National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (June Update) Instrument 2023

Administered by Department of Health, Disability and Ageing

Legislation au F2023L00653 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

NATIONAL HEALTH ACT 1953

NATIONAL HEALTH (HIGHLY SPECIALISED DRUGS PROGRAM)
SPECIAL ARRANGEMENT AMENDMENT (JUNE UPDATE) INSTRUMENT 2023

PB 46 of 2023

 

Purpose

This is the National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (June Update) Instrument 2023 (PB 46 of 2023) (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 addition of a brand for the listed drugs ambrisentan, lenalidomide, and tenofovir with emtricitabine, the deletion of brands for the listed drug azacitidine, and the alteration of circumstances in which a prescription may be written for the listed drugs abatacept, adalimumab, etanercept, infliximab, and selinexor.

These changes are 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 June 2023.

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 (JUNE UPDATE) INSTRUMENT 2023

Section 1 Name of Instrument

This section provides the name of this Instrument as the National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (June Update) Instrument 2023 and may also be cited as PB 46 of 2023.

Section 2 Commencement

This section provides that this Instrument commences on 1 June 2023.

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 addition and deletion of brands of listed drugs and the alteration of circumstances in which a prescription may be written for various listed drugs available under the Special Arrangment. These changes are summarised below.

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

Brands Added

Listed Drug

Form

Ambrisentan

Tablet 5 mg (Ambrisentan Viatris)

Lenalidomide

Capsule 5 mg (Lenalidomide Viatris)

Capsule 10 mg (Lenalidomide Viatris)

Capsule 15 mg (Lenalidomide Viatris)

Capsule 25 mg (Lenalidomide Viatris)

Tenofovir with emtricitabine

Tablet containing tenofovir disoproxil maleate 300 mg with emtricitabine 200 mg (Tenofovir Disoproxil Emtricitabine Viatris 300/200)

Brands Deleted

Listed Drug

Form

Azacitidine

Powder for injection 100 mg (AZACITIDINE DR.REDDY’S; Azadine)

Alteration of Circumstances in Which a Prescription May be Written

Listed Drug

 

Abatacept

 

Adalimumab

 

Etanercept

 

Infliximab

 

Selinexor

 


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 (June Update) Instrument 2023

(PB 46 of 2023)

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. This Instrument provides for the addition of a brand for the listed drugs ambrisentan, lenalidomide, and tenofovir with emtricitabine and the deletion of brands for the listed drug azacitidine.

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.

Where there are many brands of a listed drug and form, then the delisting of one brand will not adversely affect members of the public as they will be able to obtain any of the other equivalent brands. The delisting of brands in this Instrument will not affect access to the drugs, as affected patients will be able to access equivalent brands, at the same cost. Consequently, the brand delistings in this instrument do not result in an unmet clinical need. Note that delisting of maximum quantities, number of repeats, and pack sizes are equivalent to brand delistings

Conclusion

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

Nikolai Tsyganov

Assistant Secretary

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 (June Update) Instrument 2023 (PB 46 of 2023) was enacted to amend the National Health (Highly Specialised Drugs Program) Special Arrangement 2021, addressing the need for adjustments to the Highly Specialised Drugs (HSD) Program. This legislative instrument, created under the authority of subsection 100(2) of the National Health Act 1953, aims to implement modifications to the Special Arrangement, reflecting changes to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012. These amendments, which include adding and deleting brands of listed drugs and altering prescription circumstances for certain drugs, are intended to ensure that the benefits supplied under the Special Arrangement align with current recommendations and standards, facilitating better access to necessary treatments. The enactment of this instrument by the Australian Government through the Department of Health and Aged Care underscores its commitment to maintaining a responsive and effective health care system. The National Health Act 1953, administered by the Parliament of Australia, provides the framework for this legislative update. The policy objective of the Instrument is to enhance the accessibility and management of highly specialised drugs, ensuring that patients with chronic conditions have continued access to necessary treatments under the Special Arrangement. This is achieved through adjustments to the Special Arrangement that reflect broader changes in the Pharmaceutical Benefits Scheme (PBS), ensuring that the benefits supplied under the Special Arrangement are current and effective. The amendments made by this Instrument are aligned with recommendations from the Pharmaceutical Benefits Advisory Committee, underscoring a consultative and evidence-based approach to health policy reform.

Scope and Application

The National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (June Update) Instrument 2023 applies to the Highly Specialised Drugs Program under the National Health Act 1953. This Instrument amends the National Health (Highly Specialised Drugs Program) Special Arrangement 2021, impacting the provision of pharmaceutical benefits for the treatment of chronic conditions requiring specialised treatment. The amendments reflect changes to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012, including the addition and deletion of brands of certain listed drugs and alterations to the circumstances in which prescriptions may be written for specific drugs. The Instrument is made under the authority provided by subsection 100(2) of the Act and is effective from 1 June 2023. The changes are designed to ensure that the pharmaceutical benefits supplied under the Special Arrangement align with recommendations made by the Pharmaceutical Benefits Advisory Committee, thereby maintaining the integrity and efficacy of the Highly Specialised Drugs Program. These changes do not affect the overall access to necessary medications as patients can access equivalent brands at the same cost, thereby preserving the intended benefits of the Program.

Key Provisions

The National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (June Update) Instrument 2023 (section 1) makes amendments to the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 (section 4). This Instrument introduces changes to the Highly Specialised Drugs Program by adding and deleting brands of certain listed drugs, and altering the circumstances under which prescriptions for certain listed drugs may be written (Schedule 1). Specifically, it adds brands for the drugs ambrisentan, lenalidomide, and tenofovir with emtricitabine, deletes brands for the drug azacitidine, and modifies prescription conditions for abatacept, adalimumab, etanercept, infliximab, and selinexor. The Act imposes obligations on the parties and entities it governs, particularly through the Special Arrangement and the Pharmaceutical Benefits Advisory Committee (PBAC). The Special Arrangement ensures that highly specialised drugs are supplied only to patients receiving specialised treatment for chronic conditions. The PBAC, an independent expert body established under the Act, provides recommendations on which drugs and medicinal preparations should be available as pharmaceutical benefits. Pharmaceutical companies are required to comply with the changes outlined in this Instrument, ensuring that the amendments to the listings on the Pharmaceutical Benefits Scheme (PBS) are implemented as specified. There are no specific offences, penalties, or civil/criminal consequences mentioned for breaches of this Instrument. However, any failure to comply with the changes in the Special Arrangement could potentially lead to legal actions under the National Health Act 1953, particularly if it affects the provision of pharmaceutical benefits to eligible patients. The amendments ensure that the Special Arrangement remains effective and up-to-date, aligning with the recommendations made by the PBAC and the changes to the Pharmaceutical Benefits listings. The Instrument also provides a Statement of Compatibility with Human Rights, confirming that it is compatible with the human rights and freedoms recognised or declared in the international instruments listed in the Human Rights (Parliamentary Scrutiny) Act 2011. It advances the right to social security and the right to health by ensuring access to essential health care and a system of health protection that provides equality of opportunity for people to enjoy the highest attainable level of health. The addition and deletion of brands of listed drugs, as well as the alteration of prescription conditions, are designed to ensure that patients have continued access to necessary treatments without adverse effects on their health.

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