Authority is now using facial recognition technology to catch people attempting to apply for multiple licences under different names.
Assistant Transport Minister for NSW, David Borger, said licence applicants are now required to have their photo run through the RTA's database for possible matches against suspended or banned licences.
"If people try to create more than one licence in NSW, this technology will allow them to be identified and prosecuted - and they may then face serious charges," Mr Borger said." Mr Borger said.
"Identity fraud costs Australia more than $3.5 billion a year. Since October last year, the RTA has identified 41 suspected fraud instances which are currently being investigated."
Similar to technology set to join the security arsenal to be introduced by Victoria's VicRoads, the RTA NSW's facial recognition software works by measuring the distance between a person's eyes, nose and mouth.
The information is then automatically compared to photos in the RTA's licence database.
Minister for Roads, Michael Daley said that along with NSW and Victoria, the technology is expected to be rolled out nationally.
???The new system will form part of a national strategy designed to improve the security and integrity of all Australian drivers??? licences.
???It???s a considerable step forward in the fight against criminals who try to use false ID for money laundering, drug trafficking, illegal immigration and even terrorism.
???The usual licence application and renewal processes will not change, and the look and feel of licences will not be affected,??? he said.
Mr Borger confirmed that the cost of the facial recognition technology will not affect the price of applying for a licence.