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Netherlands introduces nationwide contactless transport payment system

Thursday 8 June 2023 10:02 CET | News

The Netherlands has partnered with payment-processing provider Mastercard and launched a contactless transit payments system across the nation. 

 

The new system, OVpay, aims to simplify access to the transport system by solely requiring travellers to tap in and out their debit card, credit card or digital wallet. 

OVpay is an open-loop system that features upgraded infrastructure and software that allows the Dutch to enjoy frictionless journeys and safe payments. Open loop payment solutions are popular in metropolitan areas such as London, New York, Milan or Sydney. However, up to this point, there has yet to be a nationwide launch such as this one. 

What is more, OVpay has already been launched by Translink, the transaction processing provider in the Netherlands, and public transport companies. Consequently, all public transport means in the country, trains, trams, buses, and metros included, can now accept OVpay. 


The Netherlands has become the first country to launch a countrywide fully contactless public transport payments system.


Mastercard’s role in the launch

The transition to a nationwide contactless transport payment system was facilitated by a partnership with Mastercard, as the payment-processing provider supported the implementation of mobility transaction processing rules that made the use of OVpay possible. As per the press release, Mastercard also ensured the incorporation of mandatory software updates and components.

The introduction of the nationwide contactless transit payment system improves navigation for transit users. Apart from the Dutch, visitors to the Netherlands will be able to enjoy the convenience of the new system. Among the key benefits OVpay brings are the fact that it helps reduce congestion, it increases efficiency and livability, and it confronts sustainability challenges.

As per the press release, Jan-Willlem van der Schoot, Country Manager for Mastercard in the Netherlands, outlined the advantages OVpay by saying that the implementation of the new system aims to improve the overall accessibility of public transport for the general public by tackling the common obstacles associated with payment that commuters often encounter when using public transportation. 

Following the introduction of OVpay, transit users no longer need to utilise passes and tickets, except for those who have subscriptions. 

Prior to its involvement in the launch of the nationwide contactless transport payment system in the Netherlands, Mastercard has previously aided other countries to enable digital payments. For instance, earlier in 2023, the payment-processing provider partnered with the Maldives Transport and Contracting Company (MTCC) and the Bank of Maldives (BML) with the aim of launching a similar open loop transit payment and digital ticketing system.

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Keywords: digital payments, public transportation, partnership, debit card, credit card, digital wallet
Categories: Payments & Commerce
Companies: Mastercard
Countries: Netherlands
This article is part of category

Payments & Commerce

Mastercard

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