National Health (Highly specialised drugs program for hospitals) Special Arrangement Amendment Instrument 2014 (No. 1) (No. PB 4 of 2014)

Administered by Department of Health, Disability and Ageing

Legislation au F2014L00098 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 2014 (No. 1)

 

PB 4 of 2014

 

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 amendment made by this instrument reflects changes to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, which commence on the same day.

This instrument replaces the circumstance codes and re-models the restriction text for all brands and forms of the drug Pamidronic Acid.

 

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 February 2014.

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 2014 (No.1)

 

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 2014 (No.1) and that it may also be cited as PB 4 of 2014.

Section 2 Commencement

This section provides that this instrument commences on 1 February 2014.

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 1-6 Schedule 1, entry for Pamidronic Acid (all brands and forms)

These items replace and insert the new circumstance codes to reflect remodelling to the restriction text for the drug Pamidronic Acid (all brands and forms).

 

Item 7 Schedule 3, entry for Pamidronic Acid (all brands and forms)

This item updates all circumstance codes to reflect remodelling of the restriction text for the drug Pamidronic Acid for all listed brands and forms of the drug.


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overview

The National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement Amendment Instrument 2014 (No. 1) was enacted to amend the National Health (Highly specialised drugs program for hospitals) Special Arrangement 2010, specifically updating the special arrangement related to the highly specialised drugs program for hospitals. The National Health Act 1953 empowers the Minister to make such special arrangements for the supply of pharmaceutical benefits, and this amendment instrument was made under the authority of subsections 100(1) and 100(2) of the Act. The policy objective of this amendment is to ensure that the highly specialised drugs program for hospitals remains aligned with current clinical and cost-effectiveness standards, as recommended by the Pharmaceutical Benefits Advisory Committee (PBAC). The changes made by this instrument reflect updates to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, specifically addressing the circumstance codes and restriction text for all brands and forms of the drug Pamidronic Acid, ensuring that the program remains effective and up-to-date.

Scope and Application

The National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement Amendment Instrument 2014 (No. 1) amends the National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement 2010. This legislation applies to the supply of highly specialised pharmaceutical benefits, specifically for the treatment of chronic conditions requiring specialised facilities, to patients receiving treatment in public or private hospitals. The amendment relates to the drug Pamidronic Acid, updating the circumstance codes and the restriction text to reflect changes in the National Health (Listing of Pharmaceutical Benefits) Instrument 2012. This amendment ensures alignment with the updated pharmaceutical benefits listing, which is effective from the same date as the instrument's commencement. The instrument is applicable nationally, given its basis in the Commonwealth's National Health Act 1953, and does not specify exclusions or thresholds within the amendment itself. However, the overarching Act may include provisions for exclusions or exemptions which would apply in general terms. The instrument is a legislative instrument under the Legislative Instruments Act 2003 and commenced on 1 February 2014.

Key Provisions

The National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement Amendment Instrument 2014 (No. 1) amends the National Health (Highly Specialised Drugs Program for Hospitals) Special Arrangement 2010. The primary sections affected are those that relate to the supply of highly specialised drugs to hospitals under the National Health Act 1953. Specifically, the instrument updates the listing for the drug Pamidronic Acid (section 3(3) of Schedule 1). It replaces the existing circumstance codes and revises the restriction text for all brands and forms of Pamidronic Acid, aligning them with changes in the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 (section 3(7) of Schedule 1). The Act imposes several obligations on the parties involved in the highly specialised drugs program for hospitals. Firstly, the Minister is required to make special arrangements for the supply of pharmaceutical benefits under section 100(1) of the Act. These special arrangements must reflect changes to the National Health (Listing of Pharmaceutical Benefits) Instrument, as seen in the amendment of Pamidronic Acid listings. Secondly, the Pharmaceutical Benefits Advisory Committee (PBAC) plays a crucial role in recommending changes to the special arrangement, ensuring that the drugs listed are clinically effective, safe, and cost-effective. The Act mandates that PBAC includes representatives from various healthcare-related fields, as outlined in section 100A. Pharmaceutical companies must also engage in consultations with PBAC and agree to the final listing details before the changes are implemented. The Act does not explicitly outline specific offences or penalties for breaches related to this special arrangement. However, non-compliance with the special arrangements or failure to adhere to the recommendations of PBAC could potentially lead to administrative actions or legal challenges. Given the nature of the Act and its focus on public health, any significant non-compliance might result in corrective measures, such as adjustments to funding or changes in drug supply arrangements, although formal penalties are not detailed within the legislative text. It is also important to note that the legislative instrument is subject to the oversight and enforcement mechanisms outlined in the Legislative Instruments Act 2003.

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