Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL amending Regulation (EU) No 600/2014 on markets in financial instruments, Regulation (EU) No 596/2014 on market abuse and Regulation (EU) No 909/2014 on improving securities settlement in the European Union and on central securities depositories as regards certain dates
Date: 2016-02-10
Institutions: Directorate-General for Financial Stability, Financial Services and Capital Markets Union, European Commission
Subjects: EU office or agency, data collection, exchange of information, financial instrument, financial legislation, financial transaction, market supervision, securities

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   EUROPEAN COMMISSION  Brussels, 10.2.2016  COM(2016) 57 final 2016/0034 (COD)   Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL amending Regulation (EU) No 600/2014 on markets in financial instruments, Regulation (EU) No 596/2014 on market abuse and Regulation (EU) No 909/2014 on improving securities settlement in the European Union and on central securities depositories as regards certain dates (Text with EEA relevance)  
 
EXPLANATORY MEMORANDUM 

1. 

CONTEXT OF THE PROPOSAL 

1.1. Reasons for the proposal 

Directive 2014/65/EU (‘MiFID’) together with Regulation (EU) No 600/2014 (‘MiFIR’) was 
adopted  in  the  wake  of  the  financial  crisis.  MiFID  and  MiFIR,  collectively  referred  to  as 
MiFID II, covers securities markets, investment intermediaries and trading venues. The new 
framework reinforces and replaces the current MiFID framework.  

MiFID  II  extends  the  number  of  financial  instruments  covered  by  trading  rules  and  ensures 
that trading takes place on regulated platforms. It introduces rules on high frequency trading. 
It  improves  the  transparency  and  oversight  of  financial  markets  –  including  derivatives 
markets  -  and  addresses  the  issue  of  price  volatility  in  commodity  derivatives.  The  new 
framework  improves  conditions  for  competition  in  the  trading  and  clearing  of  financial 
instruments. Building on the rules already in  place, the revised MiFID rules also strengthen 
the  protection  of  investors  by  introducing  robust  organisational  and  conduct  of  business 
requirements. The MiFID II package consists of a Directive and a Regulation. Member States 
need  to  transpose  the  Directive  by  3  July  2016.  Both  MiFID  and  MiFIR  are  scheduled  to 
apply as of 3 January 2017. 

The purpose of the draft proposal is to extend the entry into application of both instruments 
that  are  comprised  in  the  MIFID  II  package  as  a  result  of  the  technical  implementation 
challenges  met  by  the  European  Securities  and  Markets  Authority  ('ESMA'),  national 
competent authorities ('NCAs') and stakeholders. These challenges are of such magnitude that 
essential data infrastructures will not be in place in time for 3 January 2017.  

During the legislative process, the very high level of complexity of the MiFID II package and 
the need for a significant number of implementing measures were recognised. To this end, a 
period of 30 months was foreseen between the adoption and the entry into application, instead 
of the usual 18-24 months. 

Despite  this  unusually  long  period,  ESMA  has  made  clear  to  the  Commission  that  the 
technical  implementing  challenges  are  of  such  magnitude  that  essential  data  infrastructures 
will not be in place in time for 3 January 2017. If the date of entry into application remains 
unchanged,  this  would  mean,  in  practice,  that  neither  competent  authorities,  nor  market 
participants, would be in a position to apply the new rules on 3 January 2017. This would lead 
to legal uncertainty and potential market disruption. 

In  light  of  these  exceptional  circumstances  and  the  particular  technical  implementation 
challenges  faced  by  ESMA  and  the  competent  authorities  in  this  specific  case,  the 
Commission deems it necessary to extend the entry into application of both instruments that 
are  comprised  in  MIFID  II.  Such  extension  shall  be  strictly  limited  to  what  is  necessary  to 
allow the technical implementation work to be finalised.  

1.2 The 'data' challenge 

ESMA have informed the Commission that neither they nor the NCAs will be in a position to 
apply MiFID II as of 3 January 2017. This is as a result of significant challenges in collecting 
the  data  that  is  necessary  for  the  operation  of  the  MiFID  II  rules.  In  order  to  ensure  legal 
certainty and avoid potential market disruption, urgent action is needed to adjust the date of 
entry  into  application  for  MiFID  II.  The  reasons  for  the  urgency  are  linked  to  the  need  to 
establish  new  and  extensive  electronic  data  collection  networks  between  trading  venues, 
national regulators and ESMA.  

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The new framework requires trading venues and systematic internalisers to provide competent 
authorities  with  financial  instrument  reference  data  that  describes  in  a  uniform  manner  the 
characteristics of every financial instrument subject to the scope of MiFID II. Additional data 
are  also  used  for  other  purposes,  in  particular  for  the  calculation  of  various  liquidity  and 
transparency  thresholds  used  for  on-venue  trading  of  all  financial  instruments  covered  by 
MiFID as well as for positions reporting of commodity derivatives.  

In  order  to  collect  data  in  an  efficient  and  harmonised  manner,  a  new  data  collection 
infrastructure must be developed. This obliges ESMA, in conjunction with competent national 
authorities, to establish a Financial Instruments Reference Data System ('FIRDS'). FIRDS will 
need to cover the entire range of financial instruments that are included in the increased scope 
of MiFID II. In accomplishing this task, FIRDS will necessitate linking of data feeds between 
ESMA, NCAs and around 300 trading venues across the European Union. The vast majority 
of the new IT-systems underpinning FIRDS will need to be built from the ground, based on 
new parameters.  

The Commission recognises that as a result of the size and complexity of the data needed to 
be collected and processed for MiFID II to become operational, in particular for transaction 
reporting,  transparency  calculations  and  reporting  of  positions  in  commodity  derivatives, 
neither  stakeholders,  such  as  trading  platforms,  nor  NCAs  nor  ESMA  are  in  a  position  to 
ensure  that  the  necessary  data  collection  infrastructures  would  be  in  place  and  become 
operational  by  3  January  2017.  Therefore,  on  2  October  2015  ESMA  informed  the 
Commission that a delay in the technical implementation of MiFID II was unavoidable. 

1.3. The scope of the proposal 

The absence of data has ramifications across multiple areas of MIFID II.  As regards market 
regulation,  it  is  clear  that  without  the  foundation  of  reference  data  (instrument  ID)  and  the 
additional data infrastructures for transparency calculations and position reporting in place, it 
will not be possible to apply the majority of the market rules. In particular:  

 

 

 

 

Transaction reporting: without reference data, there will be challenges to determine 
what  instruments  are  within  the  scope.  In  addition,  the  necessary  infrastructure  for 
market participants to report to their competent authorities will not be available.  

Transparency  framework:  the  trade  transparency  rules  for  all  financial  instruments 
(equity  as  well  as  non-equity)  cannot  be  established  and  applied.  In  addition,  the 
calculations and thresholds for the liquidity assessment, waivers, deferred publication 
and, in the equity area, the double volume cap (which limits dark trading) cannot be 
established.  

Commodity  derivatives:  in  the  absence  of  position  reporting  for  commodity 
derivatives  it  will  be  very  difficult  to  enforce  position  limits  on  such  commodity 
derivative  contracts.  With  no  position  reporting,  there  is  a  limited  ability  to 
effectively detect breaches of positon limits.  

Microstructural  regulation:  many  of  the  requirements  in  relation  to  algorithmic 
trading/high  frequency  trading  are  by  their  nature  dependent  on  data.  In  particular, 
the  key  provisions  on  tick-size  regime  and  the  obligations  in  relation  to  market 
making obligations and schemes are also tailored on there being a liquid market as 
determined under the transparency framework.  

The  investor  protection  rules,  the  conduct  of  business  rules  and  certain  associated 
organisational requirements under MIFID II will not be directly affected by the lack of data. 
The important exception is the rules on  best execution, where the scope of the disclosure is 

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designed  by  reference  to  there  being  a  liquid  market  and  other  transparency  concepts.  For 
other  investor  protection  rules,  aside  from  issues  relating  to  the  definition  of  financial 
instruments or the scope of the legislation, data inter-linkages generally do not exist, as these 
rules  directly  concern  distribution  and  not  trading.  It  is,  therefore,  recognised  that  an 
alternative approach would be to extend the date of entry into application only for the parts of 
the legislation directly relating to data collection.  

However,  after  a  careful  analysis  of  that  option,  it  appears  that  an  extension  for  the  whole 
package, including investor protection rules, as opposed to a staggered approach is preferable: 

 

 

 

through  a  staggered 

It avoids the risk of causing confusion and unnecessary costs that stakeholders would 
incur 
infrastructures 
simultaneously  –  as  opposed  to  doing  so  in  stages  -  would  make  the  process  more 
cost effective. For example, it avoids situations, where investment firms, involved in 
execution of orders, would have to set up organisational requirements/conduct rules 
in stages, which would be complicated, expensive and costly; 

implementation.  Building  various 

It avoids having to delineate between the areas that can be immediately implemented 
and  those  that  cannot  be,  and,  therefore,  avoids  the  risk  of  causing  unintended 
consequences which may not have been foreseen or sufficiently considered; and 

It  avoids  the  need  for  transitional  rules,  which  by  themselves  would  create  new 
issues  and  divert  resources  of  ESMA,  NCAs  and  stakeholders  from  building  the 
permanent framework.  

On  the  basis  of  the  above  considerations,  extending  the  entry  into  application  for  the  entire 
MiFID II rulebook is therefore necessary and justified. 

Changing  the  date  of  applicability  of  MiFID  II  does  however  have  consequences  for  the 
applicability  of  other  legislation,  in  particular  Regulation  (EU)  596/2014  ('MAR')  and 
Regulation (EU) 909/2014 ('CSDR').  

The market abuse framework will apply to certain definitions and concepts of MiFID II. As 
MAR is set to enter into application on 3 July 2016, there is already a provision in it, which 
ensures that before the originally foreseen date of entry into application of MiFID II, concepts 
and rules of MiFID I will apply. In order to ensure legal certainty for the period between the 
originally foreseen date of entry into application and the new date of entry into application, it 
is  necessary  to  clarify  in  MAR  that  the  concepts  and  rules  as  set  out  in  MiFID  I  should  be 
used  until  the  new  date  of  entry  into  application  of  MiFID  II.  MAR  also  refers  to  concepts 
that will be introduced by MiFID II, such as organised trading facilities ('OTFs'),  small and 
medium-sized enterprises ('SME') growth markets, emission allowances or auctioned products 
based  thereon.  MAR  sets  out  that  its  provisions  shall  not  apply  to  these  concepts  until  the 
originally foreseen entry into application of MiFID II. It is therefore also necessary to clarify 
in  MAR  that  provisions  referring  to  OTFs,  SME  growth  markets,  emission  allowances  or 
auctioned products based thereon shall not apply until the new date of entry into application 
of MiFID II. 

The consequences for the CSDR are twofold. First, there are consequences for the application 
of  the  rules  on  settlement  discipline  to  multilateral  trading  facilities  ('MTFs')  applying  for 
registration as SME growth markets in accordance with Directive 2014/65/EU. Specifically, 
these  rules  allow  MTFs  meeting  the  criteria  for  an  SME  growth  market  under  MiFID  II  to 
apply a longer extension period for the settlement of transactions whilst their registration as 
an SME growth market under MiFID II is still ongoing. Second, in order to have a clear and 

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coherent  legislative  framework  for  trading  and  settlement,  CSDR  relies  on  many  of  the 
definitions and concepts of MiFID II. In order to ensure legal certainty for the period between 
the  previous  date  of  entry  into  application  and  the  new  date  of  entry  into  application,  it  is 
necessary to clarify that until the new date of entry into application, the rules set out in MiFID 
I should be used.  

1.4. Length of the extension 

(which 

An extension of one year should provide sufficient and reasonable time for ESMA, NCAs and 
operators to put in place the infrastructure for data collection, reporting and the transparency 
threshold  calculations.  There  are  five  steps  in  the  implementation  process:  (1)  business 
requirements 
technical 
are 
standards/implementing  technical  standards),  (2)  specifications,  (3)  development  (4)  testing 
and  (5)  deployment.  ESMA  estimates  that  it  should  complete  these  steps  in  relation  to  the 
reference  data,  transparency  calculations  and  position  reporting  systems  by  January  2018. 
This assumes that there is sufficient legal clarity on the final requirements under the relevant 
regulatory technical standards by mid-2016. On this basis, the draft proposal therefore extends 
the entry into application of the whole framework until 3 January 2018 by one year.  

regulatory 

necessary 

case 

this 

the 

in 

The  extension  of  entry  into  application  of  Regulation  (EU)  No  600/2014  should  not  impact 
adoption of delegated acts and technical standards under Regulation (EU) No 600/2014. The 
Commission  should  adopt  these  measures  in  accordance  with  the  procedure  envisaged  in 
order  to  allow  the  industry  to  set  up  and  adjust  internal  systems  to  ensure  compliance  with 
new requirements on the date of entry into application of Regulation (EU) No 600/2014. 

2. 

• 

LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY 

Legal basis 

The  proposal  is  based  on  Article  114  of  the  TFEU.  It  is  complementary  to  the  proposed 
regulation extending the entry into application of MiFID. 

• 

Subsidiarity  

According to the principle of subsidiarity, EU action may only be taken if the envisaged aims 
cannot be achieved by Member States alone. EU intervention is needed to improve the proper 
functioning  of  the  internal  market  and  avoid  the  distortion  of  competition  in  the  field  of 
securities  markets.  In  this  regard,  the  legislation,  that  is  being  amended,  is  adopted  in  full 
compliance  with  the  principle  of  subsidiarity  and  any  amendment  thereto  must  be  made 
through a Commission proposal.  

• 

Proportionality 

This  EU  action  is  necessary  to  achieve  the  objective  of  the  proper  implementation  of  data 
collection infrastructure, as established by MIFID II. The extension as proposed in terms of 
the  scope  and  length  is  necessary  to  allow  for  an  efficient  and  orderly  planning  and 
implementation  by  all  involved  parties.  This  proposal  will therefore  ensure  that  the  original 
purpose  of  MIFID  II  of  achieving  a  fully  functioning  internal  market  for  securities  services 
with a high level of market transparency and investor protection can be attained.  

3. 

RESULTS 
CONSULTATIONS AND IMPACT ASSESSMENTS 

EX-POST 

EVALUATIONS, 

OF 

STAKEHOLDER 

This proposal is not accompanied by a separate Impact Assessment, as an impact assessment 
for MIFID II has already been undertaken. This proposal does not alter MiFID II on substance 

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and  does  not  impose  new  obligations  on  investment  firms  and  trading  venues  or  any  other 
operator covered by MiFID II. It only aims at providing - for exceptional reasons in particular 
linked  to  the  high  complexity  of  the  package  and  the  data  collection  tools  needed  –  an 
extension  of  the  date  of  entry  into  application  of  the  MiFID  II  by  1  year  to  provide  legal 
certainty  and  develop  the  necessary  data  collection  infrastructures  to  ensure  effective 
application and enforcement of the new rules by ESMA and NCAs.  

4. 

BUDGETARY IMPLICATIONS 

The proposal does not have a budgetary impact for the Commission. 

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2016/0034 (COD) 

Proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

amending Regulation (EU) No 600/2014 on markets in financial instruments, Regulation 
(EU) No 596/2014 on market abuse and Regulation (EU) No 909/2014 on improving 
securities settlement in the European Union and on central securities depositories as 
regards certain dates 

(Text with EEA relevance) 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 114 thereof, 

Having regard to the proposal from the European Commission, 

After transmission of the draft legislative act to the national parliaments,  
Having regard to the opinion of the European Central Bank1, 
Having regard to the opinion of the European Economic and Social Committee2,  

Acting in accordance with the ordinary legislative procedure, 

Whereas: 

(1) 

(2) 

1 
2 
3 

4 

5 

Regulation  (EU)  No  600/2014  of  the  European  Parliament  and  of  the  Council3  and 
Directive  2014/65/EU  of  the  European  Parliament  and  of  the  Council4  are  major 
pieces  of  financial  legislation  adopted  in  the  wake  of  the  financial  crisis  as  regards 
securities markets, investment intermediaries and trading venues. The new framework 
reinforces and replaces  Directive 2004/39/EC of the European Parliament  and of the 
Council5. 

Regulation  (EU)  No  600/2014  and  Directive  2014/65/EU  establish  requirements  in 
relation to authorisation and operation of investment firms, regulated markets and data 
reporting  services  providers.  It  harmonises  position-limits  regime  for  commodity 
derivatives to improve transparency, support orderly pricing and prevent market abuse. 
It also introduces rules on high frequency trading and improves oversight of financial 

OJ C , , p. . 
OJ C , , p. . 
Directive  2014/65/EU  of  the  European  Parliament  and  of  the  Council  of  15 May  2014  on  markets  in 
financial  instruments  and  amending  Directive 2002/92/EC  and  Directive 2011/61/EU  (OJ L 173, 
12.6.2014, p. 349). 
Regulation (EU)  No 600/2014  of  the  European  Parliament  and  of  the  Council  of  15 May  2014  on 
markets  in  financial  instruments  and  amending  Regulation  (EU)  No 648/2012  (OJ L 173,  12.6.2014, 
p. 84). 
Directive 2004/39/EC of the European Parliament and of the Council of 21 April 2004 on markets in 
financial  instruments  amending  Council  Directives  85/611/EEC  and  93/6/EEC  and  Directive 
2000/12/EC of the European Parliament and of the Council and repealing Council Directive 93/22/EEC 
(OJ L 145, 30.4.2004, p. 1). 

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markets  by  harmonising  administrative  sanctions.  Building  on  the  rules  already  in 
place, the new framework also strengthens the protection of investors by introducing 
robust  organisational  and  conduct  requirements.  The  new  rules  are  to  apply  from  3 
January 2017.  

The  new  framework  introduced  by  Regulation  (EU)  No  600/2014  and  Directive 
2014/65/EU requires trading venues and systematic internalisers to provide competent 
authorities with financial instrument reference data that describe in a uniform manner 
the  characteristics  of  every  financial  instrument  subject  to  that  Directive.  Those  data 
are also used for other purposes,  for instance  for the calculation of transparency  and 
liquidity thresholds as well as for positions reporting of commodity derivatives.  

In order to collect data in an efficient and harmonised manner, a new data collection 
infrastructure  is  being  developed.  To  this  end,  the  European  Securities  and  Markets 
Authority ('ESMA'), in conjunction with competent national authorities, are obliged to 
establish  a  Financial  Instruments  Reference  Data  System  ('FIRDS').  It  will  cover  a 
wide  range  of  financial  instruments  brought  into  the  scope  of  Regulation  (EU)  No 
600/2014 and will link data feeds of ESMA, national competent authorities ('NCAs') 
and  trading  venues  across  the  Union.  The  vast  majority  of  the  new  IT-systems 
underpinning FIRDS will need to be built from the ground, based on new parameters. 

Given the complexity of the new framework and the need for a very high number of 
delegated  and  implementing  acts,  the  date  of  applicability  of  Regulation  (EU)  No 
600/2014  was  deferred  by  30  months  from  the  date  of  entry  into  force.  Despite  this 
unusually long period, stakeholders, such as trading platforms, NCAs and ESMA are 
not in a position to ensure that the necessary data infrastructures will be in place and 
become operational by 3 January 2017. This is due to the size and complexity of the 
data  needed  to  be  collected  and  processed  for  the  new  framework  to  become 
operational,  in  particular  for  transaction  reporting,  transparency  calculations  and 
reporting of positions in commodity derivatives. 

The  absence  of  the  data  collection  infrastructures  has  implications  across  the  entire 
scope  of  Regulation  (EU)  No  600/2014  and  Directive  2014/65/EU.  Without  data  it 
will not be feasible to establish a precise delineation of financial instruments that fall 
within the scope of the new framework. Furthermore, it will not be possible to tailor 
the  pre-trade  and  post-trade  transparency  rules,  in  order  to  determine  which 
instruments are liquid and when waivers or deferred publication should be granted. 

Absent  the  data,  trading  venues  and  investment  firms  will  not  be  able  to  report 
executed transactions to competent authorities. In the absence of position reporting for 
commodity derivatives it will be difficult to enforce position limits on such contracts. 
With no position reporting, there is a limited ability to effectively detect breaches of 
the  positon  limits.  For  instance,  many  of  the  requirements  in  relation  to  algorithmic 
trading are also dependent on data.  

The absence of data collection infrastructures will also make it difficult for investment 
firms to apply best execution rules. Trading venues and systematic internalises will not 
be  able  to  publish  data  relating  to  the  quality  of  execution  of  transactions  on  those 
venues.  Investment firms will not  be  provided with  important  execution data to  help 
them determine the best way to execute client orders.  

In order to ensure legal certainty and avoid potential market disruption, it is necessary 
and  justified  to  take  urgent  action  to  defer  the  entry  into  application  of  the  whole 
framework, including all delegated and implementing acts.  

(3) 

(4) 

(5) 

(6) 

(7) 

(8) 

(9) 

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(10)  The  implementation  process  for  data  infrastructure  involves  five  steps:  business 
requirements,  specifications,  development,  testing  and  deployment.  ESMA  estimates 
that  those  steps  should  be  completed  by  January  2018  provided  that  there  is  legal 
certainty on the final requirements under the relevant regulatory technical standards no 
later than by June 2016.  

(11) 

In  light  of  the  exceptional  circumstances  and  in  order  to  enable  ESMA,  NCAs  and 
stakeholders to complete the operational implementation, it is appropriate to defer the 
date  of  application  of  Regulation  (EU)  No  600/2014  by  12  months  until  3  January 
2018. Reports and reviews should be deferred accordingly.  

(12)  Regulation  (EU)  596/2014  of  the  European  Parliament  and  of  the  Council6  contains 
reference  to  the  date  of  application  of  Regulation  (EU)  No  600/2014  and  Directive 
2014/65/EU.  In  order  to  ensure  that  references  in  Regulation  (EU)  596/2014  to 
organised  trading  facilities,  small  and  medium-sized  enterprises’  ('SME')  growth 
markets, emission allowances or auctioned products based thereon do not apply until 
the  date  of  application  of  Regulation  (EU)  No  600/2014  and  Directive  2014/65/EU, 
Article 39(4) of Regulation (EU) 596/2014 stating that references to them are read as 
references  to  Directive  2004/39/EC  should  be  adjusted  taking  into  account  the 
extension of the date of application of those acts. 

(13)  The  settlement  of  securities  transactions  is  closely  linked  to  securities  trading.  As 
such,  Regulation  (EU)  909/2014  of  the  European  Parliament  and  of  the  Council7 
contains  references  to  the  date  of  application  of  Regulation  (EU)  No  600/2014  and 
Directive 2014/65/EU. Before that date, references to those two acts should be read as 
references  to  Directive  2004/39/EC.  Regulation  (EU)  909/2014  further  creates  a 
transitional  regime  for  the  application  of  the  rules  on  settlement  discipline  to 
multilateral  trading  facilities  ('MTFs')  applying  for  registration  as  SME  growth 
markets in accordance with Directive 2014/65/EU.  

(14) 

In  order  to  ensure  that  Directive  2004/39/EC  is  referenced  in  Regulation  (EU) 
909/2014 until the extended date of application of Regulation (EU) No 600/2014 and 
Directive  2014/65/EU  and  that  the  transitional  provisions  for  MTFs  applying  for 
registration as SME growth markets under Regulation (EU) 909/2014 are maintained 
so as to provide sufficient time for MTFs to apply for such registration under Directive 
2014/65/EU, Regulation (EU) 909/2014 should be amended. 

(15)  Regulations  (EU)  No  600/2014,  (EU)  No  596/2014  and  (EU)  No  909/2014  should 

therefore be amended accordingly, 

HAVE ADOPTED THIS REGULATION: 

Regulation (EU) No 600/2014 is amended as follows: 

Article 1 

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Regulation  (EU)  No  596/2014  of  the  European  Parliament  and  of  the  Council  of  16  April  2014  on 
market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament 
and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC (OJ L 173, 
12.6.2014, p. 1). 
Regulation  (EU)  No  909/2014  of  the  European  Parliament  and  of  the  Council  of  23  July  2014  on 
improving  securities  settlement  in  the  European  Union  and  on  central  securities  depositories  and 
amending  Directives  98/26/EC  and  2014/65/EU  and  Regulation  (EU)  No  236/2012  (OJ  L  257, 
28.8.2014, p. 1). 

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(1) 

(2) 

(3) 

(4) 

(5) 

(6) 

(7) 

In Article 4(7) '3 January 2017' is replaced by '3 January 2018'; and '3 January 2019' 
is replaced by '3 January 2020'. 

In Article 5(8) '3 January 2016' is replaced by '3 January 2017'. 

In Article 19(1) '3 January 2019' is replaced by '3 January 2020'. 

In Article 26(10) '3 January 2019' is replaced by '3 January 2020'; 

Article 35(5) is amended as follows: 

(a) 

(b) 

'3 January 2017' is replaced by '3 January 2018';  

'3 July 2019' is replaced by '3 July 2020'; 

In Article 37(2) '3 January 2017' is replaced by '3 January 2018'; 

Article 52 is amended as follows: 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

(h) 

(i) 

(j) 

(k) 

in paragraph 1, '3 March 2019' is replaced by '3 March 2020'; 

in paragraph 4, '3 March 2019' is replaced by '3 March 2020'; 

in paragraph 5, '3 March 2019' is replaced by '3 March 2020'; 

in paragraph 6, '3 March 2019' is replaced by '3 March 2020'; 

in paragraph 7, '3 July 2019' is replaced by '3 July 2020'; 

in paragraph 8, '3 July 2019' is replaced by '3 July 2020'; 

in  the  first  subparagraph  of  paragraph  9,  '3  July  2019'  is  replaced  by  '3  July 
2020'; 

in the second subparagraph of paragraph 9, '3 July 2021' is replaced by '3 July 
2022'; 

in  the first  subparagraph of paragraph 10, '3 July  2019' is  replaced  by '3 July 
2020'; 

in paragraph 11, '3 July 2019' is replaced by '3 July 2020'; 

in the second subparagraph of paragraph 12, '3 January 2017' is replaced by '3 
January 2018'. 

(8) 

In the first subparagraph of Article 54(2) '3 July 2019' is replaced by the following '3 
July 2020'; 

(9) 

Article 55 is amended as follows:  

(a) 

the second paragraph is replaced by the following:  

'This Regulation shall apply from 3 January 2018. 

(b) 

the fourth paragraph is replaced by the following: 

'Notwithstanding  the  second  paragraph,  Article  37(1),  (2)  and  (3)  shall 
apply from 3 January 2020'. 

Regulation (EU) No 596/2014 is amended as follows: 

Article 2 

(1) 

In the first subparagraph of Article 39(4) '3 January 2017' is replaced by '3 January 
2018'. 

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(2) 

In  the  second  subparagraph  of  Article  39(4)  '3  January  2017'  is  replaced  by  '3 
January 2018'. 

Regulation (EU) No 909/2014 is amended as follows: 

Article 3 

(1) 

In point (b) of the second subparagraph of Article 76(5) '13 June 2017' is replaced by 
'13 June 2018'. 

(2) 

In Article 76(7) '3 January 2017' is replaced by '3 January 2018'. 

This Regulation shall enter into force on the twentieth day following that of its publication in 
the Official Journal of the European Union. 

Article 4 

This Regulation shall be binding in its entirety and directly applicable in all Member States. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

EN 

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   EN