New Payments Platform
Phases 1 & 2 - Requirements and Sourcing
The New Payments Platform (NPP) is new infrastructure for Australia's low-value payments. It will provide Australian businesses and consumers with a fast, versatile, data-rich payments system for making their everyday payments.
How is the new system different?
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The NPP will comprise a basic infrastructure, which all financial institutions, and through them businesses and consumers, connect to. This will allow payments to be made quickly between financial institutions and their customers’ accounts. The system will enable funds to be accessible almost as soon as payment is received - even when the payer and payee have accounts at different financial institutions.
As well as being fast, the NPP will be versatile. The basic infrastructure will support various “overlay” services - specially tailored services which individual financial institutions may choose to offer their customers.
This multi-layered infrastructure has been designed to promote competition and drive innovation in payment services. It ensures the NPP will be equipped to meet the evolving needs of Australians in the digital age - and beyond.
The NPP Program
The NPP is being developed collaboratively by authorised deposit-taking institutions. It is the industry response to the Reserve Bank's strategic objectives on payments innovation and implements the former Real Time Payments Committee's proposal on innovation in the payments system.
An industry steering committee oversaw development of the NPP Program's Phases 1 and 2. The New Payments Platform Steering Committee first met on 20 June 2013. It comprised senior representatives from the Australian banking and mutual sector, an alternative payments provider and the APCA CEO. An independent Chair, Mr Paul Lahiff, was appointed in September 2013.
The Steering Committee appointed KPMG as program manager to the project to ensure a well-resourced, highly collaborative industry program.
The Program proceeded to Phase 3 in December 2014.