National Health Act 1953 - Amendment special arrangements under subsection 100(1) - Highly Specialised Drugs Program (No. PB 46 of 2008)

Administered by Department of Health, Disability and Ageing

Legislation au F2008L01036 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

INSTRUMENT NUMBER PB 46 of 2008

NATIONAL HEALTH ACT 1953

AMENDMENT SPECIAL ARRANGEMENTS UNDER SUBSECTION 100(1)

HIGHLY SPECIALISED DRUGS PROGRAM

 

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 (with the exception of some medicinal preparations with additives) declared by the Minister by legislative instrument to be so under subsection 85(2). These are listed drugs as defined in subsection 84(1).

Subsection 100(1) of the Act provides that the Minister may make special arrangements for providing that an adequate supply of special pharmaceutical products will be available to persons:                

(a) who are living in isolated areas; or

(b) who are receiving medical treatment in such circumstances that pharmaceutical benefits: 

(i) cannot be conveniently or efficiently supplied in accordance with Part VII of the Act; or

(ii) are inadequate for that medical treatment.

Subsection 100(2) of the Act provides that the Minister may vary or revoke a special arrangement made under subsection 100(1).

Subsection 100(3) provides that Part VII of the Act has effect subject to a special arrangement made under subsection 100(1).

The declaration made under subsection 85(2) of the Act sets out the drugs and medicinal preparations to which Part VII of the Act applies and the restrictions, if any, that apply to the prescribing of such drugs and medicinal preparations as pharmaceutical benefits. Schedule 6 of the declaration under subsection 85(2) lists those drugs and medicinal preparations that may be made available under arrangements provided for by section 100 of the Act.

The Highly Specialised Drugs Program is a set of Arrangements made under subparagraph 100(b)(i) of the Act for the purpose of providing that an adequate supply of special pharmaceutical products will be available to persons who are receiving treatment with highly specialised drugs at private hospitals as non-admitted patients, day admitted patients or patients on discharge.

This legislative instrument amends the Arrangements made under subparagraph 100(b)(i) (PB 92 of 2007) which came into effect on 1 December 2007.  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 May 2008, was made on 2 April 2008.

Consultations

The Pharmaceutical Benefits Advisory Committee (PBAC) is the independent expert body, established by section 100A of the Act, which makes recommendations to the Minister for Health and Ageing about which drugs and medicinal preparations should be available as pharmaceutical benefits.  Under subsection 101(4) of the Act, a drug or medicinal preparation may not be declared to be a drug or medicinal preparation to which Part VII of the Act applies unless the PBAC has recommended that it be so declared.  When recommending a medicine be listed 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.

PBAC members are selected 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.

The Commonwealth/State Highly Specialised Drugs Working Party (HSDWP) is a non-statutory body established by the Australian Health Ministers Advisory Council (AHMAC).  The HSDWP makes recommendations to the PBAC on the suitability of certain drugs for listing under the Highly Specialised Drugs Program.  The HSDWP considers the funding and administrative aspects of supply through the hospital system, and a recommendation for listing must be supported by a majority of Working Party members.  The HSDWP consists of representatives from State and Territory Health Departments and the Australian Private Hospitals Association, and is chaired by a representative of the Commonwealth Department of Health and Ageing.

 


ATTACHMENT

Paragraph 1:  provides that this instrument commences on 1 May 2008.

Paragraph 2:  provides that Schedule 1 amends PB 92 of 2007.

Schedule 1: provides for the following amendment: 

 

SCHEDULE 2

Addition of Form

Epoetin Alfa

Injection 30,000 units in 0.75 mL pre-filled syringe

 

 

 

 

Overview

The National Health Act 1953, enacted by the Parliament of Australia, establishes the Pharmaceutical Benefits Scheme (PBS) to ensure reliable, timely, and affordable access to medicines for all Australians. To address specific needs, the Act allows the Minister to make special arrangements under subsection 100(1) to ensure adequate supply of special pharmaceutical products for individuals in isolated areas or receiving medical treatments where conventional PBS provisions are inadequate. The Highly Specialised Drugs Program, introduced under these arrangements, aims to provide an adequate supply of highly specialised drugs for patients in private hospitals, whether as non-admitted, day admitted, or discharge patients. The 2008 amendment to the arrangements, implemented via legislative instrument PB 46 of 2008, was designed to update and refine the program, ensuring it meets contemporary healthcare needs effectively. This amendment came into effect on 1 May 2008, following recommendations from the Pharmaceutical Benefits Advisory Committee and the Commonwealth/State Highly Specialised Drugs Working Party, reflecting a commitment to balancing clinical effectiveness, safety, cost-effectiveness, and administrative feasibility.

Scope and Application

The National Health Act 1953, as amended by the legislative instrument F2008L01036, establishes the framework for the Pharmaceutical Benefits Scheme (PBS) under which the Commonwealth ensures that all Australians have reliable, timely, and affordable access to a broad range of medicines. The Act applies to drugs and medicinal preparations declared by the Minister, which are listed in Schedule 6 of the Act. The Highly Specialised Drugs Program, a subset of the arrangements under subsection 100(1) of the Act, specifically provides for the supply of special pharmaceutical products to individuals receiving medical treatment in circumstances where conventional PBS provisions are inadequate. This includes non-admitted patients, day admitted patients, and patients on discharge in private hospitals. The Program was established to ensure an adequate supply of highly specialised drugs to these patients, and the amendments detailed in the instrument concern the availability of Epoetin Alfa Injection 30,000 units in 0.75 mL pre-filled syringe. The instrument, which commenced on 1 May 2008, amends the previous arrangement (PB 92 of 2007) to incorporate these changes, thereby extending the reach and application of the Highly Specialised Drugs Program within the legislative framework of the National Health Act.

Key Provisions

The main operative sections of this legislation are subsections 100(1) and 100(3) of the National Health Act 1953, which provide the Minister with the authority to make special arrangements for the supply of highly specialised drugs to patients in certain circumstances, and ensure that these arrangements take precedence over the general provisions of the Act. This instrument amends the arrangements made under subsection 100(1)(b)(i) (PB 92 of 2007), which came into effect on 1 December 2007, to include the addition of Epoetin Alfa Injection 30,000 units in 0.75 mL pre-filled syringe, as listed in Schedule 2 of the instrument. The Act imposes several obligations on the parties involved. The Minister for Health and Ageing must consult with the Pharmaceutical Benefits Advisory Committee (PBAC) before making any recommendations for drugs to be included in the Highly Specialised Drugs Program. The PBAC, in turn, must consider 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 before making any recommendations. The Commonwealth/State Highly Specialised Drugs Working Party (HSDWP) is also involved in the process, providing recommendations to the PBAC on the suitability of certain drugs for listing under the Program. The HSDWP must consider the funding and administrative aspects of supply through the hospital system, and any recommendation for listing must be supported by a majority of Working Party members. There are no explicit offences, penalties, or civil/criminal consequences for breach mentioned in this legislation. However, failure to adhere to the recommendations and processes outlined in the Act may result in the Minister for Health and Ageing not approving a drug for inclusion in the Highly Specialised Drugs Program. Additionally, non-compliance with the Act and its associated regulations could lead to potential legal consequences, such as litigation or disciplinary actions against healthcare providers or pharmaceutical companies. It is important to note that the maximum penalties for breaches of the National Health Act 1953 may vary depending on the specific offence and jurisdiction, and should be referred to in the relevant legislation and legal resources.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.