Article 5 — Annual fee for the validation of a pro forma model already in use prior to 24 December 2024

1.By way of derogation from Article 4, for a pro forma model that was already in use prior to 24 December 2024, for the period from the EBA readiness date until the end of the year of the EBA readiness date, a counterparty that is subject, by the EBA readiness date, to the requirement to apply for validation to use, or adopt a change to, that pro forma model in accordance with Article 11(3), fourth subparagraph, of Regulation (EU) No 648/2012, shall pay the EBA an annual fee of:

where:

— n = the index denoting the counterparty that is subject to the requirement to apply for validation to use, or adopt a change to, that pro forma model in accordance with Article 11(3), fourth subparagraph, of Regulation (EU) No 648/2012 by the EBA readiness date;

— EBA costs = the amount, expressed in euro, estimated in accordance with Article 2 from the EBA’s readiness date to the end of the year of the EBA readiness date;

— Average Notional Amount _n = the amount calculated by counterparty n in accordance with Article 3;

—.

2.A counterparty that becomes subject to the requirement to apply for validation to use a pro forma model already in use prior to 24 December 2024 after the EBA readiness date shall not pay any fee for that given year.