ARNECC Suspends Electronic Conveyancing Interoperability Program As NSW Regulator Tightens PEXA Pricing Controls

(MENAFN- EIN Presswire) EINPresswire/ -- The Australian Registrars' National Electronic Conveyancing Council (ARNECC) has announced it“will not proceed with the Interoperability Program at this time,” pausing efforts to enable competition between electronic lodgment network operators (ELNOs) in Australia's property settlement market.

The decision comes as NSW pricing regulator IPART moves to tighten pricing caps on PEXA, the electronic lodgment platform used to process residential and commercial property settlements across Australia. IPART's review treats PEXA as utility-grade infrastructure, and in March 2026 the regulator rejected PEXA's proposed $1 per-transaction fee in NSW.

Background: How Property Settlements Work in Australia
PEXA (Property Exchange Australia) is the primary ELNO used by conveyancers, solicitors, and financial institutions to settle property transactions digitally. Following the rollout of mandatory electronic conveyancing across Australian states, PEXA currently operates as the only widely adopted platform in the market.

Sympli, a second regulator-approved ELNO, has been unable to achieve broad market adoption. Industry commentary has attributed this to the major banks' decision not to accept Sympli workspaces for settlement transactions.

Commonwealth Bank of Australia (CBA), which holds approximately 25% of the national mortgage market, also holds a 24% ownership stake in PEXA, according to publicly available shareholder disclosures.

Regulatory and Market Developments
Since IPART's pricing announcement, PEXA's publicly listed shares have declined approximately 23%, and short interest reached a three-year high in early April 2026, according to market data. Investors have responded to the prospect of sustained margin compression under the tightened regulatory framework.

What This Means for Property Buyers and Sellers
For Australians buying your first home or selling a property, settlements are processed through PEXA. In the absence of a second widely adopted platform, all market participants - including conveyancers, solicitors, and their clients - rely on a single system for settlement processing.

Walter Silva, Head of Innovation at Titlespace, noted that this market structure has practical implications for property buyers and sellers.

“Our role as conveyancers is to guide clients through what is often the largest financial transaction of their lives,” Silva said.“That includes being transparent about the infrastructure the industry relies on. Our clients deserve to understand how the settlement system works, including where concentration risk exists.”

About Titlespace
Titlespace is a digital-first conveyancing firm serving property buyers, sellers, and families managing title transfers across NSW, VIC, and QLD. Titlespace combines legal expertise with technology to deliver transparent, efficient, and accessible conveyancing services.

Learn more at href="" rel="external nofollow" co or call 02 7251 9790.

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