1. www.peppol.eu PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 PEPPOL Business requiremernts Jostein Frømyr Transport Infrastructure Agreement (TIA) Coordinator Edisys Consulting AS / Agency for Public Management and eGovernment (Norway) Page 1

2. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 The PEPPOL project Pilot A objective: Enabling EU-wide public eProcurement 50% EU contribution for achieving interoperability Coordinated by the Norwegian Agency for Public Management and eGovernment (Difi) Consortium and scope: 18 beneficiaries from 11 countries Total budget 30,8 M€ 8 work packages, <1.600 person months and 10 M€ on sub-contractors Project start up: 1 May 2008, duration 52 months (Pending EC approval) PEPPOL - Pan European Public Procurement Online The PEPPOL project is the result of the European Competitiveness and Innovation Programme (CIP) ICT Policy Support Programme (ICTPSP) 2007 and 2009 Call for Proposals

3. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 The business case Government procurement in the European Union account for around 19% of GDP, which is over 2.200 billion Euro It has been estimated that if eProcurement were introduced in all EU contracting authorities, annual savings could exceed 50 billion EUR* Less than 5% of total procurement budgets is awarded through electronic systems** Only 1,6% of contracts are awarded to undertakings from another Member State*** *Source: Deutsche Bank Research: E-procurement, February 2011 **Source: Green Paper on expanding the use of e-Procurement in the EU. SEC(2010) 1214 ***Source: Green Paper on the modernisation of EU public procurement policy - Towards a more efficient European Procurement Market COM(2011) 15

4. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 ….. for public sector Experience from the use of electronic invoicing in Denmark shows that supplies generally receives payment earlier then before! 1 day interest at 3% on 2 200 billion € 180 821 918 per day Page 4 An internal report by Austrian government from 2002 claims that by applying an electronic order process (catalogue to payment), the time spent on the process can be reduced by some 60%! In Denmark it is estimated that there were approximately 55 mill. purchase orders in 2005. For simplicity let’s assume 1 PO = 1 transaction, each with a time saving of 15 minutes Denmark is approximately 3% of EU GDP 250 000 person years

5. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 ….. for privat sector 2-3 € per invoice 4-12 € per invoice Up to 65 € per trans. Source: Alessandro Perego, Politecnico di Milano School of Management

6. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 Challenges in the current market It is very costly to establish new connections It is complicated to migrate to a new service provider Many solutions are custom built to enable e-invoicing... Only My service provider cannot connect to some of my trading partners service providers Cross border exchange is pretty much impossible unless my trading partners uses my service provider (or if I use theirs) I have customers in several countries, all using their own domestic e-invoice formats (not always possible for me to use) I receive a lot of electronic invoices that are incorrect. It takes lots of efforts to identify the issues I want to check if my customers can receive electronic invoices (and what format they use) Page 6

7. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 Current scenario

8. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 The goal PEPPOL goal is to enable European businesses to easily deal electronically with any European public sector buyers in their procurement processes, thereby: Increase opportunities for greater competition for government contracts, giving better value for tax payers money encourage new and innovative ICT services simplify access to larger markets for suppliers (especially SMEs)

9. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 PEPPOL scenario

10. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 How PEPPOL helps solve the Challenges Aligning business processes: Defining standards based PEPPOL Business Interoperability Specifications Developing interoperable technologies: Connecting the “islands of eProcurement” through PEPPOL Document Transport Infrastructure/eDelivery solution Addressing common legal issues: Establishing tools for uniform handling of eSignatures, eAttestations and eCatalogues Establishing a legal framework for many-to-many interoperability

11. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 Aligning business processes ”PEPPOL will… Implementing the results of the CEN/ISSS WS “Business Interoperability Interfaces on public procurement in Europe” (CEN BII)” André Hoddevik, Project Director, PEPPOL PEPPOL Conference February 2010

12. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 The PEPPOL Document Transport Infrastructure One common transport protocol between APs – BusDox START A PEPPOL AP Provider is free to use any transport protocol towards his own customers A common minimum SLA A PEPPOL AP and/or SMP Provider is free to offer a higher SLA or any service he likes towards his own customers No charges between PEPPOL SML, AP and/or SMP Providers A PEPPOL AP and/or SMP Provider is free to determine his own charges towards his customers Commonly defined business documents Only business documents approved by the PEPPOL Coordinating Authority or one of the PEPPOL Regional Authorities may be exchanged between the APs Commonly defined identifiers Only identifier schemes approved by the PEPPOL Coordinating Authority may be used for routing between the APs Page 12

13. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 Scope for PEPPOL solutions Page 13

14. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 Legal framework for many-to-many interoperability Page 14 The Coordinating Authority provides European wide governance for: the PEPPOL Agreements the PEPPOL Technical Standards the PEPPOL Service Specifications the PEPPOL SML The Regional Authority provides regional governance for: the implementation and use of the transport infrastructure the legal framework for specific AP and SMP agreements specific requirements applicable within a domain Community agreement Provider agreement The PEPPOL AP and SMP Providers provides the actual services to the end users according to PEPPOL specifications.

15. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 PEPPOL is live! 15

16. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 Future of PEPPOL OpenPEPPOL Long term sustainability through user driven governance An entity by the users for the users Continued cooperation between MS and EU Short term plans: Further development and implementation of eProcurement building blocks in new Pilot A, ISA operations Medium term plans: Connecting Europe Facility (CEF) Continued Standardisation CEN initiatives on eProcurement business process standardisation OASIS/other initiatives on eDelivery/Document Transport Infrastructure Page 16

17. PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974 www.peppol.eu eProcurement without borders in Europe www.peppol.eu