National Health Act 1953 - Amendment determination under sections 85, 85A and 88 - pharmaceutical benefits (No. PB 2 of 2009)

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Legislation au F2009L00043 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

INSTRUMENT NUMBER PB 2 OF 2009

NATIONAL HEALTH ACT 1953

DETERMINATIONS UNDER SECTIONS 85, 85A and 88

 

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 to which Part VII applies are declared by the Minister by legislative instrument to be so 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).

Subsection 85(3) authorises the Minister by legislative instrument to determine by reference to strength, type of unit, size of unit, or otherwise, the form or forms of a listed drug.

Subsection 85(5) authorises the Minister by legislative instrument to determine the manner of administration of a form of a listed drug where the form has been determined under subsection 85(3).

Subsection 85(6) authorises the Minister by legislative instrument to determine a brand of a pharmaceutical item.  A “brand” is defined in subsection 84(1) to mean the trade name which the person who is or will be the “responsible person” supplies the pharmaceutical item,  or if there is no tradename, the name of the responsible person.  The responsible person for a brand of a pharmaceutical item is determined by the Minister by legislative instrument under section 84AF.

Subsection 85A(2) authorises the Minister to determine various matters with respect to the writing of prescriptions by persons included in a specified class of persons for the supply of a pharmaceutical benefit.  Paragraph 85A(2)(a) authorises the determination of the maximum quantity or number of units that may in one prescription be directed to be supplied for all purposes or for a particular purpose.  Paragraph 85A(2)(b) authorises the determination of the maximum number of occasions in which the supply may in one prescription be directed to be repeated for all purposes or a particular purpose.  Paragraph 85A(2)(c) authorises the determination of the manner of administration that may in a prescription be directed to be used. 

Section 88 provides for various matters relating to the prescribing of pharmaceutical benefits.  Subsection 88(1A) authorises the Minister to determine the pharmaceutical benefits for the supply of which a dental practitioner is authorised to write a prescription.

This instrument determines matters under subsections 85(3), 85(5), 85(6), 85A(2), and 88(1A).    

This legislative instrument in giving effect to recommendations of the Pharmaceutical Benefits Advisory Committee (PBAC) amends determinations under sections 85, 85A and 88 made by legislative instrument number PB 114 of 2008 which came into effect on 1 December 2008.  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 February 2009, was made on 2 January 2009.


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 February 2009.

Paragraph 2: provides that Schedule 1 amends PB 114 of 2008.

Schedule 1: provides for the following amendments:

 

SCHEDULE 1 – PART 1

Listed Drugs Added

Desvenlafaxine

Sorafenib

Triptorelin

Voriconazole

 

Forms Added

Mirtazapine

Tablet 15 mg

 

Brands Added

Alendronic Acid

Tablet 70 mg (as alendronate sodium) (Alendronate-GA)

Carvedilol

Tablet 3.125 mg (Vedilol 3.125)

Tablet 6.25 mg (Vedilol 6.25)

Tablet 12.5 mg (Vedilol 12.5)

Tablet 25 mg (Vedilol 25)

Lisinopril

Tablet 5 mg (APO-Lisinopril)

Tablet 20 mg (APO-Lisinopril)

Meloxicam

Capsule 7.5 mg (Movalis 7.5)

Capsule 15 mg (Movalis 15)

Metformin

Tablet containing metformin hydrochloride 500 mg (Metformin Ranbaxy)

Tablet containing metformin hydrochloride 850 mg (Metformin Ranbaxy)

Simvastatin

Tablet 10 mg (Simvastatin-Spirit 10)

Tablet 20 mg (Simvastatin-Spirit 20)

Tablet 40 mg (Simvastatin-Spirit 40)

Tablet 80 mg (Simvastatin-Spirit 80)

 

Forms Deleted

Amino acid formula with vitamins and minerals without valine, leucine and isoleucine

Oral powder 350 g (Ketonex-1)

Oral powder 325 g (Ketonex-2)

 

Brands Deleted

Atenolol

Tablet 50 mg (Anselol 50 mg)

Trandolapril

Capsule 1 mg (Odrik)

Capsule 2 mg (Odrik)

 

Alteration of Form Description and Brand

Protein hydrolysate formula with medium chain triglycerides

From:

Oral powder 450 g (Pepti-Junior), (Pepti-Junior)

To:

Oral powder 450 g (Pepti-Junior Gold), (Pepti-Junior Gold)

 

Alteration of Form Description

Influenza Vaccine

[Description amended to show the composition recommended for the 2009 season]

 

 

Alteration of Brand

Amlodipine

Tablet 5 mg (as besylate)

From:

Amlotrust 5

To:

Pharmacor Amlodipine 5

 

Tablet 10 mg (as besylate)

From:

Amlotrust 10

To:

Pharmacor Amlodipine 10

 

 

Testosterone

Subcutaneous implant 100 mg

From:

Organon (Australia) Pty Limited

To:

Schering-Plough Pty Limited

 

Subcutaneous implant 200 mg

From:

Organon (Australia) Pty Limited

To:

Schering-Plough Pty Limited

 

SCHEDULE 1  PART 2

 

Brands Added

Simvastatin

Tablet 10 mg (Simvastatin-Spirit 10)

Tablet 20 mg (Simvastatin-Spirit 20)

Tablet 40 mg (Simvastatin-Spirit 40)

Tablet 80 mg (Simvastatin-Spirit 80)

 

Overview

The National Health Act 1953, enacted by the Parliament of Australia, serves as the legislative foundation for the Pharmaceutical Benefits Scheme (PBS), which ensures Australians have reliable, timely, and affordable access to a broad range of medicines. The Act enables the Commonwealth to provide pharmaceutical benefits in accordance with Part VII. The 2009 legislative instrument, numbered PB 2 of 2009, amends previous determinations made under sections 85, 85A, and 88 of the Act to reflect the recommendations of the Pharmaceutical Benefits Advisory Committee (PBAC). This instrument, which commenced on 1 February 2009, updates the list of pharmaceutical items eligible for PBS subsidies, modifies the forms and brands of certain medications, and adjusts the parameters for prescription writing. The amendments aim to enhance the efficiency and effectiveness of the PBS by ensuring that the scheme remains aligned with the latest clinical evidence and cost-effectiveness considerations.

Scope and Application

The Pharmaceutical Benefits Scheme (PBS) under Part VII of the National Health Act 1953 is designed to provide Australians with reliable, timely, and affordable access to a broad range of medicines. This legislative instrument, effective from 1 February 2009, amends previous determinations made in 2008 to reflect recommendations from the Pharmaceutical Benefits Advisory Committee (PBAC). It specifically addresses the listing of new drugs and brands, modifications to existing drug forms, and updates to prescription regulations. The amendments pertain to the forms and brands of certain drugs, including the addition of new brands like Alendronic Acid, Carvedilol, and Metformin, as well as the deletion of others such as Atenolol and Trandolapril. Additionally, the instrument modifies the forms of certain drugs and updates the brand names and descriptions, reflecting changes recommended by the PBAC. This legislation applies nationwide across Australia, impacting pharmaceutical entities, healthcare providers, and consumers by governing the types of drugs covered by the PBS, the permissible forms and brands, and the conditions under which these drugs can be prescribed.

Key Provisions

The main operative sections of the legislation, F2009L00043, focus on the determinations under sections 85, 85A, and 88 of the National Health Act 1953. Subsection 85(1) mandates the provision of pharmaceutical benefits by the Commonwealth in accordance with Part VII of the Act, which is the foundation of the Pharmaceutical Benefits Scheme (PBS). Subsection 85(2) allows the Minister to declare by legislative instrument which drugs and medicinal preparations are to be included as listed drugs under the scheme. Furthermore, subsection 85(3) authorises the Minister to determine the form or forms of a listed drug, while subsection 85(5) allows the Minister to specify the manner of administration for such forms. Subsection 85(6) enables the Minister to determine the brand of a pharmaceutical item. Additionally, subsection 85A(2) empowers the Minister to set various parameters concerning the writing of prescriptions, such as the maximum quantity, repetition frequency, and manner of administration. Finally, subsection 88(1A) allows the Minister to determine the pharmaceutical benefits for which a dental practitioner can write a prescription. The obligations imposed by the Act on the parties it governs are primarily centred around compliance with the determinations made by the Minister. Pharmaceutical companies and medical practitioners must adhere to the specifications set for listed drugs, their forms, brands, and prescription writing. For example, pharmaceutical companies must ensure that their products comply with the declared forms and brands as stipulated by the Minister. Medical practitioners, on the other hand, must follow the prescription parameters, such as the maximum quantity and repetition frequency, to ensure they are within the allowable limits set forth by the Act. Breaches of the provisions under this legislation can result in various civil or criminal consequences. While the specific penalties are not detailed in the explanatory statement, it is generally understood that non-compliance with pharmaceutical regulations can lead to substantial fines, product recalls, or even criminal charges in severe cases. For instance, if a pharmaceutical company fails to comply with the declared forms or brands for their products, they may face penalties that could include fines or legal action. Similarly, medical practitioners who issue prescriptions that do not adhere to the stipulated parameters could face disciplinary actions from their professional boards, fines, or other legal repercussions. The exact penalties would depend on the nature and severity of the breach, as well as any applicable laws or regulations.

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