Pharmaceutical Benefits Act 1945

Legislation au C1945A00035 Not in force Act

Legislation content

PHARMACEUTICAL BENEFITS.

 

No. 35 of 1945.

An Act to amend the Pharmaceutical Benefits Act 1944.

[Assented to 10th October, 1945.]

BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—

Short title and citation.

1.—(1.) This Act may be cited as the Pharmaceutical Benefits Act 1945.

(2.) The Pharmaceutical Benefits Act 1944 is in this Act referred to as the Principal Act.

(3.) The Principal Act, as amended by this Act, may be cited as the Pharmaceutical Benefits Act 1944–1945.

Commencement.

2. This Act shall come into operation on the day on which it receives the Royal Assent.

3. Section two of the Principal Act is repealed and the following section inserted in its stead:—

Commencement.

“2.—(1.) Sections one, two, three, four, five, six, ten, eleven, fourteen, fifteen, sixteen and twenty-seven of this Act shall commence on the date of commencement of the Pharmaceutical Benefits Act 1945.


“(2.) The remaining sections of this Act shall commence on a date to be fixed by proclamation.”.

Pharmaceutical benefits to be provided on prescriptions.

4. Section nine of the Principal Act is amended by inserting in paragraph (a) of sub-section (1.), after the word “chemist”, the words “and at premises in respect of which he is for the time being approved”.

5. Section ten of the Principal Act is repealed and the following section inserted in its stead:—

Approved pharmaceutical chemists.

“10.—(1.) The Director-General shall, on application by a pharmaceutical chemist who is permitted by law and is willing, subject to sub-section (5.) of this section, to supply pharmaceutical benefits on demand, approve that pharmaceutical chemist for the purposes of supplying pharmaceutical benefits in accordance with this Act.

“(2.) Where a pharmaceutical chemist desires to supply pharmaceutical benefits at several premises, a separate application shall be made in respect of each of the premises and separate approval shall be granted in respect of each of the premises.

“(3.) Where an approved pharmaceutical chemist desires to supply pharmaceutical benefits at premises other than premises in respect of which approval has been granted, the Director-General shall, on application by the approved pharmaceutical chemist, grant approval in respect of those other premises.

“(4.) Subject to the next succeeding sub-section, the approval of a pharmaceutical chemist (being a friendly society) under this section in respect of any premises shall be an approval to supply pharmaceutical benefits to persons generally.

“(5.) Where, at the time approval is granted to a pharmaceutical chemist (being a friendly society) in respect of any premises, the number of premises in respect of which approvals are in force in favour of friendly societies is not less than the number of premises at which friendly societies carried on dispensaries on the first day of August, One thousand nine hundred and forty-five, the approval so granted (in this Act referred to as a ‘limited approval’) shall be an approval to supply pharmaceutical benefits to members of the friendly society and to their respective spouses and children only.

“(6.) Every approved pharmaceutical chemist shall display at each of the premises in respect of which he is approved (but not including premises in respect of which the approval granted is a limited approval), a sign, in accordance with the prescribed form, indicating that he has been approved under this Act.”.


Approved hospital authorities.

6. Section eleven of the Principal Act is amended by adding at the end thereof the following sub-sections:—

“(4.) Where a hospital authority desires to supply pharmaceutical benefits at several hospitals, a separate application shall be made in respect of each hospital and separate approval may be granted in respect of each hospital.

“(5.) Where an approved hospital authority desires to supply pharmaceutical benefits at a hospital other than a hospital in respect of which approval has been granted, the Director-General may, on application by the approved hospital authority, grant approval in respect of that other hospital.”.

Suspension. &c., of approval.

7. Section twelve of the Principal Act is amended by adding at the end thereof the following sub-section:—

“(4.) The suspension or revocation of an approval under this section may be in respect of all the premises, or all the hospitals, in respect of which approval has been granted or may be in respect of any particular premises or hospital.”.

Payments for supply of pharmaceutical benefits.

8. Section thirteen of the Principal Act is amended by omitting sub-sections (2.) and (3.) and inserting in their stead the following sub-sections:—

“(2.) An approved pharmaceutical chemist shall not be entitled to payment under this section in respect of the supply of pharmaceutical benefit at premises other than premises in respect of which the pharmaceutical chemist is approved.

“(3.) Where the approval under section ten of this Act granted to a pharmaceutical chemist (being a friendly society) in respect of any premises is a limited approval, that friendly society shall not be entitled to payment under this section in respect of a pharmaceutical benefit supplied at those premises to a person who is not a member of that friendly society or the spouse or child of such a member.

“(4.) An approved hospital authority shall, subject to this Act, be entitled to payment from the Commonwealth, in accordance with the regulations, in respect of the supply, at a hospital in respect of which the approved hospital authority is approved, of pharmaceutical benefits and of uncompounded medicines, medicinal compounds, materials and appliances which are not pharmaceutical benefits.

“(5.) Any payment to which an approved hospital authority in a State is entitled under this section may be paid to that State, or to an authority of that State, on behalf of the approved hospital authority.”.

Consultative Council

9. Section eighteen of the Principal Act is amended by omitting the word “six” and inserting in its stead the word “eight”.


10. Section twenty-two of the Principal Act is repealed and the following section inserted in its stead:—

Medical practitioners to be satisfied that prescriptions necessary.

“22. A medical practitioner shall not write a prescription in accordance with any prescribed form unless he is satisfied, by personal examination of the person in respect of whom the prescription is written, or in some other sufficient manner, that the pharmaceutical benefit specified in the prescription is necessary for the treatment of that person.

Penalty: Fifty pounds.”.

Powers of authorized persons.

11. Section twenty-five of the Principal Act is amended—

(a) by adding at the end of paragraph (a) the words “or of any approved hospital authority”; and

(b) by inserting in paragraph (c), after the word “as”, the words “, or may be ingredients of,”.

 

Overview

The Pharmaceutical Benefits Act 1945 was enacted to amend the Pharmaceutical Benefits Act 1944, addressing the need for a more structured and comprehensive framework for the provision of pharmaceutical benefits in Australia. This Act was brought into effect by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia. Its primary objective was to refine the existing provisions, ensuring that the supply of pharmaceutical benefits is managed efficiently and effectively through approved pharmaceutical chemists and hospital authorities. The Act introduced mechanisms for the approval and regulation of these entities, allowing for more precise control over the distribution of pharmaceutical benefits and ensuring that only qualified professionals can dispense them. The Pharmaceutical Benefits Act 1945 established a formal process for the approval of pharmaceutical chemists and hospital authorities, allowing for tailored approvals based on the specific premises or hospitals involved. It also clarified the conditions under which payments for pharmaceutical benefits could be made, ensuring that only approved entities were entitled to such payments. Furthermore, the Act mandated that medical practitioners must be satisfied, through appropriate examination or other means, that the prescribed pharmaceutical benefits are necessary for the patient's treatment, thereby enforcing a standard of care. This legislative update aimed to streamline the administration of pharmaceutical benefits while enhancing the quality and oversight of their provision.

Scope and Application

The Pharmaceutical Benefits Act 1945 amends the Pharmaceutical Benefits Act 1944, providing a framework for the supply of pharmaceutical benefits in Australia. This Act applies to pharmaceutical chemists and hospital authorities that supply these benefits. It mandates that pharmaceutical chemists must be approved by the Director-General and can supply benefits only at approved premises. Friendly societies, when approved, can supply benefits to their members and their respective spouses and children, but not to the general public unless specific conditions are met. Hospital authorities must also apply for and receive approval for each hospital where they intend to supply pharmaceutical benefits. The Act specifies that payments for these benefits can only be made to approved chemists and hospitals, with certain restrictions for friendly societies. Additionally, it establishes a Consultative Council, increasing its membership, and outlines penalties for medical practitioners who do not adhere to the prescription requirements. The Act's provisions are enforceable through authorized persons who are granted specific powers to inspect and regulate the supply of pharmaceutical benefits. The Pharmaceutical Benefits Act 1945 operates nationally across Australia, impacting both state and territory jurisdictions. It sets out the procedural and legal requirements for entities supplying pharmaceutical benefits, including the need for approval from the Director-General and adherence to the Act's stipulations. Certain exclusions exist, particularly regarding the scope of supply for friendly societies, which is limited to members and their families unless specific conditions are fulfilled. The Act also includes provisions for the suspension or revocation of approvals, which can be applied to all or specific premises or hospitals. Subordinate instruments may extend or modify the application of the Act, although the primary text does not detail these instruments. The Act's jurisdiction is broad, covering all states and territories within Australia, ensuring a uniform approach to the regulation of pharmaceutical benefits.

Key Provisions

The Pharmaceutical Benefits Act 1945 introduces significant changes to the Pharmaceutical Benefits Act 1944, which it amends and supplements. Key provisions include the process for providing pharmaceutical benefits on prescriptions (section 4), the criteria for approving pharmaceutical chemists and hospital authorities to supply these benefits (sections 10 and 6), and the payment arrangements for such supplies (section 8). Furthermore, the Act mandates that medical practitioners ensure the necessity of prescribed pharmaceutical benefits before issuing prescriptions (section 22). Additionally, it establishes a Consultative Council to advise on matters related to pharmaceutical benefits (section 9). The Act imposes several obligations on the parties it governs. Pharmaceutical chemists must apply for approval to supply pharmaceutical benefits and, if approved, display a sign indicating their approval status at their premises (section 10). Hospital authorities similarly must apply for approval to supply these benefits at specific hospitals and may apply for approval at additional hospitals (section 6). Approved entities must adhere to the conditions of their approval, which may include supplying benefits only to specific individuals (section 10(5)). Medical practitioners are required to ensure that prescriptions they issue are necessary for the treatment of the patient (section 22). Failure to comply with these obligations can result in legal consequences. The Act imposes penalties for non-compliance with certain provisions. For instance, it is an offence for a medical practitioner to write a prescription without being satisfied that the pharmaceutical benefit specified is necessary for the treatment of the patient, with a penalty of fifty pounds (section 22). Additionally, unauthorized supply of pharmaceutical benefits can lead to suspension or revocation of approval (section 12). While the Act does not specify maximum penalties for all potential breaches, the penalty for the offence under section 22 is explicitly stated. Other breaches may incur penalties as determined by the relevant regulatory authority. The Act also outlines the powers of authorized persons, allowing them to inspect premises of approved pharmaceutical chemists and hospital authorities to ensure compliance with the Act (section 25). This provision underscores the regulatory oversight intended to maintain the integrity of the pharmaceutical benefits system. Overall, the Pharmaceutical Benefits Act 1945 aims to enhance the administration and delivery of pharmaceutical benefits by clarifying approval processes, ensuring the necessity of prescriptions, and establishing penalties for non-compliance.

Legal classification tags

Area of Law
Health Law
Pharmaceutical Law
Instrument
Act
Concepts
Commencement Provisions
Approval & Licensing
Reporting & Disclosure Obligations
Offence Provisions
Consultation Requirements

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.