Therapeutic Goods (Charges) Regulations (Amendment) 1994 No. 223
EXPLANATORY STATEMENT
Statutory Rules 1994 No. 223
Issued by Authority Of the Minister for Family Services
Therapeutic Goods (Charges) Act 1989
Therapeutic Goods (Charges) Regulations (Amendment)
The Therapeutic Goods (Charges) Act 1989 (the Act) Imposes an annual charge for the registration and listing of therapeutic goods in the Australian Register of Therapeutic Goods (the Register), and an annual charge for licences to manufacture therapeutic goods.
Subsection 5(1) of the Act provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing the amounts of those charges.
The increases in charges contained In the Regulations have been made In conjunction with the increases in fees made under the accompanying Therapeutic Goods Regulations (Amendment). The increases have been prompted by the need to meet the Government's decision in August 1989 that the Therapeutic Goods Administration, which administers the Act, operate on a fifty per cent cost recovery basis, with revenue to be drawn from fees and charges collected from industry. To minimise the impact of the increase in charges to industry, it was agreed between industry and Government that the higher charges will be phased in over a four year period. The Therapeutic Goods (Charges) Regulations (Amendment) Introduce the second Incremental Increases to a range of annual charges for maintaining registrations and listings of therapeutic goods In the Register, and to a range of manufacturing licences issued for the manufacture of therapeutic goods.
Details of the Regulations are as follows.
Regulation 1 provides for the Regulations to commence on 1 July 1994.
Regulation 2 provides for the Therapeutic Goods (Charges) Regulations to be amended as provided In these Regulations.
Subregulation 3.1 will increase the annual charge for registrations of prescription drugs in the Register from $400 to $440.
Subregulation 3.2 will increase the annual charge for registrations of all other therapeutic goods from $210 to $250.
Subregulation 3.3 will increase the annual charge for listings of therapeutic goods. Therapeutic goods listed In the Register that are produced for export only do not attract an annual charge for their listing.
Subregulations 3.4, 3.5 and 3.6 increase the annual charges for maintaining registrations and listings of grouped therapeutic goods included in the Register. For registered grouped prescription drugs the annual charge will increase from $400 to $440. For any other registered grouped goods, the annual charge for maintaining each grouping increases from $210 to $250. The annual charge for maintaining listings of grouped goods, except for grouped goods that consist entirely of goods produced for export, will increase from $90 to $110.
Subregulation 3.7 will increase annual licensing charges payable for the various categories of manufacturing licences act out under Subregulation 3(2) of the Therapeutic Goods (Charges) Regulations. The increases will raise the present charges from $3,400 to $3,800; from $1,700 to $1,900; and from $1,200 to $1,600.
The Regulations commenced on 1 July 1994.
Overview
The Therapeutic Goods (Charges) Regulations (Amendment) 1994 No. 223, issued under the authority of the Minister for Family Services, aim to amend the Therapeutic Goods (Charges) Regulations of 1989. This legislation responds to the need for increased financial recovery by the Therapeutic Goods Administration, which was mandated to operate on a fifty per cent cost recovery basis. The policy objective is to ensure that the regulatory body's operations are sufficiently funded through industry-derived fees and charges. To mitigate the impact on industry, the amended charges are phased in over a four-year period. The amendments introduce incremental increases to the annual charges for maintaining registrations and listings of therapeutic goods in the Australian Register of Therapeutic Goods, as well as for manufacturing licences, aligning with the broader fee adjustments under the Therapeutic Goods Regulations (Amendment).
Scope and Application
The Therapeutic Goods (Charges) Regulations (Amendment) 1994 No. 223 amends the Therapeutic Goods (Charges) Regulations to implement the second incremental increase in the annual charges for the registration, listing, and licensing of therapeutic goods in Australia. The Act applies to entities and individuals who are involved in the registration, listing, and manufacture of therapeutic goods in Australia, ensuring these entities and individuals meet their financial obligations to the Therapeutic Goods Administration, the body responsible for regulating therapeutic goods in Australia. These regulations apply nationally, extending across all states and territories, and are designed to support the administration’s goal of operating on a fifty per cent cost recovery basis by increasing fees and charges to meet operational costs. The amendments introduced by these regulations are phased over a four-year period to mitigate the impact on industry. Subordinate instruments may further extend or restrict the application of these regulations, but only in a manner consistent with the overarching Act.
Key Provisions
The Therapeutic Goods (Charges) Regulations (Amendment) 1994 No. 223, made under the Therapeutic Goods (Charges) Act 1989, primarily revise the fees associated with the registration and listing of therapeutic goods in the Australian Register of Therapeutic Goods (the Register). According to section 5(1) of the Act, these regulations establish the amount of the charges imposed, and they are consistent with the Act (subsection 5(1)). Regulation 1 specifies that the Regulations come into effect on 1 July 1994. Regulation 2 amends the Therapeutic Goods (Charges) Regulations to reflect the new charges.
The amended regulations increase the annual fees for maintaining registrations and listings of therapeutic goods in the Register, as well as for various manufacturing licences. Specifically, Regulation 3.1 raises the annual charge for prescription drug registrations from $400 to $440, and Regulation 3.2 raises the annual charge for all other therapeutic goods from $210 to $250. Regulation 3.3 modifies the annual charge for listing therapeutic goods, noting that therapeutic goods produced solely for export do not incur an annual charge for their listing. Regulation 3.4, 3.5, and 3.6 increase the annual charges for maintaining registrations and listings of grouped therapeutic goods in the Register, with different rates applied depending on whether the goods are prescription drugs or other therapeutic goods. Regulation 3.7 increases the annual charges for manufacturing licences, with different rates applied depending on the type of licence.
The Regulations impose obligations on parties or entities governed by the Act. Registrants of therapeutic goods must pay the amended annual charges for maintaining their registrations and listings in the Register. Manufacturers holding manufacturing licences must also pay the revised annual charges for their licences. These obligations are intended to ensure that the Therapeutic Goods Administration can operate on a fifty per cent cost recovery basis, as mandated by the Government's decision in August 1994.
The Act does not explicitly outline specific offences, penalties, or civil/criminal consequences for non-compliance with the amended charges. However, failure to pay the revised annual charges may result in the suspension or cancellation of the registration or listing of therapeutic goods in the Register, or the suspension or cancellation of manufacturing licences. This could have significant commercial and legal consequences for the parties or entities concerned, including the inability to legally manufacture, supply, or advertise therapeutic goods in Australia. The precise consequences would depend on the specific circumstances of each case and the provisions of the Therapeutic Goods Act 1989 and related regulations.