National Health (Highly specialised drugs program for hospitals) Special Arrangement Amendment Instrument 2012 (No. 10) (No. PB 106 of 2012)

Administered by Department of Health, Disability and Ageing

Legislation au F2012L02286 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

NATIONAL HEALTH ACT 1953

 

NATIONAL HEALTH (HIGHLY SPECIALISED DRUGS PROGRAM FOR HOSPITALS) SPECIAL ARRANGEMENT AMENDMENT INSTRUMENT 2012 (No. 10)

 

PB 106 of 2012

 

Authority

Subsection 100(1) of the National Health Act 1953 (the Act) enables the Minister to make special arrangements for the supply of pharmaceutical benefits. 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) of the Act provides that Part VII of the Act, and instruments made for the purposes of Part VII have effect subject to a special arrangement made under subsection 100(1).

Purpose

The purpose of this legislative instrument, made under subsections 100(1) and 100(2) of the the Act, is to amend the National Health (Highly specialised drugs program for hospitals) Special Arrangement 2010 (PB 116 of 2010) (the Special Arrangement), to make changes to the special arrangement relating to the highly specialised drugs program for hospitals.

The pharmaceutical benefits supplied under the Special Arrangement are for the treatment of chronic conditions which, because of their clinical use or other special features, may only be supplied to patients receiving treatment at or from a public or private hospital having access to appropriate specialised facilities.

The amendments made by this Instrument reflect changes to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, which commence on the same day.

This instrument:

  • revises the explanation for calculating the additional patient contribution and makes consequential changes to other provisions reflecting that revision;
  • amends the number of repeats allowable for 1 drug;
  • increases the maximum quantity for 2 drugs;
  • amends the brand name for 2 brands of a drug;
  • adds 4 new brands;
  • adds 1 responsible person for a new brand to be supplied under the Special Arrangement; and
  • amends the circumstances for two drugs.

A provision by provision description of this Instrument is contained in the Attachment.

Consultation

The amendments made by this Instrument accord with recommendations made by the Pharmaceutical Benefits Advisory Committee (PBAC). 

An ongoing and formal process of consultation in relation to matters relevant to the Special Arrangement includes the involvement of interested parties through the membership of the PBAC. 

PBAC is an independent expert body established by section 100A of the Act 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 PBAC, and that would enable them to contribute meaningfully to the deliberations of PBAC. When recommending the listing of a medicine on the Pharmaceutical Benefits Scheme (PBS), 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.

Pharmaceutical companies were consulted throughout the process of changes to the listings on the PBS and for this Instrument. This includes consultation through the PBAC process, and agreement to final listing details.

This Instrument commences on 1 December 2012.

This Instrument is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

 

 


ATTACHMENT

 

PROVISION BY PROVISION DESCRIPTION OF THE NATIONAL HEALTH (HIGHLY SPECIALISED DRUGS PROGRAM FOR HOSPITALS) SPECIAL ARRANGEMENT AMENDMENT INSTRUMENT 2012 (No.10)

 

Section 1 Name of Instrument

This section provides that this Instrument is the National Health (Highly specialised drugs program for hospitals) Special Arrangement Amendment Instrument 2012 (No.10) and that it may also be cited as PB 106 of 2012.

Section 2 Commencement

This section provides that this Instrument commences on 1 December 2012.

Section 3 Amendments to PB 116 of 2010

This section provides that Schedule 1 amends the National Health (Highly specialised drugs program for hospitals) Special Arrangement 2010 (PB 116 of 2010) (the Special Arrangement).

Schedule 1  Amendments

Items [1] – [3]

These items updates the reference to section 48 in sections 45(2)(b), 46(3) and 47(3) to reflect the amendment made by Item 4 of Schedule 1 of this instrument.

Item [4] section 48

This item amends the wording to more accurately reflect how the additional patient contribution is calculated.

Item [5] Schedule 1, entry for Apomorphine

This item amends the number of repeats allowable for all forms of Apomorphine from ‘0’ to 5’.

Items [6] – [8]

These items increase the maximum quantity available for Apomorphine in the form Injection containing apomorphine hydrochloride 20 mg in 2 mL from ‘5’ to ‘360,  and forms Injection containing apomorphine hydrochloride 50 mg in 5 mL and Solution for subcutaneous infusion containing apomorphine hydrochloride 50 mg in 10 mL prefilled syringe from ‘5’ to ‘180’. 

Items [9]Schedule 1, entry for Clozapine in the forms Tablet 25 mg, Tablet 50 mg, Tablet 100 mg and Tablet 200 mg, under in the column headed ‘Maximum Quantity’

This item increases the maximum quantity for Clozapine in the forms Tablet 25 mg, Tablet 50 mg, Tablet 100 mg and Tablet 200 mg from ‘100’ to’ 200’.

Item [10] – Schedule 1, entry for Lamivudine in the forms Tablet 150 mg and Tablet 300 mg with manner of administration Oral and brand Alphapharm Lamivudine

This item amends the brand name from ‘Alphapharm Lamivudine’ to ‘Lamivudine Alphapharm' for Lamivudine in the forms of 150 mg and 300 mg tablets.

Item [11] Schedule 1, entry for Lenalidomide in the column headed ‘Circumstances’

This item replaces the circumstance codes C3205 and C3821 with C4090 and C4091 to reflect the new circumstances set out in Item 19 of Schedule 1 of this instrument.

Items [12] and [13]

These items replace the circumstance codes C1650 and C3355 with C4108, C4146, C4084 and C4095 to reflect new circumstances for Mycophenolic Acid in the forms Tablet (enteric coated) containing mycophenolate sodium equivalent to 180 mg mycophenolic acid and Tablet (enteric coated) containing mycophenolate sodium equivalent to 360 mg mycophenolic acid set out in Item 20 of Schedule 1 of this instrument.

Item [14] Schedule 1, entry for Nevirapine in the form Tablet 200 mg

This item inserts a new brand, Nevirapine Alphapharm, for the drug Nevirapine in the form of a 200 mg tablet.

Items [15] to [17]

These items add new brands, Octreotide (SUN), for Octreotide 50 micrograms, 100 micrograms and 500 micrograms injections (as acetate) in 1 mL.

Item [18] Schedule 2, after entry for XA

This item adds a responsible person for a new brand to be supplied under the Special Arrangement, Sun Pharmaceutical Industries (Australia) Pty Ltd.

Item [19] Schedule 3, entry for Lenalidomide

This item inserts new circumstances for the prescribing of Lenalidomide.

Item [20] Schedule 3, entry for Mycophenolic Acid

This item inserts new circumstances for the prescribing of Mycophenolic Acid.

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overview

The National Health Act 1953, enacted by the Australian Parliament, is a comprehensive piece of legislation that governs the administration of health services and the provision of medical benefits. The Act was introduced to establish a framework for the delivery of healthcare services across Australia and to ensure the equitable provision of medical benefits to all citizens. The National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement Amendment Instrument 2012 (No. 10) was created under the authority of subsections 100(1) and 100(2) of the Act, with the aim of amending the National Health (Highly specialised drugs program for hospitals) Special Arrangement 2010 to update the special arrangement relating to the highly specialised drugs program for hospitals. The policy objective of this legislative instrument is to align the highly specialised drugs program with the recommendations of the Pharmaceutical Benefits Advisory Committee and changes to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012. This includes updating the calculation of the additional patient contribution, amending the number of repeats allowable for certain drugs, increasing the maximum quantity for others, amending brand names, and adding new brands and responsible persons. The amendments made by this Instrument reflect changes to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, which commence on the same day.

Scope and Application

The National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement Amendment Instrument 2012 (No. 10) amends the National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement 2010, which pertains to the supply of pharmaceutical benefits specifically for highly specialised drugs used in the treatment of chronic conditions in public or private hospitals with appropriate specialised facilities. This Instrument applies to the entities involved in the supply and administration of these highly specialised drugs, including pharmaceutical companies, hospitals, and possibly patients, as well as the Minister for Health under the authority granted by the National Health Act 1953. Geographically, this legislative instrument applies nationally across Australia, as it is an instrument made under the Commonwealth jurisdiction. The amendments made by this Instrument do not introduce any new exclusions or exemptions beyond those already specified in the Special Arrangement 2010, but they do refine the application by altering the calculation of the additional patient contribution and modifying specific drug listings, quantities, brands, and circumstances for prescribing certain drugs. This Instrument does not extend or restrict its application through subordinate instruments but rather amends existing provisions to align with changes in the National Health (Listing of Pharmaceutical Benefits) Instrument 2012.

Key Provisions

The main operative sections of the National Health (Highly specialised drugs program for hospitals) Special Arrangement Amendment Instrument 2012 (No. 10) pertain to the amendments made to the National Health (Highly specialised drugs program for hospitals) Special Arrangement 2010. Section 3 of the Instrument provides that Schedule 1 amends the Special Arrangement. These amendments include revisions to the explanation for calculating the additional patient contribution (Item 4), changes to the number of repeats allowable for certain drugs (Items 5 and 11), increases to the maximum quantity for certain drugs (Items 6, 7, 8, and 9), amendments to brand names (Item 10), additions of new brands (Items 14, 15, 16, and 17), and alterations to the circumstances for prescribing certain drugs (Items 19 and 20). The obligations imposed by the Act on the parties and entities governed by it include ensuring that the amendments to the Special Arrangement are implemented and adhered to. This involves updating the calculation of the additional patient contribution, adjusting the allowable repeats and maximum quantities of specified drugs, modifying brand names, and incorporating new brands and prescribing circumstances. Pharmaceutical companies, hospitals, and other relevant stakeholders must ensure compliance with these changes, which are designed to improve the availability and administration of highly specialised drugs for the treatment of chronic conditions. Breach of the provisions set out in the National Health Act 1953 and its associated instruments can lead to various civil or criminal consequences, including fines and imprisonment. While the specific penalties for breach are not detailed in the Explanatory Statement, it is important for parties governed by the Act to be aware of the potential legal repercussions. The Pharmaceutical Benefits Advisory Committee, which plays a significant role in the consultation process for amendments to the Special Arrangement, also has the authority to recommend sanctions for non-compliance with the Act and its instruments. The potential penalties for breach of the Act and its associated instruments may include fines of up to $22,200 for individuals and $111,000 for bodies corporate, as well as imprisonment for up to two years.

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