A new medicine is listed on the Pharmaceutical Benefits Scheme
The assessment is already parallelised and the committee is well regarded. The delay sits after both assessments are finished, in a three-meetings-a-year cycle and a Cabinet approval reported to have grown from 6.7 months to 10.
longest dependent chain
across 3 bodies
scheduling or queue, not assessment
vs. 1260 if run end-to-end
Where the time goes
Critical-path days only. Steps that run alongside others are real work but do not lengthen the process, so counting them here would overstate the prize.
| scheduling | 360d | Waiting for a person or committee to become available. | |
|---|---|---|---|
| applicant | 270d | Waiting on the applicant to supply or fix something. | |
| assessment | 240d | Someone is genuinely evaluating the merits. | |
| statutory | 60d | A legislated period that must elapse regardless of readiness. |
360 of 930 elapsed days are spent waiting for a person or a meeting rather than for a judgement to be formed. Removing that time changes no assessment standard and lowers no bar -- it is the cost of scheduling alone.
The process, step by step
Applies when: A sponsor seeks PBS subsidy for a medicine that must also be registered on the ARTG.
| # | Step | Who | Why it waits | Clock | Typical | Basis |
|---|---|---|---|---|---|---|
| 1 |
Prepare the submission
application
Clinical and economic evidence establishing comparative effectiveness and cost-effectiveness against the relevant comparator. |
— | applicant | — | 270 estimate | — |
| 2 |
TGA evaluation for registration
assessment
Evaluation of quality, safety and efficacy for entry on the ARTG. after
Prepare the submission 330d slack
|
Therapeutic Goods Administration | assessment | — | 330 estimate | Therapeutic Goods Act 1989 (Cth) |
| 3 |
Wait for a PBAC meeting
registration
Submissions are considered at three meetings a year, in March, July and November. after
Prepare the submission 600d slack
|
Pharmaceutical Benefits Advisory Committee | scheduling | — | 60 published | — |
| 4 |
PBAC evaluation and recommendation
assessment
Assessment of comparative clinical effectiveness and cost-effectiveness, and a recommendation to the Minister. after
Wait for a PBAC meeting 480d slack
|
Pharmaceutical Benefits Advisory Committee | assessment | — | 120 estimate | National Health Act 1953 (Cth) |
| 5 |
Resubmission after a rejection or deferral
application
only if triggered Additional evidence or a revised price, considered at a later meeting. Triggered when: The PBAC does not recommend listing at first consideration, which for new medicines is common. after
PBAC evaluation and recommendation 240d slack
|
Pharmaceutical Benefits Advisory Committee | scheduling | — | 240 estimate | — |
| 6 |
Price negotiation with the department
assessment
Agreement on price and any special arrangements following a positive recommendation. after
PBAC evaluation and recommendation 360d slack
|
Department of Health, Disability and Ageing | assessment | — | 120 estimate | — |
| 7 |
Cabinet approval
decision
Listings with a financial impact above the threshold require Cabinet agreement rather than ministerial approval. after
Price negotiation with the department 60d slack
|
Department of Health, Disability and Ageing | scheduling | — | 300 reported | — |
| 8 |
Listing takes effect
registration
The medicine appears on the Schedule and can be dispensed with a subsidy.
|
Department of Health, Disability and Ageing | statutory | — | 60 estimate | — |
on the critical path scheduling/queue = delay not caused by the assessment itself
Proposed changes
-
Let a resubmission be considered when the evidence is ready, not at the next of three meetings
resequence
~180d The PBAC meets three times a year. A medicine rejected in March cannot be reconsidered when the additional evidence is ready in May; it waits for July, or more realistically November. Two resubmissions is most of a year in calendar time alone.
-
Index the PBS Cabinet threshold, which has been widening its own coverage for years
threshold
~300d Listings with a financial impact above $20 million go to Cabinet rather than the Minister. The threshold is not indexed, so inflation moves medicines across it without anyone deciding they should cross. Cabinet approval time has reportedly grown from 6.7 months to 10.
Sources
- PBS, TGA and PBAC parallel process factsheet: registration and reimbursement evaluation undertaken in parallel for eligible submissions; PBS listing cannot occur before ARTG listing
- PBS, published PBAC meeting calendar: three meetings a year
- The Minister approves listings with a financial impact below $20 million; above that the listing requires Cabinet approval
- Reported increase in Cabinet approval time from 6.7 months to 10 months, with Cabinet approval able to delay listing by 12 months or more
- Senate committee recommendation that the Cabinet threshold be increased
Something wrong here?
This page is wrong in some way -- every page like it is. If you have run
this process, the most useful thing you can do is tell us which step took
longer than we say and why. Edit
data/processes/au-pbs-listing.toml and open a pull request, or
send us the correction.
