NIS 2 Directive, Proposal 16.12.2020

The NIS 2 Directive, General conditions for imposing administrative fines on essential and important entities



Article 31, NIS 2 Directive (Proposal 16.12.2020).

General conditions for imposing administrative fines on essential and important entities

1. Member States shall ensure that the imposition of administrative fines on essential and important entities pursuant to this Article in respect of infringements of the obligations laid down in this Directive are, in each individual case, effective, proportionate and dissuasive.

2. Administrative fines shall, depending on the circumstances of each individual case, be imposed in addition to, or instead of, measures referred to in points (a) to (i) of Article 29(4), Article 29(5) and points (a) to (h) of Article 30(4).

3. Where deciding whether to impose an administrative fine and deciding on its amount in each individual case due regard shall be given, as a minimum, to the elements provided for in Article 29(7).

4. Member States shall ensure that infringements of the obligations laid down in Article 18 or Article 20 shall, in accordance with paragraphs 2 and 3 of this Article, be subject to administrative fines of a maximum of at least 10 000 000 EUR or up to 2% of the total worldwide annual turnover of the undertaking to which the essential or important entity belongs in the preceding financial year, whichever is higher.

5. Member States may provide for the power to impose periodic penalty payments in order to compel an essential or important entity to cease an infringement in accordance with a prior decision of the competent authority.

6. Without prejudice to the powers of competent authorities pursuant to Articles 29 and 30, each Member State may lay down the rules on whether and to what extent administrative fines may be imposed on public administration entities referred to in Article 4(23) subject to the obligations provided for by this Directive.


Note: This is not the final text of the NIS 2 Directive. This is the text of the NIS 2 Directive Proposal of 16.12.2020.