Whether we realise it or not, most Australian businesses are still processing invoices the hard way. A PDF arrives by email, someone opens it, keys the data into an accounting system by hand, checks it, chases it, and waits weeks for payment. It’s slow, error-prone, and increasingly unnecessary.

Zircodata now offers a Peppol eInvoicing solution through their trusted partner Exedee, a certified Peppol Access Point with a proven track record across Australia and New Zealand. This article explains what Peppol is, where Australia currently stands, and what it means practically for your business.

Interested in getting set up? Get in touch with the Zircodata team and we’ll walk you through the options.

Let’s start with an uncomfortable truth

Right now, somewhere in Australia, a finance team is manually keying invoice data from a PDF into an accounting system. The PDF was emailed. The data will be re-checked by hand. If something’s wrong, someone will chase it up by phone. Payment might come in 30 days, or 60. Or after a reminder or two.

This isn’t a rare edge case. According to Australian Treasury, approximately 90% of invoice processing in Australia is still fully or partly manual, across more than 1.2 billion invoices exchanged every year. But this is changing, and the change has a name: Peppol.

So, what exactly is Peppol?

Peppol stands for Pan-European Public Procurement Online. Don’t let the European origin fool you. It’s now a global standard adopted in over 40 countries, including Australia, New Zealand, Singapore, Japan, and most of the EU.

Think of Peppol as a secure postal network for invoice data. Instead of emailing a PDF (which a human has to open, read, and re-enter), Peppol sends a structured digital invoice directly from one accounting system to another. Machine-to-machine. Instant. Accurate. Traceable. The Australian Tax Office (ATO) describes it as the standardised exchange of invoice information between suppliers’ and buyers’ accounting software through the secure Peppol network.

If a PDF invoice is like a letter you post (someone has to open it, read it, and type up the information), then a Peppol eInvoice is like a direct bank transfer. The data goes straight where it needs to go, with no manual steps in between.

Peppol is managed internationally by OpenPeppol, a non-profit organisation. In Australia, the Australian Taxation Office (ATO) acts as the Australian Peppol Authority (APA), overseeing the local framework, accrediting access point providers, and ensuring the system meets Australian tax requirements like GST.

How does Peppol actually work?

Peppol uses what’s called a Four Corner Model, and it’s worth understanding because it’s the key to why the system is so powerful.

Corner 1
Your Business
You create an invoice in your accounting or ERP software as usual. Nothing changes on your end.
Corner 2
Your Access Point
Your certified Peppol Access Point (like Exedee) converts the invoice into the standardised Peppol format and securely transmits it through the network.
Corner 3
Recipient’s Access Point
The invoice is received by your trading partner’s certified Access Point, which validates and routes it directly to their system.
Corner 4
Your Trading Partner
The structured invoice data lands directly into their accounting system. No re-keying. No delay. No chasing.

The beauty of the Four Corner Model is that you never need a direct connection with every trading partner. You connect once to your Access Point, and from there you can exchange invoices with anyone on the Peppol network, anywhere in the world.

Every business on the Peppol network is listed in the Peppol Directory and identified by a unique Peppol Participant ID (usually linked to your ABN in Australia). This is how the network knows how to route your invoices.

Where does Australia stand with Peppol?

Australia adopted the Peppol framework in 2019 and has been building momentum ever since. Here’s the current landscape.

On the mandatory side, since 1 July 2022 all Non-Corporate Commonwealth Entities (federal government departments and agencies) must be able to receive Peppol eInvoices. Peppol eInvoicing is now the default method for invoice exchange in Australian Government procurement, and government agencies that receive eInvoices must process payment within 5 business days. From July 2026, federal agencies must process at least 30% of invoices via eInvoicing and be able to issue eInvoices automatically. More than 300 state, territory, and local council organisations are also on the Peppol network.

For business-to-business transactions, Peppol eInvoicing is currently voluntary. However, the Business eInvoicing Right (BER) initiative was proposed to make B2B eInvoicing legally enforceable, and in May 2024 the Australian Government allocated $23.3 million to oversee the eInvoicing network over the next four years. The direction of travel is unmistakable: Australia is moving toward universal eInvoicing. Businesses that get ahead of this now gain competitive advantages in efficiency, payment speed, and government relationships before it becomes a requirement.

Australia uses the PINT A-NZ (Peppol International Invoice Australia-New Zealand) format, the only supported specification since May 2025. You can read more about the format on the ATO’s eInvoicing page. Your eInvoice must include your ABN, buyer details, invoice date and number, line items, GST amounts, and totals, all in structured XML format.

The numbers that make the case

Up to $20
Potential cost saving per invoice when switching from paper to eInvoicing
$27.67 vs $9.18
Average cost to process a PDF invoice vs a Peppol eInvoice – a saving of over 66%
1.2 Billion
Invoices exchanged in Australia annually, with ~90% still processed fully or partly manually
5 Days
Government payment timeframe for valid Peppol eInvoices, vs the standard 30 days

When you multiply those savings across thousands of invoices per year, the productivity case becomes impossible to ignore. The ATO has also built a free ROI calculator that lets you model the return on investment based on your own invoice volumes and costs.

What Peppol eInvoicing actually means for your business

Forget the acronyms for a moment. Here’s what Peppol eInvoicing changes in practice.

Your team stops doing data entry. Structured invoice data flows directly into your accounting system. No re-typing. No OCR errors. No sorry, can you resend that PDF in a clearer format? The invoice arrives ready to process. If you’d like to explore what AP automation could look like for your workflow, talk to our team about what’s possible.

You get paid faster. When invoicing government agencies, valid Peppol eInvoices are processed within 5 business days. That’s a genuine transformation for cash flow, especially for small and medium businesses that currently wait weeks for payment.

Invoice fraud becomes dramatically harder. Email-based invoice fraud, where criminals intercept or spoof invoices, is a growing threat in Australia. Peppol eInvoices travel through a closed, authenticated network where all participants are verified. The invoice that arrives is the invoice that was sent. Learn more about invoice fraud risks from the ATO.

You connect to global markets through one integration. Australia, New Zealand, Singapore, Japan, most of Europe: all on the Peppol network. One connection to a certified Access Point like Exedee opens up eInvoicing with trading partners across all of these markets, without separate integrations for each country.

Your accounting software does the heavy lifting. Most modern accounting platforms including Xero, MYOB and SAP already support or are integrating Peppol. Check the ATO’s eInvoicing Ready product register to see if your existing software qualifies. Your Access Point connects to your existing system via API, meaning implementation is far less disruptive than a full system overhaul.

You’re future-proofed for what’s coming. The government’s direction is clear. More mandates are coming. Early adopters aren’t just complying ahead of time. They’re building efficient systems now that will scale as the requirements grow. Not sure where eInvoicing fits in your broader strategy? Reach out to the Zircodata team for a no-obligation conversation.

What is a Peppol Access Point and why does it matter?

You can’t connect to the Peppol network directly. You need a certified Peppol Access Point, a provider that has passed rigorous accreditation requirements set by the ATO and OpenPeppol. You can view the full list of accredited Australian Peppol Access Points on the ATO website.

Your Access Point is your gateway. It handles:

  • Converting your invoices into the correct Peppol format (PINT A-NZ)
  • Securely transmitting invoices through the network
  • Receiving incoming eInvoices and delivering them to your systems
  • Validating invoice data against Peppol and ATO requirements
  • Providing delivery acknowledgements and error notifications
  • Ensuring 99.5% service availability (an ATO requirement for Australian-accredited providers)

Not all Access Points are equal. Australian-accredited providers have undergone additional security, due diligence, and testing checks specific to Australian requirements, above and beyond the international Peppol certification.

Powered by Exedee: a certified, experienced Access Point

Zircodata offers a complete Peppol eInvoicing solution through their trusted partner Exedee, and the choice of partner was deliberate.

Exedee is an ATO-accredited Peppol Access Point in both Australia and New Zealand, having completed a rigorous, months-long technical evaluation with both the ATO and the New Zealand Ministry of Business, Innovation and Employment (MBIE). They’ve held Peppol Access Point accreditation for over 2 years with proven operational stability, and bring 16+ years of experience in data transfer, invoice screening, data matching and checking. Their eInvoicing capability is backed by deep financial processing expertise, not just technical certification.

Their eFinance OASIS service adds significant value beyond basic send-and-receive: invoice automation, accounts payable matching, purchase order reconciliation, and data accuracy checks. For businesses that already use invoice automation, Exedee integrates with existing AP systems to enhance rather than replace your current workflows.

Through Exedee, Zircodata clients can access easy connection to the Peppol network, full PINT A-NZ compliance, integration with existing accounting and AP systems, support for both sending and receiving Peppol eInvoices, expert guidance through onboarding, and a pathway to invoice automation beyond basic eInvoicing. Contact Zircodata today to get connected.

Getting started: what does the process look like?

The good news: connecting to the Peppol network is simpler than most businesses expect. Here’s the general process.

  • Step 1 – Choose your Access Point: That’s already done. Through Zircodata, you now have access to an ATO-accredited provider with proven Australian experience.
  • Step 2 – Register your Peppol Participant ID: You’ll be registered on the Peppol network with a unique identifier (typically linked to your ABN) and listed in the Peppol Directory. This is how trading partners and government agencies can find and send invoices to you.
  • Step 3 – Integrate with your systems: Exedee connects to your accounting or ERP system via API. Most modern accounting platforms already support Peppol, which means the integration is usually straightforward.
  • Step 4 – Test and go live: Before going live, invoices are tested end-to-end to ensure they’re valid and routing correctly. Exedee handles the technical testing requirements.
  • Step 5 – Start sending and receiving eInvoices: Once live, your eInvoices flow automatically. You can start checking which of your existing trading partners and suppliers are already on the Peppol network. You may find more than you expect.

It’s important to note that currently, Australian law also requires eInvoices to be retained for a minimum of 5 years, consistent with standard tax record-keeping rules. This means that having a strong records management solution and retention strategy is vital to the success of any Peppol eInvoicing adoption.

Common questions, answered simply

Is Peppol eInvoicing mandatory for my business right now? For B2B transactions, no, not yet. But if you supply to Commonwealth government agencies, your invoices need to go through Peppol. And the regulatory direction is clearly toward broader adoption. Getting ready now means you’re ahead, not scrambling to catch up.

Do I need to replace my existing accounting software? Almost certainly not. Peppol works via an Access Point that connects to your existing systems. Check the ATO’s eInvoicing Ready product register to confirm your software is compatible.

What if my trading partner isn’t on Peppol? You can still send invoices the traditional way to partners not on the network. Peppol runs alongside existing invoicing methods. You adopt it progressively, starting with the trading partners (and especially government agencies) who are already enabled.

Is it secure? Yes. Peppol transmits through a closed network of verified, certified participants. Invoices use TLS encryption, digital signatures, and secure authentication. The ATO doesn’t receive or view your invoice content. The data flows between you and your trading partner through your respective Access Points.

What about my GST tax invoices? The PINT A-NZ format is specifically designed for Australian tax requirements. Your eInvoice must include all the fields required for a valid Australian tax invoice: ABN, GST amounts, totals, and so on. GST is still reported via your regular BAS. There’s no invoice-by-invoice submission to the ATO.

The bottom line

The way businesses exchange invoices is changing. Not because someone decided it would be nice to modernise, but because the cost, inefficiency, and fraud risk of the current system is genuinely holding Australian businesses back.

Peppol eInvoicing is the infrastructure fix. It’s secure, it’s globally recognised, it’s backed by the Australian Government, and through the right Access Point it’s simpler to implement than most businesses expect.

Zircodata’s solution, powered by trusted partner Exedee, gives you access to a proven, ATO-accredited Peppol capability backed by 16+ years of financial processing expertise. Whether you’re looking to meet government invoicing requirements, accelerate payment cycles, or future-proof your finance operations, we’re here to make the transition straightforward.

If you would like to find out what Peppol eInvoicing could mean for your business, you can get in touch with the Zircodata team here.