Variation to the MasterCard and Visa Access Regimes: Details-stage
Regulation Impact Statement – March 2014
8. Implementation and Review

If the Payments System Board accepts the option identified in this paper as the preferred option, it is proposed that the amended MasterCard and Visa Access regimes become effective only when Banking Regulation 4 has been repealed. The Bank will work with APRA and the Treasury to seek removal of the Regulation but, because the legislative processes required to change the Banking Regulations are outside of the Bank's direct control, there is some uncertainly over the likely timeframe. Before final instruments are put in place, the Bank will also discuss with the Australian Payments Clearing Association (APCA) any implications for APCA clearing streams and confirm with Visa whether, as a technical matter, it considers that the Visa Debit Access Regime remains necessary.

It is anticipated that the Bank would nonetheless announce the Board's in-principle decision as soon as possible and begin discussions with MasterCard and Visa regarding reporting requirements and the disclosure of eligibility and assessment criteria, if required. This approach should provide the schemes, SCCIs and potential entrants with greater certainty about the direction of regulation and allow them time to begin any necessary preparations before changes to access regulation become effective. It is the Bank's intention that the effective date would take into account the time needed for industry to prepare for the new framework; accordingly, no transitional provisions are proposed.

The Reserve Bank will monitor developments through liaison with industry and the public disclosure and annual reporting requirements. It is anticipated that the Payments System Board will review the effects of the changes two years after their implementation. The Bank will also engage with the schemes to address any reports of actions that are contrary to the intent of the reforms.