Published Wednesday, 13 March 2013
Proposed legislation would close the loophole by the end of next year. (© Getty)
The new rules would close the loophole which has previously meant southern motorists escaped sanctions for bad driving.
A month-long public consultation on the legislation has begun, but it is anticipated the legislation would be in place in the north and south by the end of next year.
Environment Minister Alex Attwood said he hoped the proposal would improve road safety.
"People will now think twice about speeding or not wearing seatbelts when they cross the border if this is introduced.
"There is no model in Europe for the mutual recognition of penalty points by two jurisdictions.
"This is groundbreaking work and, in the fullness of time, it will be a template for other members of the European Union, should they choose to follow what we do," he said.
The legislation will also clamp down on speeding, drink or drug driving and using a mobile phone while driving.
The Republic's Transport Minister Leo Varadkar said he had agreed a detailed timetable with Mr Attwood for new legislation allowing the mutual recognition of penalty points.
"The government in the Republic is very keen to get a working system in place and I welcome this ongoing co-operation from Northern Ireland," he said.