New Zealand Proposes Mandatory E-Invoicing for High-Volume Public Agencies

New Zealand may soon take a significant step toward modernizing its public sector procurement processes. Under Rule 44 of the proposed update to the Government Procurement Rules, public agencies processing more than 2,000 domestic trade invoices annually would be required to adopt electronic invoicing systems—and mandate their use by large suppliers.
What's in the Proposal?
The recommendation, now under public consultation (closed April 8, 2025), stems from the fifth edition of the Government Procurement Rules. These rules set the standards for fair, efficient, and transparent public procurement across the country.
Rule 44 introduces a dual obligation:
- Public agencies must be technically equipped to receive and process e-invoices.
- Agencies must require large suppliers to issue e-invoices for applicable transactions.
If the proposal is adopted, compliance would become mandatory by January 1, 2026.
The Bigger Picture
While this change targets B2G transactions only, it lays the foundation for future digital transformation across all sectors of commerce. Large suppliers, especially those working with multiple government agencies, will need to ensure their systems support structured e-invoice formats and comply with interoperability standards.
Enterprises doing business with the New Zealand government—particularly those handling high invoice volumes—should begin preparing now by:
- Assessing their current invoicing systems for e-invoice readiness.
- Engaging with solution providers that support structured data exchange formats (e.g., Peppol).
- Mapping internal workflows to minimize integration friction once the rule is enacted.
There’s more you should know about e-invoicing in New Zealand – learn more about the new and upcoming regulations.