National Health (Listing of Pharmaceutical Benefits) Amendment Instrument 2013 (No. 8) (No. PB 39 of 2013)

Administered by Department of Health, Disability and Ageing

Legislation au F2013L01096 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

NATIONAL HEALTH ACT 1953

NATIONAL HEALTH (LISTING OF PHARMACEUTICAL BENEFITS) AMENDMENT INSTRUMENT 2013 (No. 8)

PB 39 of 2013

Authority

This legislative instrument is made under sections 84AF, 84AK, 85, 85A, 88 and 99AEH of the National Health Act 1953 (the Act).

Purpose

This instrument amends the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 (PB 71 of 2012) to delist eight brands of pharmaceutical items from the Pharmaceutical Benefits Scheme (PBS) and related matters due to the inability of two responsible persons (drug companies) to comply with their guarantee of supply obligations under section 99AEB of the Act.

Paragraph 99AEH(2)(a) of the Act allows the Minister, by legislative instrument, to revoke a subsection 85(6) determination that a guaranteed brand of a guaranteed item is a listed brand where a responsible person for a guaranteed brand is unable to supply the guaranteed brand on one or more occasions. 

The Minister’s delegate, having had regard to matters set out in subsection 99AEH(3) of the Act, is delisting the Cavstat and Rosuvastatin GH brands of the listed drug rosuvastatin in each of the forms tablet 5 mg (as calcium); tablet 10 mg (as calcium); tablet 20 mg (as calcium); and tablet 40 mg (as calcium). These brands were first listed on 1 June 2013.

The delisting will not impact the availability of these strengths of rosuvastatin tablets to patients, as other substitutable brands are available on the PBS. The drug companies are able to apply to relist these brands on the PBS with appropriate assurances of continuity of supply.

Consequential to the delisting of the brands, determinations relating to those brands only are also revoked under sections 84AF (responsible person), 84AK (pack quantity), 85 (prescription circumstances), 85A (maximum quantity and number of repeats for particular purposes) and 88 (PBS prescriber).

Subsection 33(3) of the Acts Interpretation Act 1901 is relied upon for the consequential revocations.

Consultation

The companies responsible for the delisting brands gave notice to the Department on 3 June 2013 that they were unable to supply their products.  A letter was sent to the companies by the Department of Health and Ageing on 3 June 2013 indicating that consideration was being given to application of consequences under section 99AEH of the Act, and seeking further information to assist in making that decision.  Following receipt of responses from the companies a decision was made about delisting these brands.

 

This Instrument commences on 1 July 2013.

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

 

 

Statement of Compatibility with Human Rights

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

 

National Health (Listing of Pharmaceutical Benefits) Amendment Instrument 2013
(No. 8)

(PB 39 of 2013)

This Legislative 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 Legislative Instrument

The National Health (Listing of Pharmaceutical Benefits) Amendment Instrument 2013
(No. 8) amends the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 by delisting eight brands of pharmaceutical items that contain the drug rosuvastatin due to the inability of the companies responsible for the brands to meet the obligation to supply their brands set out in section 99AEB of the National Health Act 1953.

Human rights implications

This legislative instrument engages Articles 2 and 12 of the International Covenant on Economic, Social and Cultural Rights (ICESCR) by assisting with the progressive realisation by all appropriate means of the right of everyone to the enjoyment of the highest attainable standard of physical and mental health.

The PBS is a benefit scheme which assists with advancement of this human right by providing for subsidised access by patients to medicines.

Conclusion

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

 

Adriana Platona
Assistant Secretary

Pharmaceutical Evaluation Branch

Pharmaceutical Benefits Division
Department of Health and Ageing

 

 

Overview

The National Health (Listing of Pharmaceutical Benefits) Amendment Instrument 2013 (No. 8) is a legislative instrument made under the National Health Act 1953. It was enacted to address a specific issue where two companies could not fulfil their obligations to supply certain pharmaceutical brands under the Pharmaceutical Benefits Scheme (PBS). As a result, the instrument delisted eight brands of rosuvastatin from the PBS due to the companies' inability to meet their supply guarantees, as stipulated under section 99AEB of the Act. This amendment ensures that the PBS continues to provide patients with access to essential medications by maintaining the availability of alternative brands, while holding companies accountable for their supply commitments. The instrument was enacted by the Australian Parliament and aims to uphold the integrity of the PBS by ensuring that only companies able to supply their products are listed. The policy objective is to maintain a reliable and accessible pharmaceutical benefits system, which is crucial for the public health infrastructure in Australia. By revoking the listings of the non-compliant brands and allowing the companies to reapply with assurances of supply, the instrument balances the need for accountability with the continuous availability of necessary medications.

Scope and Application

The National Health (Listing of Pharmaceutical Benefits) Amendment Instrument 2013 (No. 8) operates under the National Health Act 1953 and specifically targets the Pharmaceutical Benefits Scheme (PBS) by delisting eight brands of the drug rosuvastatin from the PBS due to non-compliance with supply obligations by the responsible entities. This instrument applies to the entities responsible for these pharmaceutical brands, essentially affecting the companies that failed to meet their obligations under section 99AEB of the Act. The geographic reach of this amendment is nationwide, as it pertains to the PBS, a national scheme. The instrument revokes specific determinations related to these brands under sections 84AF, 84AK, 85, 85A, and 88 of the Act, ensuring that the consequential revocations align with the legislative framework. This legislative instrument does not specify any exclusions, exemptions, or thresholds but relies on the Acts Interpretation Act 1901 for consequential revocations. It is a legislative instrument under the Legislative Instruments Act 2003 and is compatible with human rights, as it supports the progressive realisation of the right to the highest attainable standard of physical and mental health through the PBS.

Key Provisions

The National Health (Listing of Pharmaceutical Benefits) Amendment Instrument 2013 (No. 8) (PB 39 of 2013) amends the National Health (Listing of Pharmaceutical Benefits) Instrument 2012 by removing the listing of eight brands of pharmaceutical items that contain the drug rosuvastatin from the Pharmaceutical Benefits Scheme (PBS). This decision is based on the inability of the companies responsible for the brands to meet their obligations to supply their brands, as outlined in section 99AEB of the National Health Act 1953 (the Act) (section 2). The delisted brands include Cavstat and Rosuvastatin GH, available in tablet forms of 5 mg, 10 mg, 20 mg, and 40 mg, which were first listed on 1 June 2013 (section 2). This amendment ensures that the availability of rosuvastatin in these strengths remains unaffected for patients, as other substitutable brands are still available on the PBS. The responsible companies have the option to reapply for the relisting of these brands on the PBS, provided they can assure continuity of supply (section 2). The Act imposes specific obligations on the parties and entities it governs. Primarily, responsible persons, such as drug companies, must comply with their guarantee of supply obligations under section 99AEB of the Act (section 2). When a responsible person fails to meet these obligations, the Minister, or their delegate, has the authority to revoke the listing of the pharmaceutical brand under section 99AEH(2)(a) of the Act. The Minister's decision must be made after considering the matters specified in subsection 99AEH(3) of the Act (section 2). Additionally, the Act includes provisions for consequential revocations of determinations related to the delisted brands, under sections 84AF (responsible person), 84AK (pack quantity), 85 (prescription circumstances), 85A (maximum quantity and number of repeats for particular purposes), and 88 (PBS prescriber), as outlined in subsection 33(3) of the Acts Interpretation Act 1901 (section 2). There are no specific offences, penalties, or civil/criminal consequences mentioned for breaches of the provisions in this legislative instrument. However, the Act provides that the Minister can take action to delist pharmaceutical brands from the PBS if a responsible person fails to meet their supply obligations. This action is intended to ensure the availability and reliability of medications on the PBS, maintaining public health standards and patient access to necessary treatments (section 2). The consequences of such a delisting include the removal of the brands from the PBS list and the revocation of related determinations, which can be appealed or rectified by the responsible companies upon demonstrating compliance with the required obligations (section 2).

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