in force 2024-12-24 MODIFIED+2,953 −269§
Amended by Regulation (EU) 2024/2987 32024R2987 · Regulation (EU) 2022/1671 32022R1671
applies from: unchanged
Paragraph 1 now sets out four separate listed duties for competent authorities, adding review of services or activities provided under accelerated procedures and review of changes implemented by a CCP, alongside the previously existing duties to review arrangements and evaluate risks.
Paragraph 2 adds that a CCP's competent authority may request ESMA's assistance in its supervisory activities, and paragraph 3 adds that frequency and depth of review must consider input from ESMA and the college and ESMA's supervisory priorities, while also introducing new notification, refusal-explanation, and information-forwarding duties around on-site inspections involving ESMA and the college.
Paragraph 4 changes the prior duty to inform the college into a duty to submit an annual report to both ESMA and the college with specified timing and required opinions, adds provisions on ad hoc meetings ESMA may request, and a new paragraph 4a empowers ESMA to require competent authorities to provide information under a specified procedure.
Cited: Art. 21, v2 · Art. 21, v1
text before / after
02012R0648-20220812 → 02012R0648-20241224
Article 21
Review and evaluation
1. Without prejudice to the role of the college, the The competent authorities referred to in Article 22 shall do at least all of the following in relation to a CCP:
(a) review the arrangements, strategies, processes and mechanisms implemented by CCPs the CCP to comply with this Regulation and Regulation;
(b) review the services or activities provided by the CCP, in particular services or activities provided following the application of an accelerated procedure pursuant to Article 17a or 49a;
(c) evaluate the risks, including at least financial and operational risks, to which CCPs are, the CCP is, or might be, exposed. exposed;
(d) review the changes implemented by the CCP in accordance with Article 15a.
2. The review and evaluation referred to in paragraph 1 shall cover all the requirements on CCPs laid down in this Regulation.
The CCP’s competent authority may request ESMA’s assistance in any of its supervisory activities including those listed in paragraph 1.
3. The competent authorities shall shall, after having considered the input of ESMA and the college referred to in Article 18, establish the frequency and depth of the review and evaluation referred to in paragraph 1, 1 of this Article, having particular regard to the size, systemic importance, nature, scale, complexity of the activities and interconnectedness with other financial market infrastructures of the CCPs concerned. concerned and to the supervisory priorities established by ESMA in accordance with Article 24a(7), first subparagraph, point (ba). The competent authorities shall update the review and evaluation shall be updated at least on an annual basis.
CCPs shall be subject to on-site inspections by the CCP’s competent authority at least annually. The CCP’s competent authority shall inform ESMA of any planned on-site inspection one month before such inspection is due to take place, unless the decision to conduct an on-site inspection is taken in an emergency, in which case the CCP’s competent authority shall inform ESMA as soon as that decision is taken. ESMA may request to be invited to on-site inspections. Upon ESMA's request, Where, following a request by ESMA pursuant to the second subparagraph, the CCP’s competent authorities may authority refuses to invite ESMA staff to participate in an on-site inspections.
The inspection, it shall provide a reasoned explanation for such refusal.
Without prejudice to the second and third subparagraphs, the CCP’s competent authority may shall forward to ESMA and the members of the college referred to in Article 18 any relevant information received from the CCPs during or CCP in relation to all on-site inspections. inspections it carries out.
4. The CCP’s competent authorities authority shall regularly, and at least annually, inform submit a report to ESMA and the college of referred to in Article 18 on the assessment and the results of the review and evaluation as referred to in paragraph 1, including whether the CCP’s competent authority has requested any remedial action taken or penalty imposed. imposed penalties.
The report shall cover a calendar year and shall be submitted to ESMA and the college referred to in Article 18 by 30 March of the following calendar year. That report shall be subject to an opinion of the college referred to in Article 18 pursuant to Article 19 and an opinion of ESMA pursuant to Article 24a(7), first subparagraph, point (bc), issued in accordance with the procedure set out in Article 17b.
ESMA may request to hold an ad hoc meeting with the CCP and its competent authority. ESMA may request such a meeting in any of the following cases:
(a) where there is an emergency situation under Article 24;
(b) where ESMA has identified material concerns regarding the CCP’s compliance with the requirements of this Regulation;
(c) where ESMA considers that the activity of the CCP could have an adverse cross-border impact on its clearing members or on their clients.
The college referred to in Article 18 shall be informed that a meeting will be held and shall receive a summary of the main outcomes of that meeting.
4a. ESMA may require competent authorities to provide it with the necessary information to carry out its tasks pursuant to this Article in accordance with the procedure set out in Article 35 of Regulation (EU) No 1095/2010.
5. The competent authorities shall require any CCP that does not meet the requirements laid down in this Regulation to take the necessary action or steps at an early stage to address the situation.
6. By 2 January 2021, in order to ensure consistency in the format, frequency and depth of the review carried out by the national competent authorities in accordance with this Article, ESMA shall issue guidelines in accordance with Article 16 of Regulation (EU) No 1095/2010 to specify further, in a manner that is appropriate to the size, the structure and the internal organisation of CCPs and the nature, scope and complexity of their activities, the common procedures and methodologies for the supervisory review and evaluation process referred to in paragraphs 1 and 2 and in the first subparagraph of paragraph 3 of this Article.