Electronic invoicing is no longer just a trend in Europe: it is a major transformation redefining business practices for companies and public administrations alike.

EN 16931 Standard: A European Common Foundation

Since April 2019, Directive 2014/55/EU has mandated that all public administrations in EU member states must be capable of receiving and processing electronic invoices compliant with the EN 16931 standard.

This standard ensures complete interoperability of European systems by defining a structured data model for electronic invoices. In simpler terms, it enables businesses to exchange electronic invoices across Europe without technical or regulatory barriers.

In response to this directive, many countries have made electronic invoicing mandatory for transactions between businesses and public administrations (B2G).

Different Approaches for B2B Transactions

• 🇮🇹 Italy: A pioneer, it introduced a generalized obligation for electronic invoicing in 2019 for all transactions (B2B and B2C) via the SDI system.
• 🇫🇷 France: Plans a gradual rollout starting in 2026, with B2B invoicing becoming mandatory by 2027.
• 🇩🇪 Germany: Adopts a decentralized and harmonized approach for B2G, while preparing for B2B developments.

Technologies and Standards Driving the Transition

The success of electronic invoicing in Europe relies on robust tools and standards.

• UBL (Universal Business Language): A standardized format based on XML that uniformly structures transaction information. It enables seamless integration between ERP systems, driven by its flexibility and adaptability to various business contexts.
• CII (Cross Industry Invoice): Another structured electronic invoice format, particularly suited for complex transactions involving large volumes of data. It is designed to accommodate the specific requirements of different industries while adhering to EN 16931 standards.

Exchange Infrastructure: The PEPPOL Network

PEPPOL (Pan-European Public Procurement OnLine) is a standardized infrastructure simplifying electronic document exchange between businesses and administrations across Europe.

PEPPOL operates through:

• Certified Access Points: Companies and administrations connected to the network can exchange invoices and other documents through secure platforms or services. These access points ensure full interoperability, regardless of provider or software.
• Standardized Exchanges: PEPPOL ensures all participants "speak the same language" by using formats like UBL and standardized transmission protocols.

Adopted in countries such as Norway and the Netherlands, and integrated into national systems like Chorus Pro in France, PEPPOL has become a de facto standard for cross-border exchanges.

Benefits for Businesses

While initially perceived as a regulatory burden, electronic invoicing presents strategic opportunities for businesses:

• ✅ Cost Reduction: Less manual processing, fewer errors, and significant savings.
• ✅ Improved Cash Flow: Faster payments through streamlined processes.
• ✅ Fraud Prevention: Enhanced controls reduce the risk of fraud and fake invoices.
• ✅ Increased Competitiveness: Harmonized adoption across Europe facilitates cross-border trade and strengthens access to the single market.

Electronic invoicing is reshaping the landscape of commercial exchanges in Europe. By leveraging standardized technologies such as UBL, CII, and PEPPOL, businesses can not only meet regulatory requirements but also turn these obligations into drivers of performance and efficiency.