National Payments Corporation of India has received final authorisation from Reserve Bank of India to function as the Bharat Bill Payment Central Unit (BBPCU) and Bharat Bill Payment System (BBPS).
It is a one-stop payment platform for all bills, providing an interoperable and accessible "anytime anywhere" bill payment service to all customers across India with certainty, reliability and safety of transactions. "Nearly 45 crore bills which comprises of Electricity, Telecom, DTH, Water and Gas are permitted under BBPS.
This initiative will provide a major push to digital payments as it is a big step forward in formalising the bill payment system in the country," said A P Hota, MD & CEO, NPCI.
The approval process consisted of almost a yearlong cycle of streamlining business and technology processes till RBI was satisfied with the performance of eight participating BBPS units.
Twenty-Four units have received clearance to operate as the Bharat Bill Payments Operating Unit (BBPOU) spread across three public sector banks (Bank of Baroda, Union Bank of India and Indian Overseas Bank), 10 private banks, 5 Cooperative Banks and 6 non-bank biller aggregators.
Currently, 42 large billers in 5 utility sectors have been on-boarded. Major public sector banks including State Bank of India (SBI) are still under certification said NPCI in a statement. “The real impact would be visible only when SBI joins," added Mr. Hota.