What is Peppol? The network and access points explained
Peppol is an international network for exchanging electronic business documents, above all e-invoices. Businesses and public authorities do not connect to each other directly; instead, each connects to a certified Peppol access point, which delivers the documents in a standardised way to the recipient's access point. A single connection is therefore enough to reach all other participants in the network.
The name originally stood for Pan-European Public Procurement OnLine. Peppol grew out of an EU project for public procurement and is now managed by OpenPeppol, a non-profit association based in Belgium. Businesses trading with each other and countries outside Europe have long been using the network too.
What exactly is Peppol?
Peppol consists of two parts that work together:
- A network: a technical infrastructure of access points, address directories and a common security framework with certificates.
- A rulebook: the Peppol Interoperability Framework with agreements, technical specifications and document formats that all service providers must comply with.
OpenPeppol sums up the principle with the phrase "connect once, reach all". Anyone in the network via an access point can reach any other participant, regardless of which service provider that participant uses. This distinguishes Peppol from classic point-to-point connections, which require a separate interface for each business partner.
The Peppol network: the four-corner model
The Peppol network works according to the so-called four-corner model. The four "corners" are:
- Corner 1, the sender: Your company creates the invoice in its ERP, accounting system or e-invoicing software.
- Corner 2, the sender's access point: It checks the invoice, identifies the recipient in the network and transmits the document in encrypted form.
- Corner 3, the recipient's access point: It receives the document and acknowledges receipt.
- Corner 4, the recipient: The invoice arrives in the recipient's system and can be processed there directly.
Sender and recipient therefore do not need to know anything about each other apart from the recipient's Peppol ID. It does not matter which software or service provider the other side uses.
What is a Peppol access point?
A Peppol access point is the gateway to the network. OpenPeppol describes access points as certified service providers that connect with each other via a common addressing and lookup procedure. Before an access point sends a message, it checks it against the Peppol specifications.
An access point typically performs the following tasks:
- Validating the invoice against Peppol BIS Billing 3.0
- Identifying the recipient via SML and SMP
- Secure, encrypted transmission to the recipient's access point
- Feedback on the delivery status
Access points are usually operated by a specialised service provider. Setting up your own access point means OpenPeppol membership, certification and ongoing operation. For most companies, it therefore makes more sense to use a provider that handles the connection. faktoora is a certified Peppol provider: you send and receive invoices via faktoora without operating an access point yourself. Find out more on the page Peppol connection with faktoora.
SMP and SML: the network's address book
So that an access point knows where to send an invoice, there are two directory services:
Service Metadata Publisher (SMP)
In the SMP, a participant publishes its receiving capabilities: which document types it accepts (for example invoices and credit notes according to BIS Billing 3.0) and via which access point it can be reached. OpenPeppol compares this to an electronic address book.
Service Metadata Locator (SML)
The SML is the central service that OpenPeppol operates itself. It reveals in which SMP the data for a specific Peppol ID is held.
How delivery works
- The sender's access point asks the SML which SMP is responsible for the recipient's Peppol ID.
- In the SMP, it reads which document types the recipient supports and at which address the recipient's access point can be reached.
- It transmits the invoice to this access point and receives an acknowledgement of receipt.
The Peppol ID is the key here. We explain in detail how it is structured and how you can get one in the article Peppol ID: meaning, application and verification.
Peppol BIS Billing 3.0: the invoice format in the network
Peppol defines not only the transport channel but also the document formats. These are called Business Interoperability Specifications (BIS). For invoices and credit notes, Peppol BIS Billing 3.0 applies.
BIS Billing 3.0 implements the European standard EN 16931 and uses the XML syntax UBL. Every BIS invoice therefore contains the mandatory information of the European data model and is validated according to fixed rules before it is sent.
In addition to invoices, Peppol also transports other documents, such as purchase orders or order responses. Whether a recipient accepts these is stated in its SMP entry. Many participants are only registered for invoices.
Peppol in Germany in 2026
In Germany, the Koordinierungsstelle für IT-Standards (KoSIT, Coordination Office for IT Standards) is the national Peppol Authority on behalf of the IT-Planungsrat (IT Planning Council). It supervises the service providers and is also responsible for the XRechnung standard.
Public contracting authorities (B2G)
For invoices to public authorities, Peppol is an established channel in Germany:
- The federal administration accepts e-invoices via its central OZG-RE portal. Peppol is one of the transmission channels there. Federal authorities are addressed in the network with scheme 0204 and their Leitweg-ID.
- According to KoSIT, more than 8,000 municipalities in 15 federal states could be reached via Peppol in April 2025, around 80 percent of all municipalities.
- In terms of content, German authorities generally expect an XRechnung. The Leitweg-ID must also be included in the invoice itself.
Business to business (B2B)
Since 1 January 2025, all businesses in Germany have had to be able to receive e-invoices. From 1 January 2027, companies with prior-year turnover of more than 800,000 euros must send e-invoices, and from 1 January 2028 all companies must do so. The Umsatzsteuergesetz (German VAT Act) does not prescribe a specific transmission channel for this. Peppol is one of several options alongside email and direct interfaces.
For addressing businesses, KoSIT has developed the German Electronic Business Address (GEBA). It is based on the Wirtschafts-Identifikationsnummer (business identification number) and is listed in the Peppol code list under scheme 0246. Its use is voluntary; VAT IDs or GLNs, for example, also remain possible as Peppol IDs.
Peppol in other countries: a brief overview
How binding Peppol is depends on the country. Some examples:
| Country | Role of Peppol |
|---|---|
| Belgium | A B2B e-invoicing mandate has applied since 1 January 2026, with Peppol as the standard channel. |
| Luxembourg | Invoices to public contracting authorities are sent via Peppol. A draft bill provides for a B2B mandate from 2028. |
| Norway | An early adopter; Peppol has been established for public contracting authorities for years. |
| Germany | Established channel for public authorities, voluntary channel in the B2B sector. |
| Singapore, Australia, New Zealand, Japan | National e-invoicing programmes rely on Peppol. |
France, Italy, Poland and Spain are taking their own paths with government platforms or national reporting systems. The article EU e-invoicing mandates 2026 summarises which obligations apply in which country. The page E-invoicing in Europe shows how faktoora covers the various national formats.
Advantages and limitations of Peppol
Advantages
- One connection for all recipients in the network, regardless of their software
- Uniform, validated invoice format in accordance with EN 16931
- Secure transmission with delivery confirmation instead of insecure email attachments
- According to KoSIT, there are no transaction fees within the network. Costs arise with your own service provider.
Limitations
- The recipient must be registered in the network themselves. If they are not, you need another channel, such as ZUGFeRD or XRechnung by email.
- Many participants only accept invoices and credit notes, not dunning letters or attachments of any kind.
- National specifics, such as the Leitweg-ID in Germany, must still be included in the invoice.
Frequently asked questions
What is Peppol in simple terms?
Peppol is a network through which businesses and public authorities exchange e-invoices in a standardised way. Each participant is connected via an access point and can be reached via its Peppol ID, much like an email address.
Do I need my own Peppol access point?
Usually not. You use the access point of a certified service provider, which handles validation, recipient lookup and transmission. Operating your own access point is usually only worthwhile for very large service providers.
Is Peppol mandatory in Germany?
No. For invoices to public authorities, Peppol is an established transmission channel, and for B2B invoices the law does not prescribe a specific channel. What is prescribed is the format: an e-invoice in accordance with EN 16931, for example XRechnung or ZUGFeRD.
What is the difference between Peppol and XRechnung?
Peppol is the transport channel, XRechnung is an invoice format. Via Peppol, an invoice is transmitted in the Peppol BIS Billing 3.0 format. For German public authorities, this is usually an XRechnung.
How do I find out whether a customer can be reached via Peppol?
It is best to ask them directly for their Peppol ID. The public Peppol Directory also helps. However, entries there are voluntary, so a missing entry does not mean that the customer cannot be reached.
Sources
- OpenPeppol: Peppol Interoperability Framework
- OpenPeppol: Peppol BIS Billing 3.0
- KoSIT: Peppol Authority Deutschland
- KoSIT: German Electronic Business Address (GEBA)
- E-Rechnung Bund: Übertragungsweg Peppol
- Belgium, FPS Finance: E-Facturation