Document ID: chunk:federal_register_of_legislation:C2007A00111:clause:1_99acb:p2
Version: federal_register_of_legislation:C2007A00111
Segment Type: clause
Provision Reference: sch 1 cl 99ACB (pt 2/2)
Character Range: 35817–37864

has the same drug and manner of administration as the new brand of the trigger item; or
 (d) if the drug that is in the trigger item is in a therapeutic group—a listed brand of a pharmaceutical item that:
 (i) has another drug that is in that group; and
 (ii) has the same manner of administration as the new brand of the trigger item.

Note: For the purposes of subparagraph (a)(i), subsection (1) is taken not to have applied in relation to a brand of a pharmaceutical item in some cases: see section 99AEI.

12.5% price reduction

 (4) The Minister:
 (a) may, under section 85AD, make a price agreement for the new brand of the trigger item; and
 (b) must not make a determination under section 85B in relation to the new brand of the trigger item.

 (5) Subject to subsection (6), the agreed price for the new brand of the trigger item that comes into force on the determination day must not exceed the approved price to pharmacists, on the day before the determination day, of the existing brand of the existing item, reduced by 12.5%.

Apportioning if quantities different

 (6) If:
 (a) the approved price to pharmacists, on the day before the determination day, of the existing brand of the existing item is for a particular quantity or number of units of that item; and
 (b) the agreed price for the new brand of the trigger item is not for the same quantity or number of units;
then, for the purposes of subsection (4), the approved price to pharmacists of the existing brand of the existing item is taken to be adjusted proportionally to what it would have been if the quantity or number of units of the existing brand of the existing item had been the same as the quantity or number of units of the new brand of the trigger item.

Section does not limit Minister's powers

 (7) This section does not limit the Minister's powers, after the determination day, to make:
 (a) further price agreements; or
 (b) determinations under section 85B;
for the new brand of the trigger item.

Subdivision C—Price reductions for combination items