Australia’s joint government and industry initiative to create an efficient and convenient way of completing property transactions and lodging land title dealings for registration.
Presented by Simon Libbis, Executive Director of the National Office

• Electronic business environment for conveyancing
• One central system accessible by all States and Territories
• One interface for all users (banks, mortgage processors, legal practitioners & conveyancers)
• Transparent application of each State and Territory’s registration and duty rules

• Instruments - dealings on line
• Digital signatures on instruments
• Settlement of financial obligations by funds transfer - no more bank cheques or going to settlements!
• Electronic lodgment of instruments with Land Registries - no more deliveries by hand!
• On line notification of registration by Land Registries
•
No more paper for 70% of transactions!

• Consumer and practitioner convenience
• User efficiency and consumer benefits
• Straight-through processing from dealing preparation to registration
• Single interface for national businesses
• Common functionality for users in all jurisdictions
• Easier cross-border transactions
• Transparent application of jurisdiction rule differences

• Extensive consultation and system development in Victoria with pilot operation next year
• Model design and public consultation in NSW
• Industry consultation in SA
• Readiness initiatives in all jurisdictions
• Lessons from Canada & New Zealand
• Industry preference for a national approach

• National Business Model (NBM)
- business roles, relationships and rules
• National Governance Arrangements (NGA)
- management and consultation arrangements
• National Implementation Strategy (NIS)
- implementation strategy and responsibilities
All three documents are available at www.necs.gov.au

• Clients - owners, buyers, sellers, lenders, etc
• Subscribers - legal practitioners, conveyancers, banks, etc
• Users - legal clerks, bank officers, etc
• Licensed Service Providers (LSP) - brokers, law agents, settlement agents
• NATIONAL ELECTRONIC CONVEYANCING SYSTEM (NECS)
• Land Registries (LR) – lodgment and registration
• Revenue Offices (RO) – transfer and mortgage duty compliance
• Financial Institutions
• Financial Settlement Manager (FSM) – financial settlement
• Reserve Bank of Australia (RBA)

Enabled
Subscriber Financial Institutions
Clien t
Clien t
N
User
Subscriber
User
LSP Browser
Interfaces
NECS Browser Interface
NECS Web Services
LSP
LSP Web
Services
User
Enabled
Subscriber
User
E
C
NECS Web Services
Preparation
S
FSM
RO
1
RO
2
RBA
Settlement
LR
1
LR
2
Compliance & Lodgment

(National Electronic Conveyancing System)
• centrally-managed online computer facility with browser and web services access
• registration, administration and authentication of Users and
Subscribers
• common workspace for all parties to prepare electronic instruments and provide financial settlement instructions
• electronic financial settlement engine
• business rules for each Land Registry’s instrument registration requirements
• business rules for each Revenue Office’s tax and duty compliance procedures
• collection of fees, duties and taxes on behalf of itself, Land Registries and Revenue Offices

NATIONAL GOVERNANCE ARRANGEMENTS
• National Steering Committee
- government, industry and profession members
• National Office
- support for Steering Committee and Consultation Forums
• National Consultation Forums
- user identification, accreditation and training
- system access and usage
- lodgement process and security
- settlement process and payments
• State Project Teams
- jurisdiction readiness and local communications

• Eight State and Territory land administrations
• Two State Revenue Offices
• Two banks
• Two law societies
• One conveyancer
• One information broker
• Independent chair

ACT
Rep
GOVERNANCE RELATIONSHIPS
Independent
Chair
NATIONAL
PRINCIPLES
AGREEMENT
NATIONAL STEERING COMMITTEE
NT
Rep
NSW
Rep
VIC
Rep
QLD
Rep
SA
Rep
WA
Rep
TAS
Rep
ABA
Reps
(2)
LCA
Reps
(2)
AIC
Rep
SRO
Reps
(2)
Broker/
Law
Agent
Rep
Funded by States Staffed by seconded stakeholders and contractors
Directed by National Steering Committee Informed by State Project Teams & National Consultation Forums
ACT
STATE PROJECT TEAMS
NSW VIC
NT QLD SA WA TAS
NATIONAL CONSULTATION FORUMS
User ID
Accreditation
& Training
System
Access &
Usage
Lodgement
Process &
Security
Settlement
Process &
Payments

NATIONAL IMPLEMENTATION STRATEGY
• Stage 1: Setting –Up
Establishing national governance, confirming NBM, developing funding model and detailed implementation planning
• Stage 2: Building the NECS
Specifying, provisioning, testing & commissioning the NECS
• Stage 3: Readying Jurisdictions
Legislative, policy and practice changes in each jurisdiction
• Stage 4: Converting Users
Education, training and supporting users in each jurisdiction

IMPLEMENTATION STRATEGY
24 Mths 12 Mths 36 Mths
Setting-Up
-governance
-model confirmation
-commercial viability
-detailed planning
Building the NECS
- specifying
- provisioning
- testing
- commissioning
Readying Jurisdictions
- legislation, policy, system and practice changes
Engaging & Converting Users
- communication, education, training and support
48 Mths

• Task 1: Development governance arrangements
• Task 2: Confirmation of NBM
• Task 3: Thorough risk assessment
• Task 4: Independent regulatory review
• Task 5: Operational governance arrangements
• Task 6: Preliminary evaluation of Victorian system
• Task 7: Funding model
• Task 8: Detailed implementation planning

For more information on this presentation or any aspect of National Electronic Conveyancing, please contact Simon Libbis, Executive Director,
NECS National Office at:
Phone: (03)8626 4545
Email: simon.libbis@necs.gov.au
Web: http://www.necs.gov.au
© NECS Steering Committee Inc. 2005