Senate debates

Monday, 22 November 2010

National Health Amendment (Pharmaceutical Benefits Scheme) Bill 2010

Second Reading

Debate resumed from 17 November, on motion by Senator Feeney:

That this bill be now read a second time.

upon which Senator Fierravanti-Wells moved by way of amendment:

At the end of the motion, add “but the further consideration of the bill be an order of the day for the first sitting day after:

(a)
the Government sets aside the memorandum of understanding (MOU) signed between the Government and Medicines Australia on 6 May 2010;

7:34 pm

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

I apologise for delaying the Senate’s time in relation to this, but I will be brief. I am not in a position to support Senator Fierravanti-Wells’s second reading amendment to the National Health Amendment (Pharmaceutical Benefits Scheme) Bill 2010. I understand the reasons for the amendment and I understand the background to this matter. Also, I am grateful for the time that Mr Peter Dutton, the shadow health minister, and Senator Trood have given me in relation to this. It is my view that there has been consultation between the various parties. I and staff in my office have spoken extensively to the group representing generic medicines in Australia. There is a significant budgetary impact in relation to this measure. I will move an alternative amendment, which has been circulated, that will allow for further consultation on a regular basis. There is a real risk that the matters raised in Senator Fierravanti-Wells’s amendment will unnecessarily delay that. There has been a consultation process in relation to the MOU and parties were invited to participate in that. I note that the Pharmacy Guild of Australia has signed off on this and I think Medicines Australia has signed off on this. I know that the generic medicines industry has been unhappy with the process, but I am satisfied that the second reading amendment that I propose to move shortly will deal adequately with the issues. That amendment will be moved in my name and in the name of Senator Fielding.

I do understand the concerns of the generic medicine sector regarding the perceived lack of consultation and that they believe there will be an impact on their business; however, I believe that there are important savings that can be made and that can be reasonably met. I have heard the concerns of the generic medicine sector and I have worked with the government to move the second reading amendment in my name and Senator Fielding’s name. I will do so shortly, and I believe it will give support to the generic medicine sector. I believe that to do otherwise would be to unreasonably delay this bill. In the circumstances I cannot support the amendment moved by Senator Fierravanti-Wells on behalf of the opposition.

Question put:

That the amendment (Senator Fierravanti-Wells’s) be agreed to.

7:45 pm

Photo of Rachel SiewertRachel Siewert (WA, Australian Greens) Share this | | Hansard source

I move the second reading amendment standing in my name:

At the end of the motion, add: but the Senate calls on the Government:

(a)
to ensure that there is an annual report to Parliament on all available data on under co-payment products, including the drug name and form, the quantities dispensed;
(b)
to table a copy of the annual report by the Access to Medicines Working Group to the Minister for Health and Ageing on the progress and implementation of the Memorandum of Understanding signed between the Government and Medicines Australia on 6 May 2010, commencing not later than 1 January 2011; and
(c)
to conduct a study of the affordability of prescription medication and access to medicines, including the use of generic medicines.

Question agreed to.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

I, and also on behalf of Senator Fielding, move the second reading amendment standing in our names:

At the end of the motion, add: but the Senate calls on the Government:

(a)
to request advice from the Pharmaceutical Benefits Advisory Committee on any new evidence on whether or not two medicines, rosuvastatin and atorvastatin, should be included in the existing statins therapeutic group;
(b)
to examine whether there are any barriers to generic medicines entering the market through the inappropriate use of intellectual property rights over product information, building on work currently underway, and to table a report by 30 June 2011 on these barriers and appropriate mechanisms to address them; and
(c)
to convene a discussion every six months until 1 July 2014, with the Pharmacy Guild of Australia, the National Pharmaceutical Services Association, the Generic Medicines Industry Association, and Medicines Australia on the impact of the reforms in this Bill and any unintended consequences or relevant issues and to table a report on this discussion every six months.

Mr President, I seek leave to make a short statement.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Leave is granted for two minutes.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

Two minutes is all I need.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

That is generous.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

You are a generous man, Mr President.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

It wasn’t me who granted you leave.

Photo of Concetta Fierravanti-WellsConcetta Fierravanti-Wells (NSW, Liberal Party, Shadow Minister for Ageing) Share this | | Hansard source

It was me.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

Senator Fierravanti-Wells is a generous woman. I have already spent 10 seconds thanking people for their generosity. In relation to the amendment, I want to say that quite a significant issue was put to me by the generic medicines industry about a potential abuse of intellectual property rights by pharmaceutical companies, and that is something I want to pursue. I think Senator Boyce has acknowledged that concern—if I am not mistaken.

Photo of Sue BoyceSue Boyce (Queensland, Liberal Party) Share this | | Hansard source

Yes.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

I acknowledge and thank Senator Fielding for arranging a meeting with the generic medicines representatives and with the minister’s office earlier today. That was a very useful initiative on the part of Senator Fielding. I urge members to support this. I urge the opposition to support this amendment; it is certainly an improvement on the government’s current position.

7:48 pm

Photo of Concetta Fierravanti-WellsConcetta Fierravanti-Wells (NSW, Liberal Party, Shadow Minister for Ageing) Share this | | Hansard source

Mr President, I seek leave to make a short statement.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Leave is granted for one minute.

Photo of Concetta Fierravanti-WellsConcetta Fierravanti-Wells (NSW, Liberal Party, Shadow Minister for Ageing) Share this | | Hansard source

For the record, I just want to say that Senator Xenophon indicated that he had spoken to Mr Dutton in relation to this. There may have been a misunderstanding. I was not aware that Senator Xenophon had spoken to Mr Dutton about it. In any case, the opposition will not be supporting the motion moved by Senator Xenophon and Senator Fielding.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

Mr President, I seek leave to make a short statement.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Leave is granted for one minute.

Photo of Nick XenophonNick Xenophon (SA, Independent) Share this | | Hansard source

Thank you. I just want to indicate to Senator Fierravanti-Wells that I am sorry if there was any misunderstanding. I indicated earlier that I had spoken to Senator Trood and Mr Dutton, but I was referring to last week and in relation to the general principles of this bill. I do not want there to be a misapprehension that I had spoken to Mr Dutton in relation to these second reading amendments. I apologise if there was any misunderstanding.

Question agreed to.

Original question agreed to.

Bill read a second time.