EPC publishes annual report

The European Payments Council (EPC), the coordination and decision-making body of the European payments industry, has highlighted “substantial progress” achieved in delivering several initiatives for the Single Euro Payments Area (SEPA) within its 2009 annual report.

In November 2009, the EPC successfully launched the SEPA Core Direct Debit Scheme and the SEPA Business to Business Direct Debit Scheme. Banks throughout SEPA are now starting to deliver SEPA Direct Debit services to their customers.

All branches of banks in the euro area must be reachable for SEPA Core Direct Debit by 1 November 2010 as mandated by the EU Regulation on cross-border payments in the Community.

Looking ahead, the EPC said that mobile payments will be a key area of focus, given that the mobile channel is an “ideal launch pad for SEPA payment instruments.” The EPC is collaborating with mobile operators and other stakeholders to establish the necessary standards and business rules with regard to the initiation and receipt of credit, debit and other card payments through mobile phones. The aim is to establish proposals that are ripe for collaboration and standardisation and which form the basis for interoperability.

The intention is to establish a service framework sufficient to reach potentially all payers and payees in the European Economic Area, and to create a trusted and secure environment that multiple stakeholders can use to facilitate SEPA payments initiated through the mobile channel in a convenient way. “At the same time, a common technical interoperability and business framework will avoid market fragmentation which would hinder the emergence of open, non-proprietary technology standards for user-friendly mobile payment services,” the report stated.

The EPC Roadmap for mobile payments will cover SEPA card proximity payments for all usage cases except person-to-person; SEPA card mobile remote payments for person-to-business, business-to-business and person-to-person; and SEPA credit transfer mobile remote payments in all usage cases.

EPC Chair Gerard Hartsink said: “The EPC annual report for 2009 demonstrates the continued commitment of the European payments industry to making SEPA a reality. The successful conclusion of this harmonisation exercise requires action by all stakeholders."