Senate debates

Monday, 19 June 2023

Questions without Notice

Pharmaceutical Industry

2:36 pm

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | | Hansard source

My question is to Senator Gallagher, the Minister representing the Minister for Health and Aged Care. The opposition supports Australians having cheaper and easier access to medicines. However, your government is claiming credit for a cost-of-living relief measure that is actually being paid for by 5,900 community pharmacies. Now it has been reported that modelling shows that up to 665 pharmacies may close as a result of your approach of forcing community pharmacies to pay for your 60-day dispensing policy. Minister, will you guarantee that no pharmacies will close as a result of your government's policy?

2:37 pm

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I thank Senator Ruston for the question, and it is an important one—the changes that we are introducing around 60-day dispensing—because it will make medicine cheaper for more than six million Australians. I note that the Pharmacy Guild has commissioned a report as part of their opposition to this change. I haven't had time to go through it all, but I am advised that the government does not agree with the assumptions underpinning the report and the conclusions drawn from it. Senator Ruston and I did have quite a lengthy session on this at estimates, where we went through the impact analysis that had been done. We did discuss issues around pharmacy and pharmacy viability. I think that the work that the government has done through its impact analysis is clear. This will save—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister, please resume your seat. Senator Ruston.

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | | Hansard source

On relevance, President, I specifically asked the minister in relation to a commitment that no community pharmacy would be forced to close.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

There were also other points in your question, and the minister is being relevant to the question. Minister.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

The government is keen to work with the community pharmacists. We want a strong and viable community pharmacy industry right across Australia. We remain open to talking with all pharmacists about the implementation of this change, but I would say that this change has been recommended since 2017-18, I think, when there was expert advice that this change should come in—that people could save money for a select group of medicines for a select group of patients, where their doctor approves it, and that they would have to do less trips to the pharmacy—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister Gallagher, please resume your seat. Senator Ruston.

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | | Hansard source

I raise a point of order once again on relevance, President: I was not asking about the support this is giving to Australians. In fact, I made the comment that the opposition supports cheaper and easier access to medicines. I was merely asking the minister to confirm or deny whether any pharmacy will close as a result of this policy.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

You made reference to that report, and the minister has also made reference to it and is being directly relevant to your question. Minister, please continue.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

The government is investing $1.2 billion into pharmacies for ongoing programs to make sure that they can continue to do what they do and in fact grow the services they offer. We want a strong and vital community pharmacy sector. (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Ruston, a first supplementary?

2:40 pm

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | | Hansard source

As reported today, 20,000 pharmacy jobs may be lost and access to free medical services at local pharmacies may be ripped away from vulnerable Australians as a result of Labor's 60-day dispensing policy. Minister, will you guarantee that your government's implementation of this change will not result in job losses in the sector or have an impact on Australian's access to critical primary care through their local pharmacy?

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I can say that the government remains committed to working with community pharmacies in ensuring that they continue to provide the full suite of services to Australians. They are a vital part of Australia's health system, and we want them to do more, not less. But we cannot ignore the expert advice that has come to us that says that six million Australians could save hundreds of dollars a year if their doctor approves them having a 60-day supply of their medicines. There are a range of health groups that support this. The government is keen to work with community pharmacies as we implement it. In fact, that's why it is having a staged implementation, with medicines coming in and joining that list over the next 12 months. We will continue to work with all involved to make sure that the implementation of this is smooth and, where we can provide those investments back in, particularly to rural and regional pharmacies— (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Ruston, a second supplementary?

2:41 pm

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | | Hansard source

Minister, in budget estimates you confirmed that your government had not undertaken any modelling on the impact of your 60-day dispensing policy on community pharmacies in response to genuine concerns raised by small businesses across Australia. Now that this independent modelling has been released today, will you acknowledge that the Albanese government's lack of consideration and consultation on this measure will see pharmacies close, jobs lost and access to critical primary healthcare ripped away from the most vulnerable Australians?

2:42 pm

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

The government did go through this at estimates and there was an impact analysis done. Obviously, the Pharmacy Guild has commissioned a report as part of their campaign which is opposed to this. As I said in answer to my first question, the government doesn't agree with the assumptions underpinning the report or the conclusions drawn from it. So I don't accept what that report says. The advice to the government and that we took is about the fact that Australians on these medicines could save hundreds of dollars a year by making this safe and modest change to the way their medicines are—

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | | Hansard source

I raise a point of order once again on relevance, President. The minister continues to refer to access and the cost of medicines, which I have not referred to at all. I was merely asking whether Australians would be worse off and whether pharmacies would close.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

The minister is being relevant.

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

President, on the point of order: I would have thought an issue going to whether Australians are worse off might involve price. I know the opposition might find that—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Wong, I have responded to Senator Ruston's point of order and I've said that the minister is being relevant.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Six million Australians will be better off if they take up the opportunity that comes, if their doctor approves it. They will be able to access a supply for 60 days, as opposed to 30 days, for a limited group of medicines. They will save hundreds of dollars a year. We think it's an important cost-of-living measure.