1. Any Member State not participating in the joint action provided for in Article 26 of this Regulation may appoint its own auction platform for the auctioning of its share of the volume of allowances covered by Chapters II and III of Directive 2003/87/EC to be auctioned by means of two-day spot or five-day futures.
2. Any Member State not participating in the joint action provided for in Article 26 of this Regulation may appoint its own auction platform for the auctioning of its share of the volume of allowances covered by Chapters II and III of Directive 2003/87/EC to be auctioned by means of the futures or forwards, provided that these products are listed in Annex I to this Regulation.
3. Member States not participating in the joint action provided for in Article 26 may appoint the same auction platform or separate auction platforms for the auctioning of futures or forwards and two-day spot or five-day futures, respectively.
4. Any Member State not participating in the joint action provided for in Article 26, shall inform the Commission of its decision not to participate in the joint action but to appoint its own auction platform pursuant to paragraphs 1 and 2 of this Article within three months of the entry into force of this Regulation.
5. Any Member State not participating in the joint action provided for in Article 26 shall select its own auction platform appointed pursuant to paragraphs 1 and 2 of this Article on the basis of a selection procedure compliant with Union and national procurement law where a public procurement process is required by either Union or national law, respectively. The selection procedure shall be subject to all applicable remedies and enforcement procedures under Union and national law.
Any period of appointment of the auction platforms referred to in paragraphs 1 and 2 shall be no longer than three years renewable for no more than a further two years.
The appointment of the auction platforms referred to in paragraphs 1 and 2 shall be subject to listing the auction platform concerned in Annex III pursuant to paragraph 7. It shall not be implemented before the entry into force of the listing of the auction platform concerned in Annex III as provided for in paragraph 7.
6. Each Member State not participating in the joint action provided for in Article 26 but opting to appoint its own auction platform pursuant to paragraphs 1 and 2 of this Article shall provide the Commission with a complete notification containing all of the following:
(a)
the identity of the auction platform it proposes to appoint indicating whether the same auction platform or separate auction platforms shall auction the futures or forwards, and two-day spot or five-day futures, respectively;
(b)
the detailed operative rules that would govern the auction process to be conducted by the auction platform(s) it proposes to appoint, including the contractual provisions concerning the appointment of the auction platform concerned including the any clearing system(s) and settlement system(s) connected to the proposed auction platform stipulating the terms and conditions governing the structure and level of fees, collateral management, payment and delivery;
(c)
the proposed bidding windows, individual volumes, auction dates indicating the occurrence of relevant public holidays, as well as the auctioned product, payment and delivery dates of the allowances to be auctioned in individual auctions in a given calendar year and any other information necessary for the Commission to assess whether the proposed auction calendar is compatible with the auction calendar of the auction platforms appointed pursuant to Article 26(1) or (2) as well as other auction calendars proposed by other Member States not participating in the joint action provided for in Article 26 but opting to appoint their own auction platforms;
(d)
the detailed rules and conditions on surveying and supervising the auctions to which its proposed auction platform shall be subject pursuant to Article 35(4), (5) and (6) as well as the detailed rules protecting against money laundering, terrorist financing, criminal activity or market abuse, including any remedial measures or sanctions;
(e)
the detailed measures put in place to comply with Article 22(4) and Article 34 regarding the appointment of the auctioneer.
The notification shall demonstrate the compatibility with the provisions of this Regulation and conformity with the objectives in Article 10(4) of Directive 2003/87/EC.
A notifying Member State may modify its original notification prior to the listing referred to in paragraph 7 of this Article.
Each notifying Member State shall present its original and modified notification to the Committee referred to in Article 23(1) of Directive 2003/87/EC.
7. Auction platforms other than those appointed pursuant to Article 26(1) or (2), the Member States appointing them, their term of appointment, and any applicable conditions or obligations, shall be set out in Annex III where the requirements of this Regulation and the objectives of Article 10(4) of Directive 2003/87/EC are satisfied. The Commission and the Committee provided for in Article 23(1) of Directive 2003/87/EC shall act solely on the basis of these requirements and objectives and shall have full regard to any reports made by the auction monitor pursuant to Article 25(4) of this Regulation.
In the absence of any listing provided for in the first subparagraph, a Member State not participating in the joint action provided for in Article 26 but opting to appoint its own auction platform pursuant to paragraphs 1 and 2 of this Article shall use the auction platforms appointed pursuant to Article 26(1) or (2) to auction its share of the allowances that would have otherwise been auctioned on the auction platform to be appointed pursuant to paragraphs 1 or 2 of this Article in the period until the expiry of three months after the entry into force of the listing provided for in the first subparagraph.
8. Any Member State not participating in the joint action provided for in Article 26 but opting to appoint its own auction platform pursuant to paragraphs 1 and 2 of this Article may join the joint action provided for in Article 26, pursuant to Article 26(6).
The volume of allowances that were scheduled to be auctioned on an auction platform other than the auction platforms appointed pursuant to Article 26(1) or (2) shall be spread evenly over the auctions conducted by the relevant auction platform appointed pursuant to Article 26(1) or (2).