### in an open internet , providers of electronic communications to the public should , within contractually agreed limits on data volumes and speeds for internet access services , not block , slow down , degrade or discriminate against specific content , applications or services or specific classes thereof except for a limited number of reasonable traffic management measures . such measures should be transparent , proportionate and non - discriminatory . reasonable traffic management encompasses prevention or impediment of serious crimes , including voluntary actions of providers to prevent access to and distribution of child pornography . minimising the effects of network congestion should be considered reasonable provided that network congestion occurs only temporarily or in exceptional circumstances . ### in an open internet , providers of electronic communications to the public should not block , slow down , degrade or discriminate against specific content , applications or services or specific classes thereof except for a limited number of reasonable traffic management measures . such measures should be transparent , proportionate and non - discriminatory . legally mandated interferences in traffic flows does not constitute traffic management . minimising the effects of network congestion should be considered reasonable provided that network congestion occurs only temporarily or in exceptional circumstances .


### preserve the integrity and security of the network , services provided via this network , and the end - users ' terminals ; ### preserve the integrity and security of the european electronic communication provider ' s network , services provided via this network , and the end - users ' terminals ;


### end - users shall be free to enter into agreements on data volumes and speeds with providers of internet access services and , in accordance with any such agreements relative to data volumes , to avail of any offers by providers of internet content , applications and services . ### users shall have the right to enter into agreements that differentiate on data volumes and speeds with providers of internet access services provided that these agreements do not contain any clauses that discriminate access to any specific content , application or service or classes thereof available to the user .


### within the limits of any contractually agreed data volumes or speeds for internet access services , providers of internet access services shall not restrict the freedoms provided for in paragraph 1 by blocking , slowing down , degrading or discriminating against specific content , applications or services , or specific classes thereof , except in cases where it is necessary to apply reasonable traffic management measures . reasonable traffic management measures shall be transparent , non - discriminatory , proportionate and necessary to : ### providers of internet access services shall not restrict the rights provided for in paragraph 1 by blocking , slowing down , degrading , altering or discriminating against specific content , applications or services , or specific classes thereof , except in certain special cases where it is necessary to apply reasonable traffic management measures . reasonable traffic management measures shall be transparent , non - discriminatory , and strictly proportionate and necessary to


### minimise the effects of temporary or exceptional network congestion provided that equivalent types of traffic are treated equally . ### mitigate the effects of temporary and exceptional network congestion , primarily by means of application - agnostic measures , provided that equivalent types of traffic are treated equally .


### in order to enable the provision of specialised services to end - users , providers of content , applications and services and providers of electronic communications to the public shall be free to enter into agreements with each other to transmit the related data volumes or traffic as specialised services with a defined quality of service or dedicated capacity . the provision of specialised services shall not impair in a recurring or continuous manner the general quality of internet access services . ### in order to enable the provision of specialised services to end - users , providers of content , applications and services and providers of electronic communications to the public may enter into agreements with each other to transmit the related data volumes or traffic as specialised services with a defined quality of service or dedicated capacity . the provision of specialised services shall not impair the quality of internet access services .


### prevent the transmission of unsolicited communications to end - users who have given their prior consent to such restrictive measures ; ### prevent the transmission of unsolicited communications for direct marketing purposes to users who have given their free , informed , explicit and prior consent to such restrictive measures ;


### within the limits of any contractually agreed data volumes or speeds for internet access services , providers of internet access services shall not restrict the freedoms provided for in paragraph 1 by blocking , slowing down , degrading or discriminating against specific content , applications or services , or specific classes thereof , except in cases where it is necessary to apply reasonable traffic management measures . reasonable traffic management measures shall be transparent , non - discriminatory , proportionate and necessary to : ### providers of internet access services shall not restrict the rights provided for in paragraph 1 by blocking , slowing down , degrading , altering or discriminating against specific content , applications or services , or specific classes thereof , except in certain special cases where it is necessary to apply reasonable traffic management measures . reasonable traffic management measures shall be transparent , non - discriminatory , strictly proportionate and necessary to :


### in addition , there is demand on the part of content , applications and services providers , for the provision of transmission services based on flexible quality parameters , including lower levels of priority for traffic which is not time - sensitive . the possibility for content , applications and service providers to negotiate such flexible quality of service levels with providers of electronic communications to the public is necessary for the provision of specialised services and is expected to play an important role in the development of new services such as machine - to - machine communications . at the same time such arrangements should allow providers of electronic communications to the public to better balance traffic and prevent network congestion . providers of content , applications and services and providers of electronic communications to the public should therefore be free to conclude specialised services agreements on defined levels of quality of service as long as such agreements do not substantially impair the general quality of internet access services . ### in addition , there is demand on the part of content , applications and services providers , for the provision of transmission services based on flexible quality parameters , including lower levels of priority for traffic which is not time - sensitive . the possibility for content , applications and service providers to negotiate such flexible quality of service levels with providers of electronic communications to the public could serve to provide specialised services and is expected to play a role in the development of new services such as machine - to - machine communications . at the same time such arrangements should allow providers of electronic communications to the public to better balance traffic and prevent network congestion . this should however not impair the development of the general purpose internet . providers of content , applications and services and providers of electronic communications to the public should therefore be free to conclude specialised services agreements on defined levels of quality of service as long as such quality characteristics are technically necessary for the functionality of the service and agreements do not impair the quality of internet access services .


### end - users shall also be free to agree with either providers of electronic communications to the public or with providers of content , applications and services on the provision of specialised services with an enhanced quality of service . ### end - users shall also have the right to agree with either providers of electronic communications to the public or with providers of content , applications and services on the provision of specialised services with an enhanced quality of service .


### ‘ specialised service’ means an electronic communications service or any other service that provides the capability to access specific content , applications or services , or a combination thereof , and whose technical characteristics are controlled from end - to - end or provides the capability to send or receive data to or from a determined number of parties or endpoints ; and that is not marketed or widely used as a substitute for internet access service ; ### ' specialised service ' means an electronic communications service , operated within closed electronic communications networks using the internet protocol with strict admission control ; and that is not marketed or used as a substitute for internet access service or functionally identical to services available over the public internet access service ;


### in view of the global nature of the systems , it is essential that the union can enter into agreements with third countries and international organisations in the context of programmes under article 218 of the treaty on the functioning of the european union , in particular to ensure their smooth implementation , optimise services provided to citizens of the union and meet the needs of third countries and international organisations . it is also useful , where necessary , to adapt existing agreements to changes in the programmes . when preparing or implementing these agreements , the commission may have recourse to the assistance of the european external action service , the european space agency and the european gnss agency , within the limits of the tasks allocated to them under this regulation . ### in view of the global nature of the systems , it is essential that the union can enter into agreements with third countries and international organisations in the context of programmes under article 218 of the treaty on the functioning of the european union , in particular to ensure their smooth implementation , optimise services provided to citizens of the union and meet the needs of third countries and international organisations . it is also useful to adapt existing agreements to changes in the programmes . when preparing and negotiating these agreements , the eeas may have recourse to the assistance of the commission , the european space agency and the european gnss agency . due to the sensitive , strategic and global nature of the systems , the eeas , when negotiating agreements with third countries , should duly take into account the rights of the european parliament under article 218 . it should equally take into account the sensitive and strategic nature of some of the system ' s services such as prs , thus ensuring full compliance with the criteria and guidelines laid down in council common position 2008 / 944 / cfsp defining common rules governing the control of exports of military technology and equipment1 and council regulation no 428 / 2009 of 5 may 2009 setting up a community regime for the control of exports , transfer , brokering and transit of dual - use items2 . ____________ 1 oj l 335 , 13 . 12 . 2008 , p . 99 . 2 oj l 134 , 29 . 5 . 2009 , p . 1 .


### smart , green and integrated transport ### smart , green and integrated transport and mobility


### the commission shall be empowered to adopt delegated acts in accordance with article 22 to update the nicotine quantities set out in paragraph 1 taking into account scientific developments and marketing authorisations granted to nicotine - containing products pursuant to directive 2001 / 83 / ec . ### the commission shall , by 1 april 2017 , carry out a study on nicotine - containing products in consultation with relevant stakeholders and the member states . this study will consider whether there is a need for specific legislation with regard to nicotine - containing products .


### the following nicotine - containing products may only be placed on the market if they were authorised pursuant to directive 2001 / 83 / ec : ### nicotine - containing products may only be placed on the market if they were authorised pursuant to directive 2001 / 83 / ec .


### the following nicotine - containing products may only be placed on the market if they were authorised pursuant to directive 2001 / 83 / ec : ### nicotine - containing products that are presented as having properties for treating or preventing disease in human beings , other than through any message specified in paragraph 3 , may only be placed on the market if they were authorised pursuant to directive 2001 / 83 / ec .


### this tobacco product can damage your health and is addictive ### this tobacco product can damage your health and is addictive , but presents substantially lower risks to your health than smoking


### nicotine containing products below the threshold set out in article 18 ; ### nicotine containing products ;


### by 31 august 2017 , companies shall submit to the verifiers a monitoring plan indicating the method chosen to monitor and report emissions and other climate - relevant information for each of their ships above 5000 gt . ### by 31 august 2015 , companies shall submit to the verifiers a monitoring plan indicating the method chosen to monitor and report emissions and other climate - relevant information for each of their ships above 5000 gt .


### for the application of paragraphs 1 and 2 , the relevant competent authorities may , in exceptional cases and by common agreement , replace the criterion based on balance sheet total with one or more of the following parameters or add one or more of these parameters , if they are of the opinion that these parameters are of particular relevance for the purpose of supplementary supervision under this directive : income structure , off - balance sheet activities , assets under management . ### for the application of paragraphs 1 and 2 , the relevant competent authorities may , in exceptional cases and by common agreement , replace the criterion based on balance sheet total with one or more of the following parameters or add one or more of these parameters , if they are of the opinion that these parameters are of particular relevance for the purpose of supplementary supervision under this directive : income structure , off - balance sheet activities , total assets under management .


### any switch to or from an alternative roaming provider shall be free of charge and shall not entail conditions or restrictions pertaining to elements of the subscription other than roaming , and shall be carried out within five working days , save that where a roaming customer who has subscribed to a domestic package which includes roaming prices other than the eurotariff , euro - sms tariff or euro - data tariff , the home provider may delay the switch from the old to the new subscription concerning roaming services for a specified period not exceeding three months . ### any switch to or from an alternative roaming provider or between alternative roaming providers shall be free of charge and shall not entail conditions or restrictions pertaining to elements of the subscription other than roaming , and shall be carried out within three working days , save that where a roaming customer who has subscribed to a domestic package which includes roaming prices other than the eurotariff , euro - sms tariff or euro - data tariff , the home provider may delay the switch from the old to the new subscription concerning roaming services for a specified period not exceeding two months .


### sending regulated roaming sms messages while in the visited member state . ### sending regulated roaming sms messages while in the visited country .


### such basic personalised tariff information shall be delivered to the roaming customer ' s mobile telephone or other device , for example by an sms message , an e - mail or a pop - up window on the computer , every time the roaming customer enters a member state other than that of his home network and initiates for the first time a regulated data roaming service in that particular member state . it shall be provided free of charge at the moment the roaming customer initiates a regulated data roaming service , by an appropriate means adapted to facilitate its receipt and easy comprehension . ### such basic personalised tariff information shall be delivered to the roaming customer ' s mobile telephone or other device , for example by an sms message , an e - mail or a pop - up window on the computer , every time the roaming customer enters a country other than that of his home network and initiates for the first time a regulated data roaming service in that particular country . it shall be provided free of charge at the moment the roaming customer initiates a regulated data roaming service , by an appropriate means adapted to facilitate its receipt and easy comprehension .


### with effect from 1 july 2012 , the retail charge of a euro - sms tariff which a home provider may levy from its roaming customer for a regulated roaming sms message sent by that roaming customer may vary for any roaming sms message but shall not exceed eur 0 , 10 . without prejudice to articles 13 and 19 , the regulated maximum retail charge for the euro - sms tariff shall remain at eur 0 , 10 until 30 june 2016 . ### with effect from 1 july 2012 , the retail charge of a euro - sms tariff which a home provider may levy from its roaming customer for a regulated roaming sms message sent by that roaming customer may vary for any roaming sms message but shall not exceed eur 0 , 07 . the price ceiling shall decrease to 0 , 06 on 1 july 2013 and to 0 , 05 on 1 january 2014 . the regulated maximum retail charge for the euro - sms tariff shall remain at eur 0 , 05 until 30 june 2016 . price differentiation between domestic and roaming calls shall be no longer possible from 1 july 2014 .


### home providers shall ensure that their roaming customers , both before and after the conclusion of a contract , are kept adequately informed of the charges which apply to their use of regulated data roaming services , in ways which facilitate customers ' understanding of the financial consequences of such use and permit them to monitor and control their expenditure on regulated data roaming services in accordance with paragraphs 2 and 3 . the safeguard mechanisms referred to in paragraph 3 shall not apply to pre - paid customers . ### home providers shall ensure that their roaming customers , both before and after the conclusion of a contract , are kept adequately informed of the charges which apply to their use of regulated data roaming services , in ways which facilitate customers ' understanding of the financial consequences of such use and permit them to monitor and control their expenditure on regulated data roaming services in accordance with paragraphs 2 and 3 . pricing information shall be expressed in gigabytes . the safeguard mechanisms referred to in paragraph 3 shall not apply to pre - paid customers .


### the average wholesale charge that the operator of a visited network may levy from the customer ' s home provider for the provision of a regulated roaming call originating on that visited network , inclusive inter alia of origination , transit and termination costs , shall not exceed eur 0 , 14 per minute as of 1 july 2012 . ### the average wholesale charge that the operator of a visited network may levy from the customer ' s home provider for the provision of a regulated roaming call originating on that visited network , inclusive inter alia of origination , transit and termination costs , shall not exceed eur 0 , 10 per minute as of 1 july 2012 .


### data collected by national regulatory authorities indicate that high prices for average wholesale charges for data roaming services levied by visited network operators from roaming customers ' home providers persist , even if these wholesale prices appear to be on a downward trend . ### data collected by national regulatory authorities indicate that high prices for average wholesale charges for data roaming services levied by visited network operators from roaming customers ' home providers persist . even if these wholesale prices appear to be on a downward trend , they are still much too high and out of proportion with the real production costs .


### consumers should have the right to opt for the separate sale of roaming services from their domestic mobile package . basic principles should be laid down with regard to the provision of a separate sale of roaming services which should be introduced in a coordinated manner across the union . consumers should be able to choose a different provider for roaming services without changing their number , and in a manner which ensures interoperability of services , with roaming services being provided anywhere in the union and with the same level of quality . ### consumers should have the right to opt for the separate sale of roaming services from their domestic mobile package . basic principles should be laid down with regard to the provision of a separate sale of roaming services which should be introduced in a coordinated manner across the union . consumers should be able to choose a different provider for roaming services without changing their number , in a manner which ensures interoperability of services and within a short period of time , with roaming services being provided anywhere in the union and with the same level of quality .


### in addition to paragraph 1 , customers shall have the right to request and receive , free of charge , and irrespective of their location within the union , more detailed personalised pricing information on the roaming charges that apply in the visited network to voice calls , sms , mms and other data communication services , and information on the transparency measures applicable by virtue of this regulation , by means of a mobile voice call or by sms . such a request shall be to a free - of - charge number designated for this purpose by the home provider . obligations provided for in paragraph 1 shall not apply to machine to machine type of devices that use mobile communication . ### in addition to paragraph 1 , customers shall have the right to request and receive , free of charge , and irrespective of their location , more detailed personalised pricing information on the roaming charges that apply in the visited network to voice calls , sms , mms and other data communication services , and information on the transparency measures applicable by virtue of this regulation , by means of a mobile voice call or by sms . such a request shall be to a free - of - charge number designated for this purpose by the home provider . obligations provided for in paragraph 1 shall not apply to machine to machine type of devices that use mobile communication .


### passengers should be adequately informed about the relevant procedures for submitting claims and complaints to air carriers and should receive a reply within a reasonable time period . passengers should also have the option to complain about air carriers via out - of - court measures . however , since the right to an effective remedy before a tribunal is a fundamental right recognised in article 47 of the charter of fundamental rights of the european union , those measures should neither prevent nor hinder passengers ' access to courts . ### passengers should be adequately informed about the relevant procedures for submitting claims and complaints to air carriers and should receive a reply within a reasonable time period . passengers should also have the option to complain about air carriers via out - of - court measures . member states should provide for well equipped - mediation , where a conflict between the passenger and the airline could be solved . however , since the right to an effective remedy before a tribunal is a fundamental right recognised in article 47 of the charter of fundamental rights of the european union , those measures should neither prevent nor hinder passengers ' access to courts .


### nine hours or more after the scheduled time of arrival for journeys to / from third countries between 3500 and 6000 kilometres ; ### for a medium flight scheduled with a flight time of not more than five hours and where there is no alternative scheduled travel as described in this article under


### musical instruments should as far as possible be accepted as baggage within the passenger cabin and , where this is not possible , should where possible be carried under the appropriate conditions in the cargo compartment of the aircraft . regulation no 2027 / 97 should be amended accordingly . ### musical instruments should be accepted as baggage within the passenger cabin and , where this is not possible , should be carried under the appropriate conditions in the cargo compartment of the aircraft . regulation no 2027 / 97 should be amended accordingly .


### a single market involves a trading system at the external borders of the union . that trading system should include import duties and export refunds and should , in principle , stabilise the union market . the trading system should be based on the undertakings accepted under the uruguay round of multilateral trade negotiations and in bilateral agreements . ### a single market involves a trading system at the external borders of the union . that trading system should include import duties and should continue to include , for a limited period , export refunds and should , in principle , stabilise the union market . the trading system should be based on the undertakings accepted under the uruguay round of multilateral trade negotiations and in bilateral agreements , and take into account the union ' s development objectives and commitments towards developing countries as well as the commitment of the 2005 wto ministerial declaration of eliminating all forms of export subsidies until 2013 .


### a single market involves a trading system at the external borders of the union . that trading system should include import duties and export refunds and should , in principle , stabilise the union market . the trading system should be based on the undertakings accepted under the uruguay round of multilateral trade negotiations and in bilateral agreements . ### a single market involves a trading system at the external borders of the union . that trading system should include import duties and should continue to include , for a limited period , export refunds and should , in principle , stabilise the union market . the trading system should be based on the undertakings accepted under the uruguay round of multilateral trade negotiations and in bilateral agreements , and take into account the union ' s development objectives and commitments towards developing countries .


### paragraphs 2 and 3 are deleted . ### paragraph 2 is replaced by the following : ' 2 . on the basis , inter alia , of : annual reports submitted in accordance with paragraphs 1 and 1a ; observed trends in air quality , acidification , fuel costs and modal shift ; progress in reducing emissions of sulphur and nitrogen oxides from ships through imo mechanisms following union initiatives in this regard ; the commission shall , by 31 december 2013 , submit a report to the european parliament and to the council . the commission shall consider in its report , and may submit proposals , as regards : - the designation of additional sox and nox emission control areas - alternative complementary measures to further reduce emissions from ships . ' paragraph 3 is deleted .


### passenger ships operate mostly in ports or close to coastal areas and their impacts on human health and the environment are significant . those ships are required to use marine fuel with the same maximum sulphur content as is applicable in secas . given that stricter sulphur standards will apply in secas , it is justified by the need to improve air quality around ports and coasts in the non - seca territories that the same standards apply to passenger ships . however , the introduction of a new seca standard for passenger ships would be delayed by 5 years in order to avoid potential problems with fuel availability . ### passenger ships operate mostly in ports or close to coastal areas and their impacts on human health and the environment are significant . those ships are required to use marine fuel with the same maximum sulphur content as is applicable in secas . given that stricter sulphur standards will apply in secas , it is justified by the need to improve air quality around ports and coasts in the non - seca territories that the same standards apply to passenger ships .


### in order to determine the date of the application of 0 . 50% sulphur limit , to designate new secas , to approve new alternative abatement methods and to establish the appropriate conditions for their use , to ensure appropriate monitoring of sulphur content of fuels and the harmonized content and the format of member states ' reports and to adapt the provisions of the directive to scientific and technical progress , the power to adopt acts in accordance with article 290 of the treaty on the functioning of the european union should be delegated to the commission in respect of specification of the date from which the maximum sulphur content of fuel of 0 . 50% by mass should apply in the union , designation of new secas on the basis of the decision of the imo , approval of new emission abatement methods not covered by council directive 96 / 98 / ec1 and establishment , supplementation or amendment of conditions for their use , the specification of the means of sampling and emission monitoring and the content and the format of the report and the amendment of article 2 , points 1 , 2 , 3 , 3a , 3b and 4 or article 6 paragraph 1 and 2 in the light of scientific and technical progress and , where relevant , the instruments of the imo . it is of particular importance that the commission carry out appropriate consultations during its preparatory work , including at expert level . the commission , when preparing and drawing up delegated acts , should ensure a simultaneous , timely and appropriate transmission of relevant documents to the european parliament and to the council . 1 oj l 241 , 29 . 8 . 1998 , p . 27 . ### in order to designate new secas , to approve new alternative abatement methods and to establish the appropriate conditions for their use , to ensure appropriate monitoring of sulphur content of fuels and the harmonized content and the format of member states ' reports and to adapt the provisions of the directive to scientific and technical progress , the power to adopt acts in accordance with article 290 of the treaty on the functioning of the european union should be delegated to the commission in respect of designation of new secas on the basis of the decision of the imo , approval of new emission abatement methods not covered by council directive 96 / 98 / ec 1 and establishment , supplementation or amendment of conditions for their use , the specification of the means of sampling and emission monitoring and the content and the format of the report and the amendment of article 2 , points 1 , 2 , 3 , 3a , 3b and 4 or article 6 paragraph 1 and 2 in the light of scientific and technical progress and , where relevant , the instruments of the imo . it is of particular importance that the commission carry out appropriate consultations during its preparatory work , including at expert level . the commission , when preparing and drawing up delegated acts , should ensure a simultaneous , timely and appropriate transmission of relevant documents to the european parliament and to the council . 1 oj l 241 , 29 . 8 . 1998 , p . 27 .


### the commission shall receive annual implementation reports from the international financial institutions referred to in article 5 setting out the supported activities in terms of financial implementation , distribution of funding with regard to sectors and type of beneficiaries , applications submitted , contracts concluded , actions funded , results and , where possible , impact . ### the commission shall receive annual implementation reports from the international financial institutions referred to in article 5 setting out the supported activities in terms of financial implementation , distribution of funding with regard to sectors and type of beneficiaries , applications accepted or rejected , contracts concluded , actions funded , results and , where possible , impact .


### disadvantaged persons , including the young , who want to start or further develop their own micro - enterprise , including self - employment ; ### disadvantaged persons who are facing the threat of social exclusion and do not have credit standing and have no capital resources or who want to start or further develop their own micro - enterprise , including self - employment ;


### micro - enterprises in the social economy which employ persons who have lost their job or which employ disadvantaged persons , including the young . ### micro - enterprises in the social and solidarity economy which employ persons who have lost their job or which employ disadvantaged persons .


### to implement the actions referred to in article 4 , except for the support measures referred to in point of article 4 , the commission shall conclude agreements with international financial institutions , in particular with the european investment bank and the european investment fund , in accordance with article 53d of council regulation no 1605 / 2002 and article 43 of commission regulation no 2342 / 2002 . these agreements shall contain detailed provisions for the implementation of the tasks entrusted to them , including the necessity to ensure additionality with national schemes . ### to implement the actions referred to in article 4 , except for the support measures referred to in point of article 4 , the commission shall conclude agreements with international financial institutions , in particular with the european investment bank and the european investment fund , in accordance with article 53d of council regulation no 1605 / 2002 and article 43 of commission regulation no 2342 / 2002 . these agreements shall contain detailed provisions for the implementation of the tasks entrusted to them , including the necessity to ensure additionality and coordination with existing european and national financial instruments , relevant social support measures and regional and local programmes . these agreements shall furthermore set out the obligation of such institutions to pass on the resources in order to meet the objectives set out in article 2 and implement the actions set out in article 4 .


### persons who have lost or are at risk of losing their job and want to start their own micro - enterprise , including self - employment ; ### persons who are at risk of losing their job or have difficulties entering or re - entering the labour market and want to start their own micro - enterprise , including self - employment ;


### the commission shall receive annual implementation reports from the international financial institutions referred to in article 5 setting out the supported activities in terms of financial implementation , distribution of funding with regard to sectors and type of beneficiaries , applications submitted , contracts concluded , actions funded , results and , where possible , impact . ### the commission shall present to the european parliament and the council annual implementation reports referred to in article 5 setting out the supported activities in terms of financial implementation , distribution of funding with regard to sectors and type of beneficiaries , applications accepted or rejected , contracts concluded , actions funded , results and , where possible , impact .


### the risks related to these matters and how the company manages those risks . ### the risks related to the company in relation to its operations , products , services and business relationships and how the company manages those risks ;


### a description of the company ' s diversity policy for its administrative , management and supervisory bodies with regard to aspects such as age , gender , geographical diversity , educational and professional background , the objectives of this diversity policy , how it has been implemented and the results in the reporting period . if the company has no such policy , the statement shall contain a clear and reasoned explanation as to why this is the case . ### a description of the company ' s diversity policy for its administrative , management and supervisory bodies with regard to aspects such as age , gender , geographical diversity , disability , racial or ethnic origin , educational and professional background , the objectives of this diversity policy , how it has been implemented and the results in the reporting period . if the company has no such policy , the statement shall contain a clear and reasoned explanation as to why this is the case .


### a description of the company ' s diversity policy for its administrative , management and supervisory bodies with regard to aspects such as age , gender , geographical diversity , educational and professional background , the objectives of this diversity policy , how it has been implemented and the results in the reporting period . if the company has no such policy , the statement shall contain a clear and reasoned explanation as to why this is the case . ### a description of the company ' s diversity policy for all its bodies , in particular its administrative , management and supervisory bodies with regard to aspects such as age , gender , geographical diversity , disability , racial or ethnic origin , educational and professional background , the objectives of this diversity policy , how it has been implemented and the results in the reporting period . if the company has no such policy , the statement shall contain a clear and reasoned explanation as to why this is the case .


### the risks related to these matters and how the company manages those risks . ### the risks related to the company in relation to its operations , products , services , staff , fixed assets and business relationships and how the company manages those risks ;


### in order to enhance consistency and comparability of non - financial information disclosed throughout the union , companies should be required to include in their annual report a non - financial statement containing information relating to at least environmental matters , social and employee - related matters , respect for human rights , anti - corruption and bribery matters . such statement should include a description of the policies , results , and the risks related to those matters . ### in order to enhance consistency , transparency and comparability of non - financial information disclosed throughout the union , companies should be required to include in their annual report a non - financial statement containing information relating to at least environmental matters , social and employee - related matters , respect for human rights , anti - corruption and bribery matters . such statement should include a description of the policies , results , and the risks related to those matters taking into account the companies ' complete value chain .


### for oil and carbon dioxide transport projects falling under the categories referred to in annex ii and , each group shall be composed of the representatives of the member states , project promoters concerned by each of the relevant priorities designated in annex 1 and the commission . ### for oil and carbon dioxide transport projects falling under the categories referred to in annex ii and , each group shall be composed of the representatives of the member states , local and regional authorities , project promoters concerned by each of the relevant priorities designated in annex 1 and the commission .


### the stakeholders affected by a project of common interest , including relevant authorities , landowners and citizens living in the vicinity of the project , the general public and their associations , organisations or groups , shall be extensively informed and consulted at an early stage and in an open and transparent manner . where relevant , the competent authority shall actively support the activities undertaken by the project promoter . ### the stakeholders affected by a project of common interest , including relevant local , regional and national authorities , landowners and citizens living in the vicinity of the project , the general public and their associations , organisations or groups , shall be extensively informed and consulted at an early stage and in an open and transparent manner . where relevant , the competent authority shall actively support the activities undertaken by the project promoter .


### it is necessary for safety reasons to assign an identification code to each vehicle placed in service . the vehicle should then be entered in a national vehicle register . the registers should be open to consultation by all member states and by certain economic players within the union . the national vehicle registers should be consistent as regards the data format . they should therefore be covered by common operational and technical specifications . ### it is necessary for safety reasons to assign an identification code to each vehicle placed in service . the vehicle should then be entered in a european vehicle register . the register should be public .


### it is necessary for safety reasons to assign an identification code to each vehicle placed in service . the vehicle should then be entered in a national vehicle register . the registers should be open to consultation by all member states and by certain economic players within the union . the national vehicle registers should be consistent as regards the data format . they should therefore be covered by common operational and technical specifications . ### it is necessary for safety reasons to assign an identification code to each vehicle placed in service . the vehicle should then be entered in a european vehicle register . the register should be open to consultation within the union .


### it shall be kept updated by a body independent of any railway undertaking ; ### it shall be kept updated by the agency ;


### any vehicle placed in service in the union ' s rail system shall carry a european vehicle number assigned by the national safety authority competent for the relevant territory before the first placing in service of the vehicle . ### any vehicle placed in service in the union ' s rail system shall carry a european vehicle number assigned by the agency at the time of issuing the authorisation .


### the commission shall adopt common specifications on content , data format , functional and technical architecture , operating mode , including arrangements for the exchange of data , and rules for data input and consultation for the national vehicle registers by means of implementing acts . those implementing acts shall be adopted in accordance with the examination procedure referred to in article 48 ### the commission shall adopt common specifications on content , data format , functional and technical architecture , operating mode , including arrangements for the exchange of data , and rules for data input and consultation for the european vehicle register by means of implementing acts . those implementing acts shall be adopted in accordance with the examination procedure referred to in article 48 .


### national vehicle registers ### european vehicle register


### the european parliament may invite the chairperson or his or her alternate , while fully respecting his or her independence , to make a statement regularly before its competent committee and answer questions put by members of that committee . ### the chairperson shall make a statement before the european parliament and answer any questions put by its members .


### where appropriate , the authority should consult interested parties on technical standards , guidelines and recommendations and provide them with a reasonable opportunity to comment on proposed measures . for reasons of efficiency , a securities and markets stakeholder group should be established for that purpose , representing in balanced proportions community financial market participants , their employees , and consumers and other retail users of financial services , including smes . the securities and markets stakeholder group should actively work as an interface with other user groups in the financial services area established by the commission or community legislation . ### the authority should consult interested parties on technical standards , guidelines and recommendations and provide them with a reasonable opportunity to comment on proposed measures . before adopting draft technical standards , guidelines and recommendations the authority should carry out an impact study . for reasons of efficiency , a securities and markets stakeholder group should be established for that purpose , representing in balanced proportions union financial market participants , their employees , academia and consumers and other retail users of financial services , including smes . the securities and markets stakeholder group should actively work as an interface with other user groups in the financial services area established by the commission or by eu legislation .


### where the national authority does not comply with the recommendation , the commission should be empowered to address a decision to the national supervisory authority concerned in order to ensure compliance with community law , creating direct legal effects which can be invoked before national courts and authorities and enforced under article 226 of the treaty . ### where the national authority does not comply with the recommendation , within a deadline fixed by the authority , the authority should be able to address a decision without delay to the national supervisory authority concerned in order to ensure compliance with union law , creating direct legal effects which can be invoked before national courts and authorities and enforced under article 258 of the treaty .


### where the authority maintains its decision , the council , acting by qualified majority as defined in article 205 of the treaty , shall , within two months , decide whether the authority ' s decision is maintained or revoked . ### where the authority maintains its decision , the council shall take a decision whether the authority ' s decision is maintained or revoked on the basis of a qualified majority of its members , as defined in article 16 of the treaty on european union and in article 3 of the protocol no 36 on transitional provisions annexed to the treaty on european union and to the treaty on the functioning of the european union , at one of its meetings at the latest two months after the authority has informed the member state as set out in the previous subparagraph .


### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by community law , with the elaboration of draft technical standards , which do not involve policy choices . the commission should endorse those draft technical standards in accordance with community law in order to give them binding legal effect . the draft technical standards have to be adopted by the commission . they would be subject to amendment if , for example , the draft technical standards were incompatible with community law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of community financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement . ### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by union law , with the elaboration of draft technical standards , which do not involve policy choices . these standards should thus not be in conflict with the legislation of any member state since such legislation suggests existence of a policy choice . the commission should endorse those draft technical standards in accordance with union law in order to give them binding legal effect . the draft technical standards have to be adopted or rejected by the commission according to clear and transparent principles . they would be rejected if , for example , the draft technical standards were incompatible with union law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of union financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement .


### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by community law , with the elaboration of draft technical standards , which do not involve policy choices . the commission should endorse those draft technical standards in accordance with community law in order to give them binding legal effect . the draft technical standards have to be adopted by the commission . they would be subject to amendment if , for example , the draft technical standards were incompatible with community law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of community financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement . ### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection of depositors , investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by union law , with the elaboration of draft technical standards , which do not involve policy choices . when drafting the technical standards the authority should take into consideration the different structures and risk profiles of financial institutions . in particular , the authorities should seek to ensure that unnecessary burden is not placed on financial institutions that are union - based , member - owned and play an important role with regards to combating social exclusion . the commission should endorse those draft technical standards in accordance with union law in order to give them binding legal effect . the draft technical standards have to be adopted by the commission . they would be subject to amendment if , for example , the draft technical standards were incompatible with union law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of union financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement .


### the securities and markets stakeholder group shall be composed of 30 members , representing in balanced proportions community financial market participants , their employees as well as consumers , investors and users of financial services . ### the securities and markets stakeholder group shall be composed of 30 members , representing in balanced proportions union financial market participants , their employees as well as consumers , investors and users of financial services . not less than 5 of the members shall be independent top - ranking academics . the number of members representing market participants shall not exceed 10 .


### before submitting them to the commission , the authority shall , where appropriate , conduct open public consultations on technical standards and analyse the potential related costs and benefits . ### the authority shall conduct open public consultations on technical standards and analyse the potential related costs and benefits before adopting draft technical standards . the authority shall also request an opinion or advice of the banking stakeholder group referred to in article 22 .


### where the competent authority does not apply those guidelines or recommendations it shall inform the authority of its reasons . ### in its annual report the authority shall state which national authority has not complied with its issued guidelines and recommendations and outlining how the authority intends to ensure that they follow its recommendations and guidelines in the future .


### where a member state considers that a decision taken under article 11 impinges on its fiscal responsibilities , it may notify the authority and the commission within one month after notification of the authority ' s decision to the competent authority that the decision will not be implemented by the competent authority . ### where a member state considers that a decision taken under article 11 impinges on its fiscal responsibilities , it may notify the authority and the commission within ten working days after notification of the authority ' s decision to the competent authority that the decision will not be implemented by the competent authority .


### the executive director , the commission and the esrb shall be invited to the meetings of the joint committee of european supervisory authorities as well as the sub - committees mentioned in article 43 as observers . ### the executive director , a representative of the commission and the esrb shall be invited to the meetings of the joint committee of european supervisory authorities as well as the sub - committees mentioned in article 43 as observers .


### the commission shall take such a decision no later than three months from the adoption of the recommendation . the commission may extend this period by one month . ### the authority shall take such a decision no later than one month from the adoption of the recommendation .


### the authority shall promote a coordinated community response , inter alia by : ### the authority shall promote a coordinated and consolidated union response , inter alia by :


### for that purpose , the authority shall have appropriate powers of investigation and enforcement as specified in the relevant legislation , as well as the possibility of charging fees . ### for that purpose , the authority shall have appropriate powers of investigation and enforcement as specified in the relevant legislation , as well as the possibility of charging fees . the authority may use the facilities and powers of the competent authorities to execute the exclusive supervisory powers and carry out investigations .


### the authority may develop technical standards in the areas specifically set out in the legislation referred to in article 1 . the authority shall submit its draft standards to the commission for endorsement . ### the authority may develop technical standards to complete and modify elements that are not essential to the legislative acts referred to in article 1 . the technical standards do not represent strategic decisions and their content shall be limited by the legislation on which they are based .


### without prejudice to the powers of the commission under article 226 of the treaty , where a competent authority does not comply with the decision of the authority , and thereby fails to ensure that a financial market participant complies with requirements directly applicable to it by virtue of the legislation referred to in article 1 , the authority may adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under community law , including the cessation of any practice . ### without prejudice to the powers of the commission under article 258 of the treaty , where a competent authority does not comply with the decision of the authority , and thereby fails to ensure that a financial market participant complies with requirements directly applicable to it by virtue of the legislation referred to in article 1 , the authority shall adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under union law , including the cessation of any practice .


### without prejudice to the competences of the community institutions , the authority may develop contacts with supervisory authorities from third countries . it may enter into administrative arrangements with international organisations and the administrations of third countries . ### the authority shall develop contacts with supervisory authorities from third countries . it may enter into administrative arrangements with international organisations and the administrations of third countries .


### where the commission has adopted a decision pursuant to paragraph 1 , the authority may adopt individual decisions requiring competent authorities to take the necessary action in accordance with the legislation referred to in article 1 to address any risks that may jeopardise the orderly functioning and integrity of financial markets or the stability of the whole or part of the financial system by ensuring that financial market participants and competent authorities satisfy the requirements laid down in that legislation . ### where the existence of an emergency situation is declared pursuant to paragraph 1 , the authority shall adopt individual decisions necessary to ensure that competent authorities to take the necessary action in accordance with the legislation referred to in article 1 to address any risks that may jeopardise the orderly functioning and integrity of financial markets or the stability of the whole or part of the financial system by ensuring that financial market participants and competent authorities satisfy the requirements laid down in that legislation .


### the management board shall be composed of the chairperson , a representative of the commission , and four members elected by the board of supervisors from among its members . ### the management board shall be composed of six members : the chairperson , a representative of the commission , and four members elected by the board of supervisors from among its voting members .


### within three months of receipt of the draft standards , the commission shall decide whether to endorse the draft standards . the commission may extend that period by one month . the commission may endorse the draft standards only in part or with amendments where the community interest so requires . ### within three months of receipt of the draft standards , the commission shall decide whether to endorse , reject or amend the draft standards . the commission may extend that period by one month . the commission shall inform the european parliament and the council of its decision , stating the reasons .


### contribute to a consistent application of community legislation , in particular by contributing to a common supervisory culture , ensuring consistent , efficient and effective application of the legislation referred to in article 1 , preventing regulatory arbitrage , mediating and settling disagreements between competent authorities , promoting a coherent functioning of colleges of supervisors and taking actions in emergency situations ; ### contribute to a consistent application of union law , in particular by contributing to a common supervisory culture , ensuring consistent , efficient and effective application of the legislation referred to in article 1 , preventing regulatory arbitrage , mediating and settling disagreements between competent authorities , ensuring a coherent functioning of colleges of supervisors and taking actions , inter alia , in emergency situations ;


### in order to safeguard financial stability it is necessary to identify , at an early stage , trends , potential risks and vulnerabilities stemming from the micro - prudential level , across borders and across sectors . the authority should monitor and assess such developments in the area of its competence and , where necessary , inform the european parliament , the council , the commission , the other european supervisory authorities and the european systemic risk board on a regular and , as necessary , ad hoc basis . the authority should also coordinate community - wide stress tests to assess the resilience of financial market participants to adverse market developments , ensuring an as consistent as possible methodology is applied at the national level to such tests . ### in order to safeguard financial stability it is necessary to identify , at an early stage , trends , potential risks and vulnerabilities stemming from the micro - prudential level , across borders and across sectors . the authority should monitor and assess such developments in the area of its competence and , where necessary , inform the european parliament , the council , the commission , the other european supervisory authorities and the european systemic risk board on a regular and , as necessary , ad hoc basis . the authority should also initiate and coordinate union - wide stress tests to assess the resilience of financial market participants to adverse market developments , ensuring an as consistent as possible methodology is applied at the national level to such tests .


### the european system of financial supervisors should be a network of national and community supervisory authorities , leaving day - to - day supervision of financial market participant at the national level , and according a central role in the supervision of cross - border groups to colleges of supervisors . greater harmonisation and the coherent application of rules for financial market participants and markets across the community should also be achieved . a european securities and markets authority should be established , along with a european insurance and occupational pensions authority and a european banking authority . ### the european system of financial supervisors should be a network of national and union supervisory authorities , leaving day - to - day supervision of financial market participant that are not significant cross - border financial market participants at the national level . greater harmonisation and the coherent application of rules for financial market participants and markets across the union should also be achieved . a european supervisory authority should be established , along with a european supervisory authority and a european supervisory authority as well as a european supervisory authority .


### the authority shall participate as an observer in colleges of supervisors as it deems appropriate . for the purpose of that participation , it shall be considered a ' competent authority ' within the meaning of the relevant legislation and , at its request , shall receive all relevant information shared with any member of the college . ### the authority shall participate in colleges of supervisors as it deems appropriate . for the purpose of that participation , it shall be considered a ' competent authority ' within the meaning of the relevant legislation and , at its request , shall receive all relevant information shared with any member of the college .


### the authority should actively promote a coordinated community supervisory response , in particular where adverse developments could potentially jeopardise the orderly functioning and integrity of financial markets or the stability of the financial system in the community . in addition to its powers for action in emergency situations , it should therefore be entrusted with a general coordination function within the european system of financial supervisors . the smooth flow of all relevant information between competent authorities should be a particular focus of the authority ' s actions . ### the authority should actively promote a coordinated union supervisory response , in particular to ensure the orderly functioning and integrity of financial markets or the stability of the financial system in the union . in addition to its powers for action in emergency situations , it should therefore be entrusted with a general coordination function . the smooth flow of all relevant information between competent authorities should be a particular focus of the authority ' s actions .


### the provisions of this regulation are without prejudice to the powers of the commission , in particular under article 226 of the treaty to ensure compliance with community law . ### the provisions of this regulation are without prejudice to the powers of the commission , in particular under article 258 of the treaty to ensure compliance with union law .


### in its notification , the member state shall justify why and clearly demonstrate how the decision impinges on its fiscal responsibilities . ### in its notification , the member state shall justify why and provide an impact assessment on how much the decision impinges on its fiscal responsibilities .


### where appropriate , the authority should consult interested parties on technical standards , guidelines and recommendations and provide them with a reasonable opportunity to comment on proposed measures . for reasons of efficiency , a securities and markets stakeholder group should be established for that purpose , representing in balanced proportions community financial market participants , their employees , and consumers and other retail users of financial services , including smes . the securities and markets stakeholder group should actively work as an interface with other user groups in the financial services area established by the commission or community legislation . ### the authority should consult interested parties on technical standards , guidelines and recommendations and provide them with a reasonable opportunity to comment on proposed measures . before adopting draft technical standards , guidelines and recommendations the authority should carry out an impact study . for reasons of efficiency , a securities and markets stakeholder group should be established for that purpose , representing in balanced proportions union financial market participants , their employees , academia and consumers and other retail users of financial services , including smes . the securities and markets stakeholder group should actively work as an interface with other user groups in the financial services area established by the commission or by eu legislation .


### where the commission has adopted a decision pursuant to paragraph 1 , the authority may adopt individual decisions requiring competent authorities to take the necessary action in accordance with the legislation referred to in article 1 to address any risks that may jeopardise the orderly functioning and integrity of financial markets or the stability of the whole or part of the financial system by ensuring that financial market participants and competent authorities satisfy the requirements laid down in that legislation . ### where the esrb has adopted a decision pursuant to paragraph 1 , the authority may adopt individual decisions requiring competent authorities to take the necessary action in accordance with this regulation and the legislation referred to in article 1 to address any risks that may jeopardise the orderly functioning and integrity of financial markets or the stability of the whole or part of the financial system by ensuring that financial market participants and competent authorities satisfy the requirements laid down in that legislation .


### the commission shall ensure that the right to be heard of the addressees of the decision is respected . ### the authority shall ensure that the right to be heard of the addressees of the decision is respected .


### without prejudice to the powers of the commission under article 226 of the treaty , where a competent authority does not comply with the decision referred to in paragraph 4 of this article within the period of time specified therein , and where it is necessary to remedy in a timely manner the non compliance by the competent authority in order to maintain or restore neutral conditions of competition in the market or ensure the orderly functioning and integrity of the financial system , the authority may , where the relevant requirements of the legislation referred to in article 1 are directly applicable to financial market participants , adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under community law including the cessation of any practice . ### without prejudice to the powers of the commission under article 258 of the treaty , where a competent authority does not comply with the decision referred to in paragraph 4 of this article within the period of time specified therein , and where it is necessary to remedy in a timely manner the non compliance by the competent authority in order to maintain or restore neutral conditions of competition in the market or ensure the orderly functioning and integrity of the financial system , the authority shall , pursuant to the legislation referred to in article 1 , , adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under union law including the cessation of any practice .


### serious threats to the orderly functioning and integrity of financial markets or the stability of the financial system in the community require a swift and concerted response at community level . the authority should therefore be able to require national supervisory authorities to take specific actions to remedy an emergency situation . as the determination of an emergency situation involves a significant degree of discretion , this power should be conferred on the commission . to ensure an effective response to the emergency situation , in the event of inaction by the competent national supervisory authorities , the authority should be empowered to adopt , as a last resort , decisions directly addressed to financial market participants in areas of community law directly applicable to them aimed at mitigating the effects of the crisis and restoring confidence in the markets . ### serious threats to the orderly functioning and integrity of financial markets or the stability of the financial system in the union require a swift and concerted response at union level . the authority should therefore be able to require national supervisory authorities to take specific actions to remedy an emergency situation . the european systemic risk board should establish when there is an emergency situation . as the determination of an emergency situation involves a significant degree of discretion , this power should be conferred on the commission . to ensure an effective response to the emergency situation , in the event of inaction by the competent national supervisory authorities , the authority should be empowered to adopt , as a last resort , decisions directly addressed to financial market participants in areas of union law directly applicable to them aimed at mitigating the effects of the crisis and restoring confidence in the markets .


### the delegation of tasks and responsibilities can be a useful instrument in the functioning of the network of supervisors in order to reduce the duplication of supervisory tasks , foster cooperation and thereby streamline the supervisory process as well as reduce the burden imposed on financial institutions . the regulation should therefore provide a clear legal basis for such delegation . delegation of tasks means that tasks are carried out by another supervisory authority instead of the responsible authority , while the responsibility for supervisory decisions remains with the delegating authority . by delegation of responsibilities one national supervisory authority , the delegatee , shall be able to decide upon a certain supervisory matter in its name in lieu of another national supervisory authority . delegations should be governed by the principle of allocating supervisory competence to a supervisor which is well placed to take action in the subject matter . a reallocation of responsibilities can be appropriate for example for reasons of economies of scale or scope , of coherence in group supervision , and of optimal use of technical expertise among national supervisory authorities . relevant community legislation may further specify the principles for reallocation of responsibilities upon agreement . the authority should facilitate delegation agreements between national supervisory authorities by all appropriate means . it should be informed in advance of intended delegation agreements to be able to express an opinion where appropriate . it should centralise the publication of such agreements to ensure timely , transparent and easily accessible information about agreements for all parties concerned . ### the delegation of tasks and responsibilities can be a useful instrument in the functioning of the network of supervisors in order to reduce the duplication of supervisory tasks , foster cooperation and thereby streamline the supervisory process as well as reduce the burden imposed on financial institutions . the regulation should therefore provide a clear legal basis for such delegation . delegation of tasks means that tasks are carried out by another supervisory authority instead of the responsible authority , while the responsibility for supervisory decisions remains with the delegating authority . by delegation of responsibilities one national supervisory authority , the delegatee , shall be able to decide upon a certain supervisory matter in its name in lieu of another national supervisory authority . delegations should be governed by the principle of allocating supervisory competence to a supervisor which is well placed to take action in the subject matter . a reallocation of responsibilities can be appropriate for example for reasons of economies of scale or scope , of coherence in group supervision , and of optimal use of technical expertise among national supervisory authorities . relevant eu legislation may further specify the principles for reallocation of responsibilities upon agreement . the authority should facilitate and monitor delegation agreements between national supervisory authorities by all appropriate means . it should be informed in advance of intended delegation agreements to be able to express an opinion where appropriate . it should centralise the publication of such agreements to ensure timely , transparent and easily accessible information about agreements for all parties concerned . it should identify and promulgate best practices regarding delegation and delegation agreements .


### where the authority maintains its decision , the council , acting by qualified majority as defined in article 205 of the treaty , shall , within two months , decide whether the authority ' s decision is maintained or revoked . ### where the authority maintains its decision , the council shall take a decision whether the authority ' s decision is maintained or revoked on the basis of a qualified majority of its members , as defined in article 16 of the treaty on european union and in article 3 of the protocol no 36 on transitional provisions annexed to the treaty on european union and to the treaty on the functioning of the european union , at one of its meetings at the latest two months after the authority has informed the member state as set out in the previous subparagraph .


### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by community law , with the elaboration of draft technical standards , which do not involve policy choices . the commission should endorse those draft technical standards in accordance with community law in order to give them binding legal effect . the draft technical standards have to be adopted by the commission . they would be subject to amendment if , for example , the draft technical standards were incompatible with community law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of community financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement . ### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by union law , with the elaboration of draft technical standards , which do not involve policy choices . these standards should thus not be in conflict with the legislation of any member state since such legislation suggests existence of a policy choice . the commission should endorse those draft technical standards in accordance with union law in order to give them binding legal effect . the draft technical standards have to be adopted or rejected by the commission according to clear and transparent principles . they would be rejected if , for example , the draft technical standards were incompatible with union law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of union financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement .


### where the competent authority has not complied with community law within one month from receipt of the authority ' s recommendation , the commission may , after having been informed by the authority or on its own initiative , take a decision requiring the competent authority to take the action necessary to comply with community law . ### where the competent authority has not complied with union law within the ten working days set out in paragraph 3 of this article from receipt of the authority ' s recommendation , the authority shall take a decision requiring the competent authority to take the action necessary to comply with union law .


### in areas not covered by technical standards , the authority should have the power to issue non - binding guidelines and recommendations on the application of community legislation . in order to ensure transparency and strengthen compliance by national supervisory authorities with those guidelines and recommendations , national authorities should be obliged to state their reasons where they do not comply with those guidelines and recommendations . ### in areas not covered by technical standards , the authority should have the power to issue guidelines and recommendations on the application of eu legislation . in order to ensure transparency and strengthen compliance by national supervisory authorities with those guidelines and recommendations , national authorities should be obliged to state their reasons where they do not comply with those guidelines and recommendations publicly in order to be fully transparent with market participants . in areas not covered by technical standards , the authority should establish and promulgate best practices .


### the decision of the authority shall be in conformity with the decision adopted by the commission pursuant to paragraph 4 . ### the decision of the authority shall be in conformity with the decision adopted pursuant to paragraph 4 .


### member states have a core responsibility in preserving financial stability in crisis management , in particular with regard to stabilising and resolving individual ailing financial market participants . measures by the authority in emergency or settlement situations affecting the stability of a financial market participant should not impinge on the fiscal responsibilities of member states . a mechanism should be established whereby member states may invoke this safeguard and ultimately bring the matter before the council for decision . it is appropriate to confer on the council a role in this matter given the particular responsibilities of the member states in this respect . ### member states have a core responsibility in ensuring coordinated crisis management and in preserving financial stability in crisis situations , in particular with regard to stabilising and resolving individual ailing financial market participants . measures by the authority in emergency or settlement situations affecting the stability of a financial market participant should not impinge on the fiscal responsibilities of member states . a mechanism should be established whereby member states may invoke this safeguard and ultimately bring the matter before the council for decision . it is appropriate to confer on the council a role in this matter given the particular responsibilities of the member states in this respect .


### the european system of financial supervisors should be a network of national and community supervisory authorities , leaving day - to - day supervision of financial market participant at the national level , and according a central role in the supervision of cross - border groups to colleges of supervisors . greater harmonisation and the coherent application of rules for financial market participants and markets across the community should also be achieved . a european securities and markets authority should be established , along with a european insurance and occupational pensions authority and a european banking authority . ### the european system of financial supervisors should be a network of national and union supervisory authorities , leaving day - to - day supervision of financial market participant that are not significant cross - border financial market participants at the national level . greater harmonisation and the coherent application of rules for financial market participants and markets across the union should also be achieved . a european supervisory authority should be established , along with a european supervisory authority and a european supervisory authority as well as a european supervisory authority .


### the european parliament may invite the chairperson or his or her alternate , while fully respecting his or her independence , to make a statement regularly before its competent committee and answer questions put by members of that committee . ### the chairperson shall make a statement before the european parliament and answer any questions put by its members .


### before submitting them to the commission , the authority shall , where appropriate , conduct open public consultations on technical standards and analyse the potential related costs and benefits . ### the authority shall conduct open public consultations on technical standards and analyse the potential related costs and benefits before adopting draft technical standards . the authority shall also request an opinion or advice of the banking stakeholder group referred to in article 22 .


### the provisions of this regulation are without prejudice to the powers of the commission , in particular under article 226 of the treaty to ensure compliance with community law . ### the provisions of this regulation are without prejudice to the powers of the commission , in particular under article 258 of the treaty to ensure compliance with union law .


### contribute to the establishment of high quality common regulatory and supervisory standards and practices , in particular by providing opinions to the community institutions and by developing guidelines , recommendations , and draft technical standards which shall be based on the legislation referred to in article 1 ; ### contribute to a consistent application of union law , in particular by contributing to a common supervisory culture , ensuring consistent , efficient , and effective application of the legislation referred to in article 1 , preventing regulatory arbitrage , mediating and settling disagreements between competent authorities , ensuring a coherent functioning of colleges of supervisors and taking actions , inter alia , in emergency situations ;


### in the case of adverse developments which may seriously jeopardise the orderly functioning and integrity of financial markets or the stability of the whole or part of the financial system in the community , the commission , upon its own initiative or following a request by the authority , the council , or the esrb , may adopt a decision addressed to the authority , determining the existence of an emergency situation for the purposes of this regulation . ### in the case of adverse developments which may seriously jeopardise the orderly functioning and integrity of financial markets , investor protection or the stability of the whole or part of the financial system in the union , the esrb , upon its own initiative or following a request by the authority , the european parliament , the council or the commission , may issue a warning declaring the existence of an emergency situation for the purposes of this regulation , in order to enable the authority without further requirements to adopt the individual decisions referred to in paragraph 3 .


### where appropriate , the authority should consult interested parties on technical standards , guidelines and recommendations and provide them with a reasonable opportunity to comment on proposed measures . for reasons of efficiency , a securities and markets stakeholder group should be established for that purpose , representing in balanced proportions community financial market participants , their employees , and consumers and other retail users of financial services , including smes . the securities and markets stakeholder group should actively work as an interface with other user groups in the financial services area established by the commission or community legislation . ### the authority should consult interested parties on technical standards , guidelines and recommendations and provide them with a reasonable opportunity to comment on proposed measures . before adopting draft technical standards , guidelines and recommendations the authority should carry out an impact study . for reasons of efficiency , a securities and markets stakeholder group should be established for that purpose , representing in balanced proportions union financial market participants , their employees , academia and consumers and other retail users of financial services , including smes . the securities and markets stakeholder group should actively work as an interface with other user groups in the financial services area established by the commission or by eu legislation .


### given the globalisation of financial services and the increased importance of international standards , the authority should foster the dialogue and cooperation with supervisors outside the community . it shall fully respect the existing roles and competences of the european institutions in relations with authorities outside the community and in international forums . ### given the globalisation of financial services and the increased importance of international standards , the authority should represent the european union in the dialogue and cooperation with supervisors outside the union .


### without prejudice to the powers of the commission under article 226 of the treaty , where a competent authority does not comply with the decision of the authority referred to in paragraph 2 within the period laid down therein , the authority may , where the relevant requirements laid down in the legislation referred to in article 1 are directly applicable to financial market participants , adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under that legislation , including the cessation of any practice . ### without prejudice to the powers of the commission under article 258 of the treaty , where a competent authority does not comply with the decision of the authority shall , pursuant to the relevant requirements laid down in the legislation referred to in article 1 adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under that legislation , including the cessation of any practice .


### contribute to developing high quality and uniform supervisory standards , including reporting standards ; ### contribute to developing high quality and uniform supervisory standards , including reporting and accounting standards ;


### without prejudice to the powers of the commission under article 226 of the treaty , where a competent authority does not comply with the decision of the authority , and thereby fails to ensure that a financial market participant complies with requirements directly applicable to it by virtue of the legislation referred to in article 1 , the authority may adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under community law , including the cessation of any practice . ### without prejudice to the powers of the commission under article 258 of the treaty , where a competent authority does not comply with the decision of the authority , and thereby fails to ensure that a financial market participant complies with requirements directly applicable to it by virtue of the legislation referred to in article 1 , the authority shall adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under union law , including the cessation of any practice .


### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by community law , with the elaboration of draft technical standards , which do not involve policy choices . the commission should endorse those draft technical standards in accordance with community law in order to give them binding legal effect . the draft technical standards have to be adopted by the commission . they would be subject to amendment if , for example , the draft technical standards were incompatible with community law , would not respect the principle of proportionality or would run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of community financial services legislation . to ensure a smooth and expedited adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement . ### there is a need to introduce an effective instrument to establish harmonised technical standards in financial services to ensure , also through a single rulebook , a level playing field and an adequate protection investors and consumers across europe . as a body with highly specialised expertise , it is efficient and appropriate to entrust the authority , in areas defined by union law , with the elaboration of draft technical standards , which do not involve policy choices . the commission should be empowered to adopt delegated acts in accordance with article 290 of the treaty on the functioning of the european union concerning technical standards in financial services .


### the process for the development of technical standards in this regulation is without prejudice to the commission ' s powers to adopt on its own initiative implementing measures under comitology procedures at level 2 of the lamfalussy structure as laid out in the relevant community legislation . the matters concerned by the technical standards do not involve policy decisions , and their content is framed by the community acts adopted at level 1 . development of the draft standards by the authority ensures that they fully benefit from the specialised expertise of national supervisory authorities . ### the commission should endorse those draft technical standards in order to give them binding legal effect . they will be subject to amendment if , for example , they are incompatible with union law , do not respect the principle of proportionality or run counter to the fundamental principles of the internal market for financial services as reflected in the acquis of european union financial services legislation . to ensure a smooth and expeditious adoption process for those standards , the commission should be subject to a time limit for its decision on the endorsement .


### proposal for a regulation of the european parliament and of the council establishing a european securities and markets authority ### proposal for a regulation of the european parliament and of the council establishing a european supervisory authority


### without prejudice to the powers laid down in article 9 , where a competent authority disagrees on the procedure or content of an action or inaction by another competent authority in areas where the legislation referred to in article 1 requires cooperation , coordination or joint decision making by competent authorities from more than one member state , the authority , at the request of one or more of the competent authorities concerned , may assist the authorities in reaching an agreement in accordance with the procedure set out in paragraph 2 . ### without prejudice to the powers laid down in article 9 , where a competent authority disagrees on the procedure or content of an action or inaction by another competent authority in areas where the legislation referred to in article 1 requires cooperation , coordination or joint decision making by competent authorities from more than one member state , the authority , on its own initiative or at the request of one or more of the competent authorities concerned , shall take the lead in assisting the authorities in reaching an agreement in accordance with the procedure set out in paragraphs 2 to 4 .


### without prejudice to the competences of the community institutions , the authority may develop contacts with supervisory authorities from third countries . it may enter into administrative arrangements with international organisations and the administrations of third countries . ### the authority shall develop contacts with supervisory authorities from third countries . it may enter into administrative arrangements with international organisations and the administrations of third countries .


### the authority and the competent authorities shall provide the commission with all necessary information . ### the competent authorities shall provide the authority with all necessary information .


### without prejudice to the powers of the commission under article 226 of the treaty , where a competent authority does not comply with the decision referred to in paragraph 4 of this article within the period of time specified therein , and where it is necessary to remedy in a timely manner the non compliance by the competent authority in order to maintain or restore neutral conditions of competition in the market or ensure the orderly functioning and integrity of the financial system , the authority may , where the relevant requirements of the legislation referred to in article 1 are directly applicable to financial market participants , adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under community law including the cessation of any practice . ### without prejudice to the powers of the commission under article 258 of the treaty , where a competent authority does not comply with the decision referred to in paragraph 4 of this article within the period of time specified therein , and where it is necessary to remedy in a timely manner the non compliance by the competent authority in order to maintain or restore neutral conditions of competition in the market or ensure the orderly functioning and integrity of the financial system , the authority shall , pursuant to the legislation referred to in article 1 , , adopt an individual decision addressed to a financial market participant requiring the necessary action to comply with its obligations under union law including the cessation of any practice .