Document ID: chunk:federal_register_of_legislation:C2025C00090:section:99adha
Version: federal_register_of_legislation:C2025C00090
Segment Type: section
Provision Reference: s 99ADHA
Character Range: 399803–401544

99ADHA  Price reduction for brands listing after end of data collection period

When this section applies
 (1) This section applies if:
 (a) a determination under subsection 85(6) is in force on the reduction day in relation to a brand (the new brand) of a pharmaceutical item (the existing item); and
 (b) the determination came into force:
 (i) after the last day of the period in respect of which the weighted average disclosed price is determined for another brand (the existing brand) of the existing item; and
 (ii) before the reduction day; and
 (c) the approved ex‑manufacturer price of the existing brand of the existing item is reduced on the reduction day under subsection 99ADH(3).

Price reduction
 (2) On the reduction day, the approved ex‑manufacturer price of the new brand of the existing item is taken to be reduced to the same amount as the approved ex‑manufacturer price of the existing brand of the existing item on that day.

Claimed price reduction
 (3) If, on the reduction day:
 (a) a determination under subsection 85B(3) is in force in relation to a particular pack quantity of the new brand of the existing item; and
 (b) the approved ex‑manufacturer price of the new brand of the existing item is reduced because of subsection (2);
then, on the reduction day the claimed price for that pack quantity of the new brand of the existing item is taken to be reduced by the percentage worked out as follows:

where:
AEMP1 means the amount that would have been the approved ex‑manufacturer price of the new brand of the existing item on the reduction day if the reduction under subsection (2) had not occurred.
AEMP2 means the approved ex‑manufacturer price of the new brand of the existing item on the reduction day.