Justine Elliot (Richmond, Australian Labor Party, Minister for Ageing) Share this | Hansard source

The Pharmaceutical Benefits Scheme is indeed regarded as one of the best systems of its kind in the world. As we know, it provides affordable access to high-quality medicines for all Australians by subsidising the cost of PBS medicines and delivering them through local pharmacies and hospitals in the community. The PBS safety net ensures that families and individuals who require large amounts of medicines are protected from high cumulative cost. The National Health Amendment (Pharmaceutical Benefits Scheme) Bill 2008 contains amendments to the National Health Act 1953 which, although unrelated, will help to ensure that the PBS remains current and operates effectively for all Australians whether as PBS users, suppliers or the medicines industry.

One of the amendments improves access to the PBS safety net. It will mean that couples living apart due to illness or infirmity will be able to use the safety net jointly. These couples will be able to combine PBS co-payment contributions towards the same safety net threshold. Both persons will be able to be included on the same safety net card and have access to safety net benefits once the threshold is reached. In effect, the amount of PBS payments required for both members of the couple to reach the safety net will be the equivalent of one safety net threshold, not two. This has the potential to reduce the out-of-pocket cost for PBS medicines for such couples by an amount equal to the relevant safety net threshold amount. PBS medicines required by either person can then be obtained at the reduced safety net rate for the remainder of the calendar year.

This change is essentially a matter of fairness. There is no good reason why people who as a result of illness or infirmity are forced to live apart should not have the same PBS entitlements as other couples. This amendment strengthens the ability of the PBS safety net to deliver real benefits and savings to the people who need them and it recognises that, when couples need to live apart for reasons of ill health, frailty or dependent care, they do not cease to be a family. It provides continuity for joint access to safety net entitlements for these couples despite their living circumstances having changed. It will improve the affordability of PBS medicines for these people at a time in their lives when they may be most in need of the benefits of the PBS.

The bill also amends the act to extend access to the PBS for government officers working outside Australia. Current PBS eligibility, supply and export restrictions prevent pharmaceutical benefits being provided to government officers when working overseas despite eligibility to the PBS in Australia. However, accessing medicines outside Australia can be difficult and uncertain. The changes will allow pharmacists to dispense PBS prescriptions for medicines required by these officers and by accompanying spouses and dependent children and for those medicines to be sent outside Australia in quantities required for their personal use. This will provide access for these Australians to quality affordable medicines and PBS safety net entitlements.

The amendment to the criteria for determining comarketed brands will ensure that the legislation operates as was originally intended. The amendment will allow comarketed brands to remain comarketed in certain circumstances and continue to have the comarketing pricing benefits even if they are brands of more than one pharmaceutical item. In addition, the amendments provide that the minister may, by legislative instrument, determine that comarketed brands cease to be comarketed. That ministerial determination will have precedence over the regulations prescribing comarketed brands. This is an important amendment as it facilitates timely and efficient administration of the PBS comarketing arrangements.

This bill also contains minor and technical amendments which change the way that two definitions are referred to in the act and removes the requirement for the gazettal of certain ministerial determinations. The relevant determinations will be legislative instruments for the purpose of the Legislative Instruments Act 2003. I thank all the members who made a contribution to the debate on this bill. The changes in the bill strengthen the PBS and improve access to PBS entitlements. The government will continue to monitor the PBS to ensure that it is operating as intended and to ensure that access to necessary medicines is available when needed by those Australians eligible to receive them.

Question agreed to.

Bill read a second time.

Message from the Governor-General recommending appropriation announced.

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