National Health Act 1953 - Amendment declaration under subsections 85(2) and 85(2AA) - Amendment determination under subsection 85(2A) - drugs and medicinal preparations (No. PB 4 of 2010)

Administered by Department of Health, Disability and Ageing

Legislation au F2010L00471 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

INSTRUMENT NUMBER PB 4 OF 2010

NATIONAL HEALTH ACT 1953

AMENDMENT DECLARATION UNDER SUBSECTIONS 85(2) AND 85(2AA)

    AMENDMENT DETERMINATION UNDER SUBSECTION 85(2A)

Purpose and operation

Part VII of the National Health Act 1953 (the Act) is the legislative basis of the Pharmaceutical Benefits Scheme (PBS) by which the Commonwealth provides reliable, timely, and affordable access to a wide range of medicines for all Australians.

Subsection 85(1) provides that benefits are to be provided by the Commonwealth in accordance with Part VII in respect of pharmaceutical benefits.

Drugs and medicinal preparations in relation to which Part VII applies are declared by the Minister by legislative instrument as such under subsection 85(2). These are listed drugs as defined in subsection 84(1). Part VII also applies to certain extemporaneously-prepared medicinal preparations as a result of declarations under paragraph 85(2)(b).

The Minister by legislative instrument can determine the form or forms of a listed drug by reference to strength, type of unit, size of unit or otherwise (subsection 85(3)); the manner of administration of the form of the listed drug so determined (subsection 85(5)); and a brand of the pharmaceutical item (defined in subsection 84(1)) that has the listed drug in that form with that manner of administration (subsection 85(6)). These determinations govern (except for certain extemporaneously-prepared pharmaceutical benefits) what constitutes the pharmaceutical benefit (defined in subsection 84(1)) under Part VII of the Act.  

Subsection 85(2AA) empowers the Minister, by legislative instrument, to revoke or vary a declaration under subsection 85(2) in relation to a drug or medicinal preparation. 

Where a revocation or variation would have the result that a drug or medicinal preparation would cease to be a listed drug, the Minister must under subsection 85(2AB) obtain the advice in writing of the Pharmaceutical Benefits Advisory Committee (PBAC).  Under subsection 85(2AC), this PBAC advice is to be tabled in Parliament with the relevant declaration under subsection 85(2AA).  Subsection 101(4) further provides that a drug or medicinal preparation cannot be declared under paragraph 85(2)(a) to be a drug or medicinal preparation in relation to which Part VII applies unless the PBAC has recommended to the Minister that it be so declared.

This legislative instrument in giving effect to recommendations of the PBAC, amends declarations under subsections 85(2) and 85(2AA) and the determination under subsection 85(2A) made by legislative instrument number PB 113 of 2008 which came into effect on 1 December 2008.  The amendments declare changes to the list of drugs and medicinal preparations available as pharmaceutical benefits and the circumstances in which the pharmaceutical benefits may be prescribed.  The amendments are set out in the items of Schedule 1 to the instrument.

A provision-by-provision description of the instrument is contained in the Attachment.

This instrument, expressed to commence on 1 March 2010, was made on 2 February 2010.

 

 

Consultations

The involvement of interested parties through the membership of the PBAC constitutes a formal and ongoing process of consultation. The PBAC is an independent expert body established by section 100A which makes recommendations to the Minister about which drugs and medicinal preparations should be available as pharmaceutical benefits.  PBAC members are appointed following nomination by prescribed organisations and associations from consumers, health economists, practising community pharmacists, general practitioners, clinical pharmacologists and specialists, with at least one member selected from each of those interests or professions.  Remaining members are persons whom the Minister is satisfied have qualifications and experience in a field relevant to the functions of the PBAC, and that would enable them to contribute meaningfully to the deliberations of the PBAC.  When recommending the listing of a medicine on the PBS, the PBAC takes into account the medical conditions for which the medicine has been approved for use in Australia, its clinical effectiveness, safety and cost-effectiveness compared with other treatments.


ATTACHMENT

Paragraph 1:  provides that this instrument commences on 1 March 2010.

Paragraph 2:  provides that Schedule 1 amends PB 113 of 2008.

Schedule 1: provides for the following amendments:

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              

SCHEDULE 1

Addition of Listed Drugs

Nebivolol

Rizatriptan

Triglycerides, long chain with glucose polymer

Ustekinumab

 

Deletion of Listed Drug

Influenza Vaccine

 

Alteration of Circumstances

Adalimumab

[addition of the drug ustekinumab to the list of interchangeable biological agents for the treatment of severe chronic plaque psoriasis and amendment of definition of Biological Treatment Cycle]

Albendazole

[in respect of the tablet 200 mg, additional availability for strongyloidiasis and for the treatment of hookworm infestation]

Alendronic Acid

[amendment of “Paget’s disease” to “Paget disease” and consequent change to the streamlined authority code]

Bicalutamide

[addition of streamlined authority code 3247]

Candesartan with Hydrochlorothiazide

[addition of the tablet containing candesartan cilexetil 32 mg with hydrochlorothiazide 12.5 mg and the tablet containing candesartan cilexetil 32 mg with hydrochlorothiazide 25 mg]

Clopidogrel

[amendment of circumstance for the treatment of acute coronary syndrome and consequent change to streamlined authority code]

Clopidogrel with aspirin

[amendment of circumstance for the treatment of acute coronary syndrome and consequent change to streamlined authority code]

Etanercept

[addition of the drug ustekinumab to the list of interchangeable biological agents for the treatment of severe chronic plaque psoriasis and amendment of definition of Biological Treatment Cycle]

Etidronic Acid

[amendment of “Paget’s disease” to “Paget disease” and consequent change to the streamlined authority code]

Fluconazole

[extension of availability for the prophylaxis of oropharyngeal candidiasis in immunosuppressed patients]

Gefitinib

[removal of the requirement that mutation of the epidermal growth factor receptor gene must be demonstrated by DNA sequencing]

Glucose IndicatorBlood

[addition of the test strips, 50 (Accu-Chek Mobile) and deletion of the test strips, 50 (Glucoboy)]

Goserelin

[in respect of the subcutaneous implant 3.6 mg (as acetate) in pre-filled injection syringe, extension of availability for the treatment of hormone-dependent breast cancer; and in respect of the subcutaneous implant (long acting) 10.8 mg (as acetate) in pre-filled injection syringe, addition of streamlined authority code 3229]

Goserelin and Bicalutamide

[addition of streamlined authority code 3239]

Imatinib

[amendment of circumstances relating to the treatment of gastrointestinal stromal tumour]

Lapatinib

[removal of the circumstance relating to patients receiving initial treatment with lapatinib prior to 1 May 2008]

Memantine

[removal of the circumstance relating to patients commenced on memantine treatment prior to 1 March 2008]

Olanzapine

[addition of the powder for injection 405 mg (as pamoate monohydrate) with diluent]

Pamidronic Acid

[amendment of “Paget’s disease” to “Paget disease” and consequent change to the streamlined authority code]

Risedronic Acid

[amendment of “Paget’s disease” to “Paget disease” and consequent change to the streamlined authority code]

Salcatonin

[amendment of “Paget’s disease” to “Paget disease” and consequent change to the streamlined authority code]

Terbinafine

[addition of streamlined authority code 3243 and corresponding circumstance in respect of the cream containing terbinafine hydrochloride 10 mg per g, 15 g; and in respect of the tablet 250 mg (as hydrochloride), additional availability for the treatment of a dermatophyte infection in a patient aged up to 18 years]

Tiludronic Acid

[amendment of “Paget’s disease” to “Paget disease” and consequent change to the streamlined authority code]

 

SCHEDULE 1A

Addition of Listed Drug

Methylnaltrexone

 

 

Overview

The National Health Act 1953 was amended in 2010 through legislative instrument F2010L00471 to update the Pharmaceutical Benefits Scheme (PBS). The Act, enacted by the Australian Parliament, establishes the PBS to ensure Australians have access to affordable and effective medicines. The legislative instrument updates the list of drugs and medicinal preparations available under the PBS, reflecting recommendations from the Pharmaceutical Benefits Advisory Committee (PBAC). The PBAC, an independent body comprising experts from various fields, advises the Minister on which drugs and preparations should be included on the PBS, considering factors such as clinical effectiveness, safety, and cost-effectiveness. This amendment, which came into effect on 1 March 2010, includes the addition of new drugs like nebivolol and ustekinumab, the deletion of others such as the influenza vaccine, and modifications to the availability and prescribing conditions for various medications. The changes aim to align the PBS with current medical needs and advancements in pharmaceutical treatments.

Scope and Application

The National Health Act 1953, specifically amended by the legislation F2010L00471, applies to the Pharmaceutical Benefits Scheme (PBS) under Part VII, which ensures Australians have access to affordable medications. The Act applies to drugs and medicinal preparations declared by the Minister, which are then listed as pharmaceutical benefits. The legislation encompasses the declaration of new drugs, the revocation or variation of existing listings, and the determination of drug forms and administration methods. The amendments set out in the legislation involve changes to the list of drugs and the circumstances under which these pharmaceutical benefits can be prescribed. These amendments are implemented through Schedule 1, which details additions, deletions, and alterations to the list of drugs and the conditions for their use. The geographic reach of this legislation is national, as it pertains to the Commonwealth's role in providing pharmaceutical benefits across Australia. The amendments in the legislation are applicable to all entities and individuals involved in the prescription, supply, and administration of these pharmaceutical benefits. The Pharmaceutical Benefits Advisory Committee (PBAC) plays a crucial role in advising the Minister on the listing of drugs and their conditions, with any significant changes to drug listings requiring PBAC recommendations and parliamentary tabling. The instrument commenced on 1 March 2010, and the amendments include the addition of several new drugs, the deletion of others, and modifications to the circumstances of use for various medications.

Key Provisions

The National Health Act 1953 (the Act) is the foundational piece of legislation that governs the Pharmaceutical Benefits Scheme (PBS), through which the Commonwealth ensures all Australians have reliable, timely, and affordable access to a wide range of medicines (subsection 85(1)). The Act mandates that benefits are provided by the Commonwealth in accordance with Part VII, specifically in relation to pharmaceutical benefits. The Act requires the Minister to declare by legislative instrument which drugs and medicinal preparations are subject to Part VII (subsection 85(2)). These declared drugs and preparations are referred to as 'listed drugs' as defined in subsection 84(1). The Act also allows for the inclusion of certain extemporaneously-prepared medicinal preparations under Part VII through declarations under paragraph 85(2)(b). The Act imposes several obligations on the Minister, including determining the form and manner of administration of listed drugs through legislative instruments (subsections 85(3), 85(5), and 85(6)). These determinations govern what constitutes the pharmaceutical benefit under Part VII of the Act. The Act further empowers the Minister to revoke or vary declarations under subsection 85(2) by legislative instrument (subsection 85(2AA)). However, if a revocation or variation would result in a drug or medicinal preparation ceasing to be a listed drug, the Minister must obtain written advice from the Pharmaceutical Benefits Advisory Committee (PBAC) (subsection 85(2AB)). This advice must then be tabled in Parliament along with the relevant declaration (subsection 85(2AC)). Additionally, under subsection 101(4), a drug or medicinal preparation cannot be declared under paragraph 85(2)(a) unless the PBAC has recommended to the Minister that it be so declared. Under the Act, breaches of its provisions can result in both civil and criminal consequences. The Act does not explicitly outline specific offences or penalties for non-compliance with its provisions. However, general offences and penalties under the Act could include fines and imprisonment for wilful or negligent breaches. The exact penalties depend on the nature and severity of the breach, but they are generally aligned with the severity of the contravention. The Minister may also be required to take corrective actions, such as revoking or varying declarations, to ensure compliance with the Act.

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