National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (August Update) Instrument 2022

Administered by Department of Health, Disability and Ageing

Legislation au F2022L01019 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

NATIONAL HEALTH ACT 1953

NATIONAL HEALTH (HIGHLY SPECIALISED DRUGS PROGRAM)
SPECIAL ARRANGEMENT AMENDMENT (AUGUST UPDATE) INSTRUMENT 2022

PB 70 of 2022

 

Purpose

This is the National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (August Update) Instrument 2022 (PB 70 of 2022) (this Instrument).  The purpose of this Instrument, made under subsection 100(2) of the National Health Act 1953 (the Act), is to amend the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 (PB 27 of 2021) (the Special Arrangement), to make changes to the Special Arrangement relating to the Highly Specialised Drugs (HSD) Program.

The amendments made by this Instrument reflect amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 (PB 71 of 2012), which commence on the same day.  The National Health (Listing of Pharmaceutical Benefits) Instrument 2012 (PB 71 of 2012) is made under sections 84AF, 84AK, 85, 85A, 88 and 101 of the Act.

Schedule 1 to this Instrument provides for the alteration of circumstances in which a prescription may be written for the supply of the listed drugs nusinersen, and risdiplam under the Special Arrangement.

This change is summarised, by subject matter, in the Attachment.

Authority

Subsection 100(1) of 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).

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.  In addition, an industry nominee has been appointed to the PBAC membership.  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.  This includes consultation through the PBAC process.

Further consultation for this Instrument was considered unnecessary due to the nature of the consultation that has already taken place in the decision to list the medications outlined under ‘Purpose’.

Details of this Instrument are set out in the Attachment.

This Instrument commences on 1 August 2022.

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


ATTACHMENT

DETAILS OF THE NATIONAL HEALTH (HIGHLY SPECIALISED DRUGS PROGRAM) SPECIAL ARRANGEMENT AMENDMENT (AUGUST UPDATE) INSTRUMENT 2022

Section 1 Name of Instrument

This section provides the name of this Instrument as the National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (August Update) Instrument 2022 and may also be cited as PB 70 of 2022.

Section 2 Commencement

This section provides that this Instrument commences on 1 August 2022.

Section 3 Authority

This section states that this instrument is made under subsection 100(2) of the National Health Act 1953.

Section 4 Schedules

Section 4 provides that each instrument that is specified in a Schedule to the Instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to the Instrument has effect according to its terms.

Schedule 1 Amendments

The amendments in Schedule 1 involve the alteration of circumstances for prescribing various listed drugs available under the Special Arrangement. This change is summarised below.

SUMMARY OF CHANGES TO THE HIGHLY SPECIALISED
DRUGS PROGRAM MADE BY THIS INSTRUMENT

Alteration of Circumstances in Which a Prescription May be Written

Listed Drug

Nusinersen

Risdiplam

Diagnostic tools referenced in the Instrument

The following standard medical diagnostic tools are referenced in the Instrument but are not intended to incorporate a document by reference.

Listed Drug

Diagnostic tool

Purpose and use in the Instrument

Reason this reference does not serve to incorporate a document

Nusinersen

Revised Upper Limb Module

To measure patient motor functioning (physical movement abilities) in any assessment of whether the drug is providing the patient with a clinically meaningful response to treatment.

The PBS restriction requires use of standardised measures of patient motor function in assessing whether their treatment has resulted in a clinically meaningful response, but only where it is practical to do so.  Such measures are not limited to this particular instrument. Therefore the reference does not serve to incorporate a document.

Nusinersen

Hammersmith Functional Motor Scale – Expanded

To measure patient motor functioning (physical movement abilities) in any assessment of whether the drug is providing the patient with a clinically meaningful response to treatment.

The PBS restriction requires use of standardised measures of patient motor function in assessing whether their treatment has resulted in a clinically meaningful response, but only where it is practical to do so.  Such measures are not limited to this particular instrument. Therefore the reference does not serve to incorporate a document.

Nusinersen

Six Minute Walk Test (6MWT)

To measure patient motor functioning (physical movement abilities) in any assessment of whether the drug is providing the patient with a clinically meaningful response to treatment.

The PBS restriction requires use of standardised measures of patient motor function in assessing whether their treatment has resulted in a clinically meaningful response, but only where it is practical to do so.  Such measures are not limited to this particular instrument. Therefore the reference does not serve to incorporate a document.

Nusinersen

Spinal Muscular Atrophy Health Index (SMA-HI)

The Spinal Muscular Atrophy Health Index (SMAHI) is a patient questionnaire designed to estimate the patient’s personal view on their disease burden.

The PBS restriction suggests that this instrument be used, but does not mandate it. Therefore the reference does not serve to incorporate a document.

Nusinersen

Spinal Muscular Atrophy Functional Rating Scale (SMA-FRS)

The SMA Functional Rating Scale (SMA-FRS) is a bedside diagnostic tool to measure physical abilities in adult patients with SMA type 2 and 3.

The PBS restriction suggests that this instrument be used, but does not mandate it. Therefore the reference does not serve to incorporate a document.

 


Statement of Compatibility with Human Rights

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

National Health (Highly Specialised Drugs Program)
Special Arrangement Amendment (August Update) Instrument 2022

(PB 70 of 2022)

This Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Overview of the Instrument

The purpose of this Instrument, made under subsection 100(2) of the National Health Act 1953 (the Act), is to amend the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 (PB 27 of 2021) (the Special Arrangement), to make changes to the Special Arrangement relating to the Highly Specialised Drugs Program.

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 specialised treatment.

Human Rights Implications

This Instrument engages Articles 9 and 12 of the International Covenant on Economic Social and Cultural Rights (ICESCR), specifically the rights to social security and health.

The Right to Social Security

The right to social security is contained in Article 9 of the ICESCR. It requires that a country must, within its maximum available resources, ensure access to a social security scheme that provides a minimum essential level of benefits to all individuals and families that will enable them to acquire at least essential health care. Countries are obliged to demonstrate that every effort has been made to use all resources that are at their disposal in an effort to satisfy, as a matter of priority, this minimum obligation.

The UN Committee on Economic Social and Cultural Rights reports that there is a strong presumption that retrogressive measures taken in relation to the right to social security are prohibited under ICESCR. In this context, a retrogressive measure would be one taken without adequate justification that had the effect of reducing existing levels of social security benefits, or of denying benefits to persons or groups previously entitled to them. However, it is legitimate for a Government to re-direct its limited resources in ways that it considers to be more effective at meeting the general health needs of all society, particularly the needs of the more disadvantaged members of society.

The Right to Health

The right to the enjoyment of the highest attainable standard of physical and mental health is contained in Article 12(1) of the ICESCR. The UN Committee on Economic Social and Cultural Rights (the Committee) has stated that the right to health is not a right for each individual to be healthy, but is a right to a system of health protection which provides equality of opportunity for people to enjoy the highest attainable level of health.

The Committee reports that the ‘highest attainable standard of health’ takes into account the country’s available resources. This right may be understood as a right of access to a variety of public health and health care facilities, goods, services, programs, and conditions necessary for the realisation of the highest attainable standard of health.


Analysis

This Instrument advances the right to health and the right to social security by ensuring that the amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 (the Listing Instrument), that affect the pharmaceutical benefits that may be supplied under the Special Arrangement, are made concurrently. 

The Listing Instrument determines the pharmaceutical benefits that are on the Pharmaceutical Benefits Scheme (PBS) through declarations of drugs and medicinal preparations, and determinations of forms, manners of administration and brands. The PBS is a benefit scheme which assists with advancement of these human rights by providing for subsidised access by patients to medicines. The recommendatory role of the Pharmaceutical Benefits Advisory Committee (PBAC) ensures that decisions about subsidised access to medicines on the PBS are evidence-based.

Conclusion

This Instrument is compatible with human rights because it advances the protection of human rights.

 

 

Nikolai Tsyganov

Assistant Secretary (Acting)

Pricing and PBS Policy Branch

Technology Assessment and Access Division

Department of Health and Aged Care

 

Overview

The National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (August Update) Instrument 2022, also referred to as PB 70 of 2022, was enacted to amend the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 (PB 27 of 2021) concerning the Highly Specialised Drugs Program. This instrument was created under subsection 100(2) of the National Health Act 1953, which allows the Minister to make special arrangements for the supply of pharmaceutical benefits. The objective of the instrument is to ensure that the amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 are made concurrently, facilitating evidence-based decisions about subsidised access to medicines through the Pharmaceutical Benefits Scheme (PBS). This is achieved by involving the Pharmaceutical Benefits Advisory Committee (PBAC), 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. The instrument is compatible with human rights, as it advances the right to health and the right to social security by ensuring that the amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, which affect the pharmaceutical benefits that may be supplied under the Special Arrangement, are made concurrently. The PBS is a benefit scheme that assists in the advancement of these human rights by providing subsidised access by patients to medicines.

Scope and Application

The National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (August Update) Instrument 2022 applies to entities and individuals involved in the supply and prescription of pharmaceutical benefits under the Highly Specialised Drugs Program (HSD Program), specifically for the drugs nusinersen and risdiplam. The Instrument is an amendment to the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 and is made under subsection 100(2) of the National Health Act 1953. This legislation operates nationally across Australia and is consistent with the amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, reflecting the Pharmaceutical Benefits Scheme's updates. The Instrument specifies the diagnostic tools to be used in assessing the efficacy of the drugs in question, but does not incorporate these documents by reference. The amendments commenced on 1 August 2022 and are part of a legislative instrument as defined by the Legislation Act 2003. There are no exclusions, exemptions, or specific thresholds outlined within the Instrument itself, but it is subject to the broader provisions of the National Health Act and related instruments.

Key Provisions

The main operative sections of the National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (August Update) Instrument 2022 (PB 70 of 2022) involve the alteration of circumstances in which prescriptions for listed drugs may be written under the Special Arrangement. This Instrument amends the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 (PB 27 of 2021), specifically in relation to the Highly Specialised Drugs Program. It updates the circumstances for prescribing drugs such as nusinersen and risdiplam and specifies the diagnostic tools that may be used in assessments of patient response to treatment. These changes are reflected in Schedule 1 of the Instrument, which outlines the amendments to the Special Arrangement. The Act imposes several obligations on the parties and entities it governs. Firstly, it requires the Minister for Health to make special arrangements for the supply of pharmaceutical benefits under subsection 100(1) of the National Health Act 1953 (the Act). The Minister also has the authority to vary or revoke these special arrangements under subsection 100(2). Furthermore, the Act mandates that Part VII of the Act, and any instruments made for the purposes of Part VII, have effect subject to the special arrangements made under subsection 100(1). Additionally, the Pharmaceutical Benefits Advisory Committee (PBAC) plays a crucial role by making recommendations to the Minister about which drugs should be available as pharmaceutical benefits, thereby ensuring that decisions about subsidised access to medicines on the Pharmaceutical Benefits Scheme (PBS) are evidence-based. The Instrument includes provisions for offences, penalties, and consequences for breaches. However, the specific details regarding the offences, penalties, or consequences for breaching the Act or its associated instruments are not explicitly stated in the text provided. Typically, breaches of provisions under the National Health Act 1953 could result in civil or criminal penalties, including fines and imprisonment, depending on the nature and severity of the breach. The maximum penalties would be determined by the specific section of the Act or related legislation that has been breached. This Instrument ensures that the amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 (the Listing Instrument) are made concurrently with the changes to the Special Arrangement. The Listing Instrument determines the pharmaceutical benefits that are on the Pharmaceutical Benefits Scheme (PBS) through declarations of drugs and medicinal preparations, and determinations of forms, manners of administration, and brands. The PBS is a benefit scheme that assists in advancing human rights by providing subsidised access by patients to medicines. The recommendatory role of PBAC ensures that decisions about subsidised access to medicines on the PBS are evidence-based, thereby promoting equality of opportunity for people to enjoy the highest attainable level of health.

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