trade repositories) (Amendment) Regulations, 2018

Suppliment tal-Gazzetta tal-Gvern ta’ Malta Nru. 20,103, 12 ta’ Diċembru, 2018

L.N. 431 of 2018

Financial Markets Act

(Cap. 345)

Financial Markets Act (OTC derivatives, central counterparties and

trade repositories) (Amendment) Regulations, 2018

IN EXERCISE of the powers conferred by article 49 of the Financial

Markets Act, the Minister responsible for the regulation of Financial Ser-

vices, acting on the advice of the Malta Financial Services Authority, has

made the following regulations:-

The title of these regulations is the Financial Markets Act Citation.

(OTC Derivatives, Central Counterparties and Trade Repositories)

(Amendment) Regulations, 2018, and these regulations shall be read

and construed as one with the Financial Markets Act (OTC S.L. 345.17.

Derivatives, Central Counterparties and Trade Repositories)

Regulations, hereinafter referred to as "the principal regulations".

Regulation 2 of the principal regulations shall be amended Amends

regulation 2 of

as follows

the principal

regulations.

(a) immediately after the definition "the Act" there shall

be inserted the following new definition

" "C6 energy derivative contracts" means options,

futures, swaps, and any other derivative contracts

mentioned in Section C.6 of Annex I of MiFID relating to

coal or oil that are traded on an OTF and must be physically

settled;"; and

(b) immediately after the definition "Financial Services

Tribunal" there shall be inserted the following new definition

" "MiFID" means 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, as amended from

time to time, and includes any implementing measures that

have been or may be issued thereunder;".

Immediately after regulation 13 of the principal Adds regulation

14 to the

regulations, there shall be inserted the following new regulation

principal

regulations.

(1)

Until 3 July 2020

(a) the clearing obligation set out in

Article 4 of the EMIR Regulation and the risk

mitigation techniques set out in Article 11(3)

thereof shall not apply to C6 energy derivative

contracts entered into by non-financial

counterparties that meet the conditions in Article

10(1) of the EMIR Regulation or by non-financial

counterparties that shall be authorised for the first

time as investment firms as from 3 January 2017;

and

(b) such C6 energy derivative contracts

shall not be considered to be OTC derivative

contracts for the purposes of the clearing

threshold set out in Article 10 of the EMIR

Regulation

Provided that C6 energy derivative

contracts benefiting from the transitional regime

set out in the first sub-paragraph shall be subject

to all other requirements laid down in the EMIR

Regulation.

(2) The exemption referred to in sub-regulation

(1) shall be granted by the competent authority. The

competent authority shall notify ESMA of the C6

energy derivative contracts which have been granted an

exemption in accordance with sub-regulation (1).".

€0.09