Veterans' Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021

Administered by Department of Veterans' Affairs

Legislation au F2021L00138 Not in force Legislative Instrument

Legislation content

EXPLANATORY STATEMENT

 

Veterans’ Entitlements Act 1986

Military Rehabilitation and Compensation Act 2004

Veterans’ Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021

Instrument 2020 No. R43/MRCC43

Authority

Subsection 286(5) of the Military Rehabilitation and Compensation Act 2004 (the MRCA) and subsection 91(4) provide that the Military Rehabilitation and Compensation Commission (MRCC) and the Repatriation Commission respectively may vary the MRCA Pharmaceutical Benefits Scheme (MRCA PBS) and the Repatriation Pharmaceutical Benefits Scheme (RPBS) (the Schemes).

The proposed variations to the Schemes are to correct a longstanding error which refers to a provision of the Health Act 1953.

Purpose

The proposed instrument will correct a minor but longstanding error in section 40A of the Schemes.

The error was made when section 40A was inserted into the Schemes as new Part 5B in amendments to earlier versions of the Schemes, the Repatriation Pharmaceutical Benefits Scheme (Instrument No.12 of 1995) and the MRCA Pharmaceutical Benefits Scheme (Instrument 2004 No. M22) by the MRCA Pharmaceutical Benefits Scheme (Under Co-payment Data Collection) Determination 2012 (Instrument No. M20/2012) [F2012L00743] and the Veterans’ Entitlements (Repatriation Pharmaceutical Benefits Scheme – Under Co-payment Data Collection) Instrument 2012 (Instrument No. R19/2012) [F2012L00744].

The amendments were made as a consequence of a change in Commonwealth policy concerning the provision of data from pharmacists for those items dispensed by pharmacies where the dispensed price is less than or equal to the co-payment which would otherwise be payable for subsidised items.

Previously pharmacists had not been required to give information about un-subsidised supplies of pharmaceuticals where there is no charge against the Commonwealth.

Section 40A provides for the disclosure of the information to the Department of Health to be authorised by the Schemes where a number of conditions have been met:

  • the pharmacist must not have claimed any part of the dispensing price of the pharmaceutical from the Commissions or the Department of Veterans’ Affairs; and
  • the dispensing price of the pharmaceutical must be less than or equal to the co-payment the Eligible Person would have otherwise needed to pay for the pharmaceutical if it had been sold at the subsidised, instead of discounted price; and
  • the information is given in accordance with the requirements of section 98C of the National Health Act 1958, to the extent they can be applied, as if the information being given under the Scheme to the Secretary of the Department of Health is being given to the Secretary under that provision.

The reference to “section 98C” was incorrect with “section 98AC” being the relevant provision.  Subsection 98AC(4) empowers the Minister for Health, by legislative instrument, to make rules specifying the information to be given (paragraph 98AC(4)(a)) and the procedures for giving it (paragraph 98AC(4)(b)).

Consultation

Section 17 of the Legislation Act 2003 requires a rule-maker to be satisfied, before making a legislative instrument that any consultation the rule-maker considered appropriate and reasonably practicable, has been undertaken.

External consultation was not required for this measure as there is no impact on pharmacists or those eligible to receive pharmaceutical benefits under the Schemes.

Regulatory Impact

None.

Commencement

The determination will commence the day after the instrument is registered.

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


ATTACHMENT

VETERANS’ AFFAIRS PHARMACEUTICAL BENEFITS SCHEMES AMENDMENT DETERMINATION 2021 (instrument 2020 No. R43/MRCC43)

 

1 Name

This section provides that this Instrument is the Veterans’ Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021.

2 Commencement

This section states that this instrument commences the day after it is registered.

3 Authority

This section states that this instrument is made under section 286 of the Military Rehabilitation and Compensation Act 2004 and section 91 of the Veterans’ Entitlements Act 1986.

4 Schedules

This section provides that each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

Schedule Amendments

MRCA Pharmaceutical Benefits Scheme

Item 1 replaces the references (both occurring) to “section 98C” with references to “section 98AC”.

Repatriation Pharmaceutical Benefits Scheme

Item 2 replaces the references (both occurring) to “section 98C” with references to “section 98AC”.

 

 


Statement of Compatibility with Human Rights

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

Veterans’ Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021

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

This instrument provides for amendments to the legislative instruments, the Repatriation Pharmaceutical Benefits Scheme (RPBS) and the MRCA Pharmaceutical Benefits Scheme (MRCA PBS).  The MRCA PBS and the RPBS are benefit schemes which provide for subsidised access for veterans and their dependants to medicines.

The amendments will correct an error in Schemes concerning the reference to section 98AC of the National Health Act 1953.

Human rights implications

This legislative instrument does not engage any of the applicable rights or freedoms.

Conclusion

The legislative instrument is compatible with human rights as it does not raise any human rights issues.

 

 

              Natasha Cole

Acting Deputy Secretary

Delegate for the Minister for Veterans’ Affairs

Rule-Maker

Overview

The Veterans’ Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021 was enacted to address a minor but longstanding error in the Military Rehabilitation and Compensation Act 2004 (MRCA) and the Veterans’ Entitlements Act 1986 (VEA). The amendment corrects an incorrect reference within the MRCA Pharmaceutical Benefits Scheme (MRCA PBS) and the Repatriation Pharmaceutical Benefits Scheme (RPBS), which were established to provide subsidised access to medicines for veterans and their dependants. Specifically, the amendment rectifies an error in section 40A of the Schemes, where an incorrect reference to section 98C of the National Health Act 1953 was made instead of the correct reference to section 98AC. This error occurred during the initial insertion of section 40A into the Schemes in 2012. The determination was made under the authority provided by subsection 286(5) of the MRCA and subsection 91(4) of the VEA, and it aims to ensure the correct legal framework is applied to the data collection requirements concerning unsubsidised pharmaceutical supplies.

Scope and Application

The Veterans’ Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021 is an instrument made under the authority of the Military Rehabilitation and Compensation Act 2004 and the Veterans’ Entitlements Act 1986. This determination applies to the Military Rehabilitation and Compensation Commission (MRCC) Pharmaceutical Benefits Scheme (MRCA PBS) and the Repatriation Pharmaceutical Benefits Scheme (RPBS), both of which provide subsidised access to medicines for veterans and their dependants. The determination seeks to correct an error in these schemes concerning the reference to section 98AC of the National Health Act 1953. The error, identified as a typographical mistake where "section 98AC" should have been referenced instead of "section 98C", pertains to the conditions under which pharmacists must disclose information to the Department of Health about unsubsidised supplies of pharmaceuticals. This amendment ensures that the disclosure requirements align correctly with the provisions of the National Health Act 1953. The correction applies nationally, as the schemes cover all veterans and their dependants across Australia. The amendment does not require consultation with external parties as it does not impact pharmacists or eligible recipients of pharmaceutical benefits under the schemes. The instrument will come into effect the day after its registration, and it does not extend or restrict the application of any other legislation beyond the specified correction.

Key Provisions

The Veterans' Affairs Pharmaceutical Benefits Schemes Amendment Determination 2021 (the Determination) amends the Repatriation Pharmaceutical Benefits Scheme (RPBS) and the Military Rehabilitation and Compensation Act Pharmaceutical Benefits Scheme (MRCA PBS) (collectively, the Schemes). This amendment corrects a longstanding error in section 40A of the Schemes which incorrectly referenced section 98C of the National Health Act 1953 instead of the correct section 98AC. The amendment ensures that the correct section is cited, which affects the conditions under which pharmacists can disclose information to the Department of Health about unsubsidised pharmaceutical supplies. The Determination imposes obligations on the Military Rehabilitation and Compensation Commission and the Repatriation Commission to ensure that the Schemes are updated to reflect the correct legislative reference. These entities must amend the Schemes as set out in the Determination, ensuring that pharmacists and other relevant parties are informed of the correct legal framework governing the disclosure of pharmaceutical data. The Schemes are designed to facilitate access to subsidised medicines for eligible veterans and their dependants, and these amendments are necessary to maintain the integrity and accuracy of the legislative framework governing these benefits. There are no specific offences or penalties outlined in the Determination for failing to comply with the amendments. However, non-compliance with the Schemes could potentially lead to legal challenges regarding the validity of pharmaceutical data disclosures, which could have implications for the administration of benefits under the Schemes. The focus of the Determination is on correcting an error rather than imposing new sanctions, but ensuring compliance with the updated provisions is critical to the proper functioning of the Schemes. The Determination is made under the authority of section 286 of the Military Rehabilitation and Compensation Act 2004 and section 91 of the Veterans’ Entitlements Act 1986. It will commence on the day after it is registered, and it includes a statement of compatibility with human rights, confirming that it does not engage any of the applicable rights or freedoms under the Human Rights (Parliamentary Scrutiny) Act 2011. The Determination ensures that the Schemes accurately reflect the legislative requirements, thereby maintaining the integrity of the pharmaceutical benefits provided to eligible veterans and their dependants.

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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.