THE Independent Pricing and Regulatory Tribunal is reviewing fees associated with electronic conveyancing for the first time, ahead of the New South Wales state government’s transition to the eConveyancing from 1 July this year.
A paper released by IPART seeks feedback on issues to be considered as part of the review, including the state of the eConveyancing market, including possible barriers to entry; maximum fees that electronic lodgment network operators (ELNOs) charge lawyers, conveyancers and financial institutions to use the electronic lodgment network; the maximum fees that the NSW Land Registry Services charges ELNOs; and the maximum fees that Revenue NSW can charge ELNOs in the future.
ELNOs operate the electronic workspaces that allow lawyers, conveyancers and financial institutions to exchange data and prepare conveyancing documents, settle funds, pay duties and lodge documents with the land registry online.
“We are also looking at the costs that will be incurred to connect multiple ELNOs when more enter the market, and how these costs should best be recovered to drive efficient outcomes and avoid excessive charges,” IPART chair, Dr Paul Paterson said.
Submissions will be received until the end of April and considered by IPART before a draft report is released by July. Recommendations on the final prices will be made to the NSW Government by October.
Around 85% of property transactions in NSW will be required to use eConveyancing from the beginning of July, with transactions such as transfers, mortgages and caveats will have to be lodged electronically.
There is currently only one ELNO in NSW, PEXA, while another ELNO, Sympli, is expected to begin operating in the state during this year.
Australian Property Journal