to the collection of winnings as well as wagering a stake . providers of gambling services should ensure that customer due diligence , if it is taken at the point of entry can be linked to the transactions conducted by the customer .


### member states shall ensure that obliged entities have policies , controls and procedures to mitigate and manage effectively the money laundering and terrorist financing risks identified at union level , member state level , and at the level of obliged entities . policies , controls and procedures should be proportionate to the nature and size of those obliged entities . ### member states shall ensure that obliged entities have policies , controls and procedures to mitigate and manage effectively the money laundering and terrorist financing risks identified at union level , member state level , and at the level of obliged entities . policies , controls and procedures should be proportionate to the nature and size of those obliged entities and respect data protection rules .


### all member states have , or should , set up financial intelligence units to collect and analyse the information which they receive with the aim of establishing links between suspicious transactions and underlying criminal activity in order to prevent and combat money laundering and terrorist financing . suspicious transactions should be reported to the fius , which should serve as a national centre for receiving , analysing and disseminating to the competent authorities suspicious transaction reports and other information regarding potential money laundering or terrorist financing . this should not compel member states to change their existing reporting systems where the reporting is done through a public prosecutor or other law enforcement authorities , as long as the information is forwarded promptly and unfiltered to fius , allowing them to perform their tasks properly , including international cooperation with other fius . ### all member states have , or should , set up financial intelligence units to collect and analyse the information which they receive with the aim of establishing links between suspicious transactions and underlying criminal activity in order to prevent and combat money laundering and terrorist financing . suspicious transactions should be reported to the fius , which should serve as a national centre for receiving , analysing and disseminating to the competent authorities suspicious transaction reports and other information regarding potential money laundering or terrorist financing . this should not compel member states to change their existing reporting systems where the reporting is done through a public prosecutor or other law enforcement authorities , as long as the information is forwarded promptly and unfiltered to fius , allowing them to perform their tasks properly , including international cooperation with other fius . it is important that member states provide fius with the necessary resources to ensure their full operational capacity to deal with the current challenges posed by money laundering and terrorist financing , while respecting fundamental rights , including the right to privacy and data protection .


### conducting ongoing monitoring of the business relationship including scrutiny of transactions undertaken throughout the course of that relationship to ensure that the transactions being conducted are consistent with the institution ' s or person ' s knowledge of the customer , the business and risk profile , including , where necessary , the source of funds and ensuring that the documents , data or information held are kept up - to - date . ### conducting ongoing monitoring of the business relationship including scrutiny of transactions undertaken throughout the course of that relationship to ensure that the transactions being conducted are consistent with the institution ' s or person ' s knowledge of the customer , the business and risk profile , including the source of funds and ensuring that the documents , data or information held are kept up - to - date .


### identifying the beneficial owner and taking reasonable measures to verify his identity so that the institution or person covered by this directive is satisfied that it knows who the beneficial owner is , including , as regards legal persons , trusts and similar legal arrangements , taking reasonable measures to understand the ownership and control structure of the customer ; ### further to the identification of the beneficial owner as listed in a register pursuant to article 29 , taking reasonable measures to verify his identity so that the institution or person covered by this directive is satisfied that it knows who the beneficial owner is , including , as regards legal persons , trusts , foundations , mutuals , holdings and all other similar existing or future legal arrangements , taking all necessary measures to understand the ownership and control structure of the customer ;


### in order to better understand and mitigate risks at european union level , member states should share the results of their risk assessments with each other , the commission and eba , eiopa and esma , where appropriate . ### in order to better understand and mitigate risks at european union level , the commission should share the results of the risk assessments with member states and eba , eiopa and esma , where appropriate .


### in providing such information the consolidated annual report may rely on national , eu - based or international frameworks and if so , shall specify which frameworks it has relied upon . ### in providing such information the company should take into account its responsibility to respect rights and values protected by norms of international law . in this respect the company shall apply the guiding principles on business and human rights implementing the united nations ' protect , respect and remedy ' framework and the organisation for economic co - operation and development guidelines for multinational enterprises . in addition , the company may rely on national , eu - based or international frameworks and , if so , shall specify which frameworks it has relied upon . this provision shall apply without prejudice to the requirements of this directive or to other european union legislation or guidance containing more specific rules for companies ' non - financial disclosure .


### for companies whose average number of employees during the financial year exceeds 500 and , on their balance sheet dates , exceed either a balance sheet total of eur 20 million or a net turnover of eur 40 million , the review shall also include a non - financial statement containing information relating to at least environmental , social and employee matters , respect for human rights , anti - corruption and bribery matters , including : ### for companies whose average number of employees during the financial year exceeds 250 and , on their balance sheet dates , exceed either a balance sheet total of eur 20 million or a net turnover of eur 40 million , the review shall also include a non - financial statement containing information regarding companies’ activity impact on society relating to at least environmental , social , gender and employment matters , including social dialogue and respect of trade unions ' rights , and respect for human rights , anti - corruption and bribery matters , including :


### for parent undertakings of undertakings to be consolidated that together exceed an average number of 500 employees during the financial year , and , on their balance sheet dates , exceed either a balance sheet total of eur 20 million or a net turnover of eur 40 million , the review shall also include a non - financial statement containing information relating to at least environmental , social and employee matters , respect for human rights , anti - corruption and bribery matters , including the following : ### for parent undertakings of undertakings to be consolidated that together exceed an average number of 250 employees during the financial year , and , on their balance sheet dates , exceed either a balance sheet total of eur 17 , 5 million or a net turnover of eur 35 million , the review shall also include a non - financial statement containing information relating to at least environmental , social and employee matters , respect for human rights , anti - corruption and bribery matters , taking into account the company ' s complete supply chain , including the following :


### the agency may carry out visits to the member states in order to perform its tasks , in particular those referred to in articles 12 , 21 , 22 , 16 , 17 , 27 , 29 , 30 , 31 and 38 , in accordance with the policy defined by the management board . ### the agency may carry out visits to the member states in order to perform its tasks , in particular those referred to in articles 12 , 21 , 22 , 16 , 17 , 18 , 27 , 28 , 29 , 30 , 31 , 33 and 38 , in accordance with the policy defined by the management board .


### the agency may enter into agreements with relevant national authorities , in particular the national safety authorities , and other competent bodies , in relation to the implementation of articles 12 , 16 , 17 and 18 . ### the agency shall enter into agreements with relevant national authorities , in particular the national safety authorities , and other competent bodies , in relation to the implementation of articles 12 , 16 , 17 and 18 .


### competent national authorities have been normally charging for issuing vehicle authorisations and safety certificates . with the transfer competence to the union level , the agency should be entitled to charge the applicants for issuing the certificates and authorisations mentioned in the preceding recitals . the level of those charges should be equal to or lower than the current average in the union and should be determined in a delegated act to be adopted by the commission . ### competent national authorities have been normally charging for issuing vehicle authorisations and safety certificates . with the transfer competence to the union level , the agency should be entitled to charge the applicants for issuing the certificates and authorisations mentioned in the preceding recitals . for tasks and responsibilities delegated to national safety authorities , the contractual agreements referred to in article 69 should foresee a sharing of revenues commensurate with the share in the work load of each actor . the level of charges should be equal to or lower than the current average in the union and should be determined in a delegated act to be adopted by the commission .


### performance , organisation and decision - making procedures in the field of railway interoperability and safety vary substantially among the national safety authorities and notified conformity assessment bodies , with a detrimental effect to smooth operation of the single european rail area . in particular , small and medium companies wishing to enter the railway market in another member state can be negatively affected . therefore , a strengthened coordination with a view to greater harmonisation at the union level is essential . to this end , the agency should monitor the national safety authorities and notified conformity assessment bodies through audits and inspections . ### performance , organisation and decision - making procedures in the field of railway interoperability and safety vary substantially among the national safety authorities and notified conformity assessment bodies , with a detrimental effect to smooth operation of the single european rail area . in particular , small and medium companies wishing to enter the railway market in another member state can be negatively affected . therefore , a strengthened coordination with a view to greater harmonisation at the union level is essential . to this end , the agency should monitor the national safety authorities through audits and inspections . monitoring of the notified conformity assessment bodies should be carried out by the national accreditation bodies in accordance with regulation 765 / 2008 / ec art . 5 .


### the agency shall establish a network of representative bodies from the railway sector acting at the union level . the list of these bodies shall be defined in an implementing act adopted by the commission , in accordance with advisory procedure referred to in article 75 . the agency shall provide the network with a secretariat . the tasks of the network shall , in particular , be : ### the agency shall establish a network of representative bodies from the railway sector , including representatives of passengers , passengers with reduced mobility and employees , acting at the union level . the list of these bodies shall be defined in an implementing act adopted by the commission , in accordance with advisory procedure referred to in article 75 . the agency shall provide the network with a secretariat . the tasks of the network shall , in particular , be :


### it is a general objective that the transfer of functions and tasks from the member states to the agency should be done efficiently , without any reduction in the current high levels of safety . the agency should have sufficient resources for its new tasks , and the timing of the allocation of these resources should be based on clearly defined needs . taking into account the know - how of national authorities , in particular the national safety authorities , the agency should be allowed to make appropriate use of that expertise when granting the relevant authorisations and certificates . to this end , secondment of national experts to the agency should be encouraged . ### it is a general objective that the transfer of functions and tasks from the member states to the agency should be done efficiently , without any reduction in the current high levels of safety . the agency should have sufficient resources for its new tasks , and the timing of the allocation of these resources should be based on clearly defined needs . taking into account the know - how of national authorities , in particular the national safety authorities , the agency should make appropriate use of that expertise when granting the relevant authorisations and certificates , using the contractual agreements referred to in article 69 . furthermore , secondment of national experts to the agency should be encouraged .


### at the commission ' s request , the agency shall issue recommendations on how to improve the interoperability of the railway systems , in particular by facilitating coordination between railway undertakings and infrastructure managers , or between infrastructure managers . ### the agency shall develop a common occurrence reporting and monitoring system .


### the agency shall set up a limited number of working parties for drawing up recommendations , in particular related to technical specifications for interoperability , common safety targets and common safety methods . ### the agency shall set up a limited number of working parties for drawing up recommendations , in particular related to technical specifications for interoperability , common safety targets , common safety methods and provisions on minimum qualifications of railway staff entrusted with safety - critical tasks .


### the agency shall issue authorisations for placing in service of the trackside control - command and signalling subsystems located or operated in the entire union in accordance with article 18 of directive … [ the interoperability directive ] . ### the agency shall issue authorisations for placing in service of infrastructure , energy subsystems , trackside control - command and signalling subsystems in accordance with article 18 of directive … [ the interoperability directive ] .


### directive … [ railway safety ] and directive … [ railway interoperability ] provide for examination of national measures from the point of view of safety and interoperability , and compatibility with competition rules . they also limit the possibility for member states to adopt new national rules . the current system in which a large number of national rules continue to exist leads to possible conflicts with union rules and creates a risk of insufficient transparency and disguised discrimination of foreign operators , especially the smaller and new ones . in order to migrate towards a system of truly , transparent and impartial railway rules at union level , gradual reduction of national rules needs to be reinforced . an opinion based on independent and neutral expertise is essential at union level . to this end , the role of the agency needs to be strengthened . ### directive … [ railway safety ] and directive … [ railway interoperability ] provide for examination of national measures from the point of view of safety and interoperability , and compatibility with competition rules . they also limit the possibility for member states to adopt new national rules . the current system in which a large number of national rules continue to exist leads to possible safety risks and conflicts with union rules and creates a risk of insufficient transparency and disguised discrimination of foreign operators , especially the smaller and new ones . in order to migrate towards a system of truly , transparent and impartial railway rules at union level , gradual reduction of national rules , including operational rules , needs to be reinforced . an opinion based on independent and neutral expertise is essential at union level . to this end , the role of the agency needs to be strengthened .


### the agency shall contribute to identifying potential railway spare parts to be standardised . to this end , the agency may establish a working party in order to coordinate the stakeholders ' activities and may establish contacts with the european standardisation bodies . the agency shall present the commission with appropriate recommendations . ### the agency shall contribute to identifying potential railway spare parts to be standardised . to this end , the agency shall establish a working party in order to coordinate the stakeholders ' activities and shall establish contacts with the european standardisation bodies . the agency shall present the commission with appropriate recommendations two years after the entry into force of this regulation .


### the agency shall contribute to identifying potential railway spare parts to be standardised . to this end , the agency may establish a working party in order to coordinate the stakeholders ' activities and may establish contacts with the european standardisation bodies . the agency shall present the commission with appropriate recommendations . ### the agency shall contribute to identifying potential railway spare parts to be standardised . to this end , the agency shall establish a working party in order to coordinate the stakeholders ' activities and may establish contacts with the european standardisation bodies . the agency shall present the commission with appropriate recommendations no later than two years after the entry into force of the regulation .


### the agency , while performing its tasks , and particularly in relation to drafting recommendations , should take upmost account of external railway expertise . this expertise should predominantly consist of professionals from the railway sector and the relevant national authorities . they should form competent and representative working parties of the agency . ### the agency , while performing its tasks , and particularly in relation to drafting recommendations , should take upmost account of external railway expertise . this expertise should consist of professionals from the railway sector , including representative bodies , independent notified conformity assessment bodies and the relevant national authorities . they should form competent and representative working parties of the agency .


### the agency may be requested by the commission to perform other tasks relating to railway staff in accordance with directive 2007 / 59 / ec . ### the agency may be requested by the commission to perform other tasks relating to railway staff in accordance with directive 2007 / 59 / ec and relating to railway staff entrusted with safety - critical tasks not covered by directive 2007 / 59 / ec .


### the agreements may include contracting of some of the tasks of the agency to the national authorities , such as checking and preparing files , verifying technical compatibility , performing visits and drafting technical studies . ### the agreements may include delegating tasks and responsibilities of the agency to the national authorities , such as checking and preparing files , verifying technical compatibility , performing visits and drafting technical studies .


### to ensure effective public and private enforcement of the competition rules , it is necessary to regulate the way the two forms of enforcement are coordinated , for instance the arrangements for access to documents held by competition authorities . such coordination at union level will also avoid divergence of applicable rules , which could jeopardise the proper functioning of the internal market . ### to ensure effective private enforcement actions under civil law and effective public enforcement by competition authorities , both tools are required to interact to ensure maximum effectiveness of the competition rules . it is necessary to regulate the way the two forms of enforcement are coordinated , for instance the arrangements for access to documents held by competition authorities . such coordination at union level will also avoid divergence of applicable rules , which could jeopardise the proper functioning of the internal market .