Pricing regulation of electronic conveyancing services in NSW

The Premier has asked IPART to investigate and report on an appropriate pricing regulation framework for the provision of electronic conveyancing services in NSW.

Both paper and electronic conveyancing services currently operate in NSW.  However, from 1 July 2019, all mainstream property dealings will be electronic.

The review is to ensure the regulatory settings and fees charged for the provision of eConveyancing services are fair and transparent for all parties.

We will conduct a public consultation process and our own research and analysis.  We will consider amongst other things:

• the current state of competition in the eConveyancing market, including the potential for additional Electronic Lodgment Network Operators to enter the market
• an appropriate pricing framework, which includes
  • a maximum price or pricing methodology for the provision of services by an ELNO, and a methodology for making annual adjustments to price
  • a maximum price or pricing methodology for services provided to ELNOs by NSW Land Registry Services 
  • a maximum price or pricing methodology for services provided to ELNOs by Revenue NSW. 
• the cost of providing the services concerned 
• The extent to which PEXA invested capital and developed intellectual property to support its Electronic Lodgment Network in its capacity as the initial ELNO 
• The possibility of applying the NSW approach to any of the elements of the pricing regulatory framework as a model for other jurisdictions 
• any other matters we consider relevant.

Following feedback from interested stakeholders on the draft Terms of Reference, we recommended some changes to the terms of reference to the Premier.  We have now received final terms of reference and we will publish an Issues Paper by the end of February. 

Stakeholders will have an opportunity to provide input to our review through providing submissions on the Issues Paper and our subsequent Draft Report (due mid-June) and/or by attending a Public Hearing (planned for mid-July).  We will consider all stakeholder feedback before we complete our Final Report.