Brett Mason (Queensland, Liberal Party, Parliamentary Secretary to the Minister for Health and Ageing) Share this | Hansard source

That is the policy intention of this bill. Australia’s obligations under the free trade agreement in relation to the PBS are limited to ways to improve the transparency of the processes undertaken by the Pharmaceutical Benefits Advisory Committee in assessing submissions by companies for the listing of drugs on the PBS. These obligations have been fully implemented through public hearings before the PBAC, the release of public summary documents and the establishment of a process of independent review for certain PBAC decisions. The fundamental architecture of the PBS has not been changed by the free trade agreement. There will not be any changes to the fundamentals of the way in which the PBAC undertakes its work as a result of the PBS reform. The aspects of PBS reform that relate to the pharmaceuticals industry were negotiated with domestic stakeholders, as government always negotiates and discusses with industry stakeholders. No negotiations were undertaken with the US government or industry on the reform package.

I know that certain sums were mentioned this morning and in evidence to the Senate Standing Committee on Community Affairs. The savings to the taxpayer of $580 million over four years and $3 billion over 10 years, which Senator Brown mentioned before, will strengthen and enable more drugs to be listed on the PBS. This is not some sort of conspiracy. This will in fact assist this great scheme to develop and it will give budgetary headroom for the listing of even more drugs and a more comprehensive medical system.