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

Administered by Department of Health, Disability and Ageing

Legislation au F2023L01445 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

NATIONAL HEALTH ACT 1953

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

PB 107 of 2023

 

Purpose

This is the National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (November Update) Instrument 2023 (PB 107 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 deletion of a brand of the listed drug valganciclovir and the alteration of circumstances in which a prescription may be written for the listed drugs abatacept, infliximab, ravulizumab, teduglutide, and tocilizumab under the Special Arrangement.

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 November 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 (NOVEMBER 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 (November Update) Instrument 2023 and may also be cited as PB 107 of 2023.

Section 2 Commencement

This section provides that this Instrument commences on 1 November 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 deletion of a brand of a listed drug and the alteration of circumstances in which a prescription may be written for listed drugs available under the Special Arrangement. These changes are summarised below.

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

Brand Deleted

Listed Drug

Form and Brand

Valganciclovir

Tablet 450 mg (as hydrochloride) (Valganciclovir Mylan)

Alteration of Circumstances in Which a Prescription May be Written

Listed Drug

 

Abatacept

 

Infliximab

 

Ravulizumab

 

Teduglutide

 

Tocilizumab

 

Documents Incorporated by Reference

Listed Drug

Document incorporated

Document access

Ravulizumab

New York Heart Association (NYHA) classification

New York Heart Association (NYHA) classification. The document is incorporated as in force on the day this Instrument takes effect, pursuant to paragraph 14(1)(b) of the Legislation Act 2003.

The NYHA classification system is used to define the degree of heart failure.

The NYHA classification system is available for download for free from the Heart Foundation website (contained within the heart failure clinical guidelines): https://www.heartfoundation.org.au/Conditions/Heart-failure-clinical-guidelines

Abatacept

Infliximab

Tocilizumab

Ravulizumab

Therapeutic Goods Administration (TGA)-approved Product Information

Therapeutic Goods Administration (TGA)-approved Product Information. The document is incorporated as in force on the day this Instrument takes effect, pursuant to paragraph 14(1)(b) of the Legislation Act 2003.

This document provides health professionals with a summary of the scientific information relevant to the safe and effective use of a prescription medicine.

TGA-approved Product Information is available for download for free from the TGA website: https://www.tga.gov.au/product-information-0

 


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 (November Update) Instrument 2023

(PB 107 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 deletion of a brand of the listed drug valganciclovir.

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.

If 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 deletion 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.

Eden Simon
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 (November Update) Instrument 2023, also known as PB 107 of 2023, was enacted to amend the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 in response to updates made to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012. This amendment was introduced to ensure consistency and alignment between the Highly Specialised Drugs Program and the Pharmaceutical Benefits Scheme. The instrument was made under subsection 100(2) of the National Health Act 1953 by the Minister for Health and Aged Care, reflecting the need to make adjustments to the Special Arrangement for the supply of pharmaceutical benefits. The policy objective of this amendment is to reflect changes in the Pharmaceutical Benefits Scheme, ensuring that the Special Arrangement remains effective and responsive to updated clinical and economic considerations. The instrument aligns with recommendations made by the Pharmaceutical Benefits Advisory Committee (PBAC), an independent body that advises on which drugs should be available as pharmaceutical benefits. The amendments involve deleting a brand of the listed drug valganciclovir and altering the circumstances under which certain other drugs can be prescribed under the Special Arrangement. These changes are intended to maintain the integrity and effectiveness of the Highly Specialised Drugs Program while ensuring that patients have continued access to necessary medications. The amendments are compatible with human rights as they support the right to health and social security by providing access to essential medicines through the Pharmaceutical Benefits Scheme.

Scope and Application

The National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (November Update) Instrument 2023 amends the National Health (Highly Specialised Drugs Program) Special Arrangement 2021, which is made under the National Health Act 1953. This Act applies to the supply of pharmaceutical benefits in Australia and allows the Minister for Health to make special arrangements for these benefits. The Instrument specifically modifies the Highly Specialised Drugs Program by altering the circumstances under which certain drugs can be prescribed and by deleting a brand of valganciclovir. These changes are intended to reflect amendments to the National Health (Listing of Pharmaceutical Benefits) Instrument 2012. The Instrument applies nationally and is designed to ensure that the changes align with recommendations made by the Pharmaceutical Benefits Advisory Committee, which involves extensive consultation with interested parties and industry stakeholders. The changes made by this Instrument are effective from 1 November 2023, and any subordinate instruments may further specify the details of these amendments. The Act, through its provisions and subordinate instruments, sets out the framework for the supply of pharmaceutical benefits, ensuring they are aligned with national health objectives and standards.

Key Provisions

The National Health (Highly Specialised Drugs Program) Special Arrangement Amendment (November Update) Instrument 2023 (Instrument) amends the National Health (Highly Specialised Drugs Program) Special Arrangement 2021 (Special Arrangement) to update the Highly Specialised Drugs Program. Section 1 of the Instrument specifies the name and citation, while Section 2 sets the commencement date as 1 November 2023. Section 3 confirms the authority under subsection 100(2) of the National Health Act 1953 (Act), and Section 4 explains the amendment process, with detailed changes outlined in Schedule 1. The Instrument imposes obligations on the parties involved, particularly in relation to the administration and supply of pharmaceutical benefits under the Special Arrangement. It mandates the deletion of a specific brand of the listed drug valganciclovir and modifies the circumstances under which prescriptions can be written for the listed drugs abatacept, infliximab, ravulizumab, teduglutide, and tocilizumab. These changes are intended to ensure that the pharmaceutical benefits provided are appropriate and aligned with current medical guidelines and cost-effectiveness considerations. The Instrument also incorporates the New York Heart Association (NYHA) classification and Therapeutic Goods Administration (TGA)-approved Product Information as part of its amendments, thereby providing further guidance for health professionals on the use of these drugs. Failure to comply with the provisions of the Instrument may result in penalties. However, the Instrument itself does not explicitly state specific offences or penalties. Instead, penalties would likely be derived from the broader legislative framework of the National Health Act 1953 and any other relevant legislation. Non-compliance with the Act or any regulations made under it could potentially lead to enforcement actions, fines, or other legal consequences as prescribed by the Act. Overall, the Instrument aims to ensure that the Highly Specialised Drugs Program remains effective and responsive to changes in medical science and cost-effectiveness, thereby maintaining the integrity of the pharmaceutical benefits scheme and ensuring equitable access to necessary treatments for patients with chronic conditions.

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