{"id":"F2012L02518","name":"Direction to the Independent Hospital Pricing Authority on the Performance of its functions (No. 1 of 2012)","slug":"direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":126681,"registerId":"commonwealth-F2012L02518-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Direction to the Independent Hospital Pricing Authority on the Performance of its functions (No. 1 of 2012)","content":"Commonwealth of Australia\n\nNational Health Reform Act 2011\n\nDIRECTION\n\nTO THE INDEPENDENT HOSPITAL PRICING AUTHORITY ON THE PERFORMANCE OF ITS FUNCTIONS (No. 1 of 2012)\n\nI, TANYA PLIBERSEK, Minister for Health and Ageing, acting under subsection 226(1) of the National Health Reform Act 2011 (“the Act”), having consulted with the Standing Council on Health DIRECT that the Independent Hospital Pricing Authority make the determination set out in Item 1 of Schedule 1 of this instrument, and have regard to the matters set out in Item 2 of Schedule 1 of this instrument.\n\nCitation\n\n    This Direction may be cited as the Ministerial Direction to the Independent Hospital Pricing Authority on the Performance of its Functions (No. 1 of 2012).\n\nCommencement\n\n    2. This instrument takes effect on the day after it is registered in the Federal Register of Legislative Instruments.\n\nDated: 28 November 2012\n\n  \n  \nTanya Plibersek\n\nTANYA PLIBERSEK\n\nMinister for Health and Ageing\n\n  \nSchedule 1\n\n    1. Functions\n\n    (i) By 30 June 2013, the Pricing Authority must determine the national efficient price for a list of standard items (provided to it by the National Health and Medical Research Council) associated with conducting clinical trials in Australia.\n\n    (ii) At the first meeting of the Standing Council on Health after 30 June 2013, the Pricing Authority must provide a report on its performance of the activity referred to in Item 1(i) of this Direction to the Minister for Health and Ageing and to the Minister having responsibility for health in each State and Territory.\n\n    2\\. Matters the Pricing Authority is to have regard to\n\n    (i) In performing the activity described in Item 1 of this Schedule, the Pricing Authority must have regard to the matters set out in subsection 131(3) of the Act.\n\n    (ii) In addition, the Pricing Authority may, so far as the Act permits, have regard to the following matters:\n\n(a) The actual activity of each item;\n\n(b) Principles of cost-recovery; and\n\n(c) Submissions from relevant parties, including clinical trial sponsors and private hospitals.","sortOrder":0}],"analysis":{"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This direction represents a narrow, specific ministerial instruction consistent with the original purpose of the National Health Reform Act 2011. It does not expand the IHPA's general functions but rather assigns a discrete, time-bound task within its existing pricing authority. The scope remains tightly focused on clinical trial pricing."},"complexity_factors":["Very short document (approximately 350 words)","Only 2 defined items in Schedule 1 with straightforward sub-items","Single cross-reference to section 131(3) of the parent Act","No nested exceptions or conditional logic","Clear, directive language ('must determine', 'must provide', 'must have regard to')","Limited scope — one specific task with one deadline"],"plain_english_summary":"The Health Minister directs the Independent Hospital Pricing Authority to calculate a national efficient price for hospital clinical trial activities by 30 June 2013, using NHMRC guidance on which services to price. \n\nThis sets a single, transparent cost benchmark affecting IHPA’s work, state and territory ministers’ oversight, trial sponsors and hospitals, and indirectly patients and researchers—reducing funding uncertainty and helping attract and fairly reimburse clinical research in Australia."},"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":true,"description":"The Direction adds a specific, time‑limited pricing task and a reporting obligation to IHPA’s functions: it requires a determination of national efficient prices for NHMRC‑provided clinical trial items by 30 June 2013 and prescribes matters to be taken into account (Schedule 1). This narrows IHPA’s general function into a discrete, mandated deliverable with consultation and evidentiary requirements (Schedule 1(1)–(2))."},"complexity_factors":["Time‑bound deliverable with a firm deadline (Schedule 1(1)(i)).","External dependency: list of standard items supplied by the National Health and Medical Research Council (Schedule 1(1)(i)).","Reporting obligation to multiple ministers at the first Standing Council meeting after deadline (Schedule 1(1)(ii)).","Legal cross‑reference to subsection 131(3) of the Act, importing external statutory considerations (Schedule 1(2)(i)).","Discretionary, non‑exhaustive matters IHPA may consider (actual activity, cost‑recovery, submissions) which create consultation and evidentiary tasks (Schedule 1(2)(ii)(a)–(c)).","Commencement tied to registration date, affecting timing of implementation (Commencement cl.2)."],"plain_english_summary":"This Direction requires the Independent Hospital Pricing Authority (IHPA) to determine a national efficient price for a list of standard items linked to conducting clinical trials by 30 June 2013, and to report that work to the Minister and State/Territory health ministers at the first Standing Council on Health meeting after that date (Schedule 1(1)). IHPA must have regard to subsection 131(3) of the Act and may consider actual item activity, cost‑recovery principles and stakeholder submissions (Schedule 1(2)), creating limited discretion and consultation obligations."},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"}},"importantCases":[],"_links":{"self":"/api/acts/direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-","history":"/api/acts/direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-/history","analysis":"/api/acts/direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-/analysis","conflicts":"/api/acts/direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-/conflicts","importantCases":"/api/acts/direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-/important-cases","documents":"/api/acts/direction-to-the-independent-hospital-pricing-authority-on-the-performance-of-its-functions-no-1-of-/documents"}}