What changed between the draft committee report and the plenary report

Added:(3) Article 5 is amended as follows:

Added:(a) in paragraph 5, second subparagraph, the last sentence is deleted ;

Added:(b) paragraph 6 is deleted;

Added:(4) Article 11 is amended as follows:

Added:(a) in paragraph 5, first subparagraph, the last sentence is deleted;

Added:(b) paragraph 6 is deleted;

Added:(5) Article 13 is amended as follows:

Added:(a) in paragraph 3, first subparagraph, the last sentence is deleted;

Added:(b) paragraph 4 is deleted;

Added:(6) Article 16 is amended as follows:

Added:(a) in paragraph 5, second subparagraph, the last sentence is deleted;

Added:(b) paragraph 6 is deleted;

Added:(7) in Title III, the title of Chapter 2 is replaced by the following:

Added:‘Interest rate benchmarks’;

Added:(7a) in Article 18 (1), the second subparagraph is replaced by the following:

Added:‘Article 25 shall not apply to the provision of, and contribution to, interest rate benchmarks.’;

Added:(8) Article 18a is deleted;

Added:(8a) in Article 19(1), the second subparagraph is replaced by the following:

Added:‘Article 25 shall not apply to the provision of, and contribution to, commodity benchmarks.’ ;

Added:(9) in Article 19a, the following paragraphs are added:

Added:‘4. Administrators that are not included in the ESMA register referred to in Article 36 shall not :

Added:(a) provide or endorse EU Climate Transition Benchmarks or EU Paris-aligned Benchmarks;

Added:(b) indicate or suggest, in the name of the benchmarks they make available for the use in the Union or in the legal or marketing documentation for those benchmarks, that the benchmarks they make available comply with the requirements applicable to the provision of EU Climate Transition Benchmarks or EU Paris-aligned Benchmarks.’

Added:4 a. Administrators shall include the term “EU CTB” in the name of the EU Climate Transition Benchmarks and the term “EU PAB” in the name of the EU Paris Aligned Benchmarks.;

Added:(10) Article 19d is replaced bythe following:

Added:‘Article 19d

Added:Endeavour to provide EU Climate Transition Benchmarks and EU Paris-aligned Benchmarks.

Added:Administrators which are located in the Union and provide significant benchmarks determined on the basis of the value of one or more underlying assets or prices shall endeavour to provide one or more EU Climate Transition Benchmarks and EU Paris-aligned Benchmarks.’;

Added:(11) Article 24 is replaced by the following:

Added:‘Article 24

Added:Significant benchmarks

Added:1. A benchmark which is not a critical benchmark shall be significant where either of the following conditions is met:

Added:(a) the benchmark is used directly or indirectly within a combination of benchmarks within the Union as a reference for financial instruments or financial contracts or for measuring the performance of investments funds, that have a total average value of at least EUR 50 billion on the basis of the characteristics of the benchmark, including:

Added:(i) the range of maturities or tenors of the benchmark, where applicable, over a period of six months;

Added:(ii) all the currencies or other units of measurement of the benchmark, where applicable, over a period of six months; and

Added:(iii) all the return calculation methodologies, where applicable, over a period of six months;

Added:(b) the benchmark has been designated as significant in accordance with the procedure laid down in paragraphs 3, 4 and 5 or the procedure laid down in paragraph 6.

Added:2. An administrator shall immediately notify ESMA and, if located in an EU Member State the competent authority of that Member State▌, where one or several of that administrator’s benchmarks exceed the threshold referred to in paragraph 1, point (a). Following receipt of that notification, ▌ESMA▌ shall publish a statement on its website stating that that benchmark is significant either in one Member State or within the Union.

Added:An administrator shall, upon request, provide ESMA and the competent authority of the Member State where it is located ▌with information as regards whether the threshold referred to in paragraph 1, point (a) has been effectively exceeded.

Added:Where a competent authority or▌ ESMA has clear and demonstrable grounds to consider that a benchmark exceeds the threshold referred to in paragraph 1, point (a), the competent authority or ESMA may issue a notice stating that fact. Such a notice shall trigger the same obligations for the benchmark administrator as a notification as referred to in paragraph 2. At least 10 working days before issuing such notice, the competent authority or ESMA shall inform the administrator of the benchmark concerned of its findings, and invite that administrator to submit any observation.

Added:3. A competent authority may, having consulted ESMA in accordance with paragraph 4 and taking into account its advice, designate a benchmark provided by an administrator located in the Union that does not meet the condition laid down in paragraph 1, point (a), as significant where that benchmark fulfils all of the following conditions:

Added:(a) the benchmark has no, or very few, appropriate market-led substitutes;

Added:(b) in the event that the benchmark ceases to be provided, or is provided on the basis of input data no longer fully representative of the underlying market or economic reality or on the basis of unreliable input data, there would be significant and adverse impacts on▌ financial stability, consumers, the real economy, or the financing of households and businesses in its Member State or in the Union;

Added:(c) the benchmark has not been designated by a competent authority of another Member State or ESMA.

Added:Where a competent authority concludes that a benchmark fulfils the criteria set out in the first subparagraph, the competent authority shall prepare a draft decision to designate the benchmark as significant and notify that draft decision to the administrator concerned and to the competent authority of the administrator’s home Member State where relevant. The competent authority concerned shall also consult ESMA on the draft decision.

Added:The administrators concerned and the competent authority of the administrator’s home Member State shall have 15 working days from the date of notification of the draft decision of the designating competent authority concerned to provide observations and comments in writing. The designating competent authority concerned shall inform ESMA of the observations and comments received and shall duly consider those observations and comments before adopting a final decision.

Added:The designating competent authority shall notify ESMA of its decision, and publish the decision, including the reasons for which it was made and the consequences of this designation, on its website without undue delay.’;

Added:4. When consulted by a competent authority on the intended designation of a benchmark as significant in accordance with paragraph 3, first subparagraph, ESMA shall, within 3 months, issue an advice that takes into account the following factors, in light of the specific characteristics of the benchmark concerned:

Added:(a) whether the consulting competent authority has sufficiently substantiated its assessment that the conditions referred to in paragraph 3, first subparagraph are met;

Added:(b) whether, in the event that the benchmark ceases to be provided, or is provided on the basis of input data that are no longer fully representative of the underlying market or economic reality or that are unreliable, there would be significant and adverse impacts on▌ financial stability, consumers, the real economy, or the financing of households and businesses in the Union or Member States other than the Member State of the consulting competent authority.

Added:For the purposes of point (b), ESMA shall take due account, where relevant, of the information provided by the consulting authority pursuant to the third subparagraph of paragraph 3.

Added:5. Where ESMA finds that a benchmark meets the conditions under paragraph 3, first subparagraph, points (a) and (b), in the Union or in more than one Member State, it shall inform the competent authorities of the Member States concerned thereof. ▌

Added:ESMA shall prepare a draft decision to designate the benchmark as significant within the Union and notify that draft decision to the administrator concerned and to the relevant competent authorities where point (b) applies. The administrators concerned and the relevant competent authorities shall have 15 working days from the date of notification of the draft decision of ESMA to provide observations and comments in writing. ESMA shall consider those observations and comments before adopting and publishing a final decision.

Added:6. ESMA may, upon the request of a competent authority, or on its own initiative, designate a benchmark provided by an administrator located in a third country that does not meet the threshold laid down in paragraph 1, point (a), as significant where that benchmark fulfils all of the following conditions:

Added:(a) the benchmark has no, or very few, appropriate market-led substitutes;

Added:(b) in the event that the benchmark would cease to be provided, or would be provided on the basis of input data that are no longer fully representative of the underlying market or economic reality or that are unreliable, there would be significant and adverse impacts on▌ financial stability, consumers, the real economy, or the financing of households and businesses in the Union or in one or more Member States .

Added:ESMA shall, prior to the designation decision and as soon as possible, inform the administrator of the benchmark of its intention, and invite that administrator to provide ESMA within 15 working days with a reasoned statement containing any relevant information for the purposes of the assessment related to the designation of the benchmark as significant.

Added:Where applicable, ESMA shall invite, as soon as possible, the competent authority of the jurisdiction where the administrator is located to provide any relevant information for the purposes of the assessment related to the designation of the benchmark.

Added:ESMA shall motivate any designation decision, taking into account whether there is sufficient evidence that the conditions referred to in the first subparagraph of this paragraph are met, in light of the specific characteristics of the benchmark concerned.

Added:ESMA shall publish its reasoned decision on its website and shall notify the requesting competent authority or authorities without undue delay.