The requirement is to create and retain Snapshot copies exclusively on the SnapMirror destination volume, independent of the source. This is accomplished by applying a Snapshot policy directly to the destination (secondary) volume. This policy's schedule will create local Snapshot copies on the destination system that are not tied to the SnapMirror replication process. This method allows for a separate, long-term retention schedule on the secondary storage without consuming capacity on the primary (source) volume for those specific Snapshot copies.

A. primary SnapMirror policy: This policy defines which Snapshot copies are replicated from the source and how long they are retained on the destination; it does not create new, independent copies.

C. primary Snapshot policy: This policy creates Snapshot copies on the source volume, which explicitly contradicts the requirement to avoid using source capacity for the yearly copies.

D. secondary SnapMirror policy: The SnapMirror policy is a single entity governing the replication relationship. The concept of a "secondary SnapMirror policy" for creating local snapshots is incorrect.

1. NetApp ONTAP 9 Documentation, Data protection, "Create Snapshot copies of a SnapMirror destination volume": "You can create Snapshot copies of a SnapMirror destination volume. These Snapshot copies are independent of the Snapshot copies that are replicated from the source volume. You can attach a Snapshot policy to a data protection (DP) volume to create local Snapshot copies on the destination." This directly supports creating independent snapshots on the secondary volume using a local Snapshot policy.

2. NetApp Technical Report TR-4015, "SnapMirror Configuration and Best Practices Guide for ONTAP 9", Section 4.3 Snapshot Copies on the Destination Volume: "Snapshot copies can be created on the destination volume independent of the SnapMirror relationship. These Snapshot copies are not deleted or affected by SnapMirror updates. This feature is useful for creating a separate point-in-time copy on the destination for backup, DR testing, or development and test purposes." This confirms that destination-side Snapshot copies are a standard and supported feature for this use case.

3. NetApp ONTAP 9 Documentation, Data protection, "How SnapMirror policies work": This document clarifies that a SnapMirror policy's purpose is to control the transfer and retention of replicated snapshots based on labels, distinguishing its function from a Snapshot policy which controls local snapshot creation.