National Health (Pharmaceutical Benefits) (Conditions for approved pharmacists) Determination 2017
In ForceCTH
Jurisdiction
Commonwealth
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legislative instrument
Plain English Summary
6/10 complexity
This Determination sets conditions for pharmacists approved to supply Pharmaceutical Benefits Scheme (PBS) medicines: it requires compliance with legal and professional standards, continuing education, that dispensing steps occur at approved premises under a physically present registered pharmacist, and limits use of approval numbers and certain inter‑pharmacy arrangements. It affects any approved pharmacist who dispenses PBS medicines because compliance controls eligibility for Commonwealth payments and can lead to suspension or revocation of approval.
This Determination (National Health (Pharmaceutical Benefits) (Conditions for approved pharmacists) Determination 2017, Determination No. PB 70 of 2017) prescribes mandatory conditions that apply to a person’s approval as an approved pharmacist for the purposes of Part VII of the National Health Act 1953 (the Act). The instrument sets out where and how dispensing and supply of pharmaceutical benefits can be carried out by approved pharmacists, imposes standards of professional practice and continuing education requirements, and creates express prohibitions on using an approval outside the specific premises it covers. See s 1 (name), s 4 (purpose) and s 5A (application).
Mechanically, the Determination does the following, among other things:
Requires approved pharmacists to meet specified standards of practice when dispensing and supplying pharmaceutical benefits, including compliance with legal pharmacy practice requirements, the Pharmaceutical Society of Australia Code of Ethics for Pharmacists (2017) and Professional Practice Standards - Version 5 - June 2017, and a disciplined dispensing procedure with enumerated elements. See s 6.
Requires maintenance of currency of pharmaceutical knowledge in accordance with the National Competency Standards Framework for Pharmacists in Australia 2016. See s 7.
Imposes a duty on an approved pharmacist who is approved in respect of particular premises to ensure that any registered pharmacist who dispenses pharmaceutical benefits at those premises but is not themselves approved for those premises complies with the Determination’s conditions. See s 8.
Prohibits an approved pharmacist from purporting to supply pharmaceutical benefits at or from premises that are not approved premises for the pharmacist, and from using their approval number in relation to the dispensing or purported dispensing at other premises. See ss 9 and 14.
Current sections
Direct links to the current provisions in National Health (Pharmaceutical Benefits) (Conditions for approved pharmacists) Determination 2017.
18
Part 1
Preliminary
Part 1—Preliminary
1
Name of Determination
1 Name of Determination
(1) This Determination is the National Health (Pharmaceutical Benefits) (Conditions for approved pharmacists) Determination 2017.
(2) This Determination may also be cited as Determination No. PB 70 of 2017.
4
Purpose
4 Purpose
For paragraph 92A (1) (f) of the National Health Act 1953 (the Act), this Determination sets out conditions that apply to the approval of a person as an approved pharmacist for the purposes of Part VII of the Act (including an approval granted before the commencement of section 92A of the Act and an approval of a person or body referred to in section 83Z of the Act).
Note 1: The Minister may, after investigation and report by the appropriate Committee of Inquiry, suspend, further suspend or revoke the approval of a pharmacist if the Minister is satisfied that the pharmacist has, in relation to or arising out of the approval, been guilty of conduct which is an abuse of that approval (see section 95 of the Act). Any conduct of an approved pharmacist that is a contravention of the conditions specified in section 92A of the Act shall be deemed to be conduct that is an abuse of the pharmacist’s approval for the purposes of section 95 of the Act (see subsection 92A(3) of the Act).
Note 2: The dispensing of drugs and medicinal preparations is also regulated under State and Territory laws.
5
Definitions
5 Definitions
Note 1: A number of expressions used in this Determination are defined in the Act, including the following:
(a) pharmacist (see subsection 4(1) of the Act);
(b) premises (see subsection 4(1) of the Act);
(c) prescription for the supply of a pharmaceutical benefit (see subsection 4(2) of the Act);
(d) supply of pharmaceutical benefits at premises (see subsection 4(3) of the Act).
Note 2: Under subsection 4(1A) of the Act, a word or phrase defined for the purposes of the Health Insurance Act 1973 has the meaning that it would have if used in that Act. The expression National Law used in this instrument is defined in that Act.
In this determination:
Act means the National Health Act 1953.
approval number, for an approved pharmacist in respect of particular premises, means the pharmacist’s approval number under section 16 of the Regulations in respect of those premises.
approved pharmacist has the same meaning as in Part VII of the Act.
approved premises for an approved pharmacist means premises in respect of which the pharmacist is approved for the purposes of Part VII of the National Health Act 1953.
arrangement includes a contract, agreement or understanding, written or oral, and whether or not legally enforceable.
brand has the same meaning as in Part VII of the Act.
continued dispensing prescription, for a supply of a pharmaceutical benefit in accordance with subsection 89A(1) of the Act (supply without prescription), means the prescription referred to section 3.03 of the National Health (Continued Dispensing) Determination 2022 in relation to the supply.
deferred supply authorisation has the same meaning as in the Regulations.
dispensing step: each of the following is a dispensing step in the dispensing of a pharmaceutical benefit:
(a) if the benefit is to be supplied on the basis of a prescription (other than a medication chart prescription), repeat authorisation or deferred supply authorisation—reviewing the prescription, repeat authorisation or deferred supply authorisation;
(b) if any of the following apply to the benefit—preparing the benefit:
(i) the benefit is a listed brand of a pharmaceutical item and the quantity of the benefit is less than a pack quantity of the listed brand of the pharmaceutical item;
(ii) the benefit requires the admixture of ready‑prepared ingredients;
(iii) the benefit is an extemporaneously‑prepared pharmaceutical benefit;
(c) if the benefit is to be supplied other than on an order lodged under section 33 of the Regulations (prescriber bag supplies)—generating, and affixing to the packaging for the benefit, a label that displays the following:
(i) for a benefit other than an extemporaneously‑prepared pharmaceutical benefit or a benefit that is to be supplied in accordance with the National Health (Efficient Funding of Chemotherapy) Special Arrangement 2024—the brand of the pharmaceutical item in the benefit;
(ii) if paragraph 40(2A)(b) or 41(2A)(b) of the Regulations applied to the prescription or continued dispensing prescription for the supply of the benefit—each drug that the benefit has;
(iii) the form (if any) and quantity or number of units of the benefit;
(iv) directions for use of the benefit in accordance with the instructions of the PBS prescriber who wrote the prescription or continued dispensing prescription for the supply of the benefit;
(v) the name of the person for whom the prescription or continued dispensing prescription for the supply of the benefit was written;
(vi) the date the benefit is dispensed;
(vii) the address of the premises at which the benefit is dispensed;
(viii) the name of the pharmacy situated at those premises (the dispensing pharmacy);
(ix) if subsection 64(1) of the Regulations applies to the benefit—the full cost of the benefit;
(d) if required by section 52 of the Regulations—preparing a repeat authorisation for the benefit;
(e) recording the dispensing of the benefit in the dispensing pharmacy’s system for recording the dispensing of pharmaceutical benefits.
Note 1: For paragraph (a), a prescription may be in the form of a paper‑based prescription or an electronic prescription (see section 39 of the Regulations).
Note 2: For subparagraphs (c)(ii), (iv) and (v), a prescription may be in the form of a paper‑based prescription, an electronic prescription or a medication chart prescription (see section 39 of the Regulations).
Note 3: For subparagraph (c)(iii), the form of a pharmaceutical benefit may be determined by reference to strength, type of unit, size of unit or otherwise, and may be such as to require the addition of a substance or substances to the drug so that it will be suitable for administration in a particular manner or at a particular strength (see subsections 85(3) and (4) of the Act).
electronic prescription has the same meaning as in the Regulations.
extemporaneously‑prepared pharmaceutical benefit has the same meaning as in the National Health (Listing of Pharmaceutical Benefits) Instrument 2024.
listed brand has the same meaning as in Part VII of the Act.
medication chart prescription has the same meaning as in the Regulations.
pack quantity has the same meaning as in Part VII of the Act.
paper‑based prescription has the same meaning as in the Regulations.
PBS prescriber has the same meaning as in Part VII of the Act.
pharmaceutical benefit has the same meaning as in Part VII of the Act.
pharmaceutical item has the same meaning as in Part VII of the Act.
pharmacy means a business in the course of the carrying on of which pharmaceutical benefits are supplied.
record form has the same meaning as in Part VII of the Act.
registered pharmacist means an individual who is registered under the National Law in the pharmacy profession.
Regulations means the National Health (Pharmaceutical Benefits) Regulations 2017.
repeat authorisation has the same meaning as in the Regulations.
5A
Application of this Determination
5A Application of this Determination
This Determination applies to the dispensing and supply of a drug or medicinal preparation if:
(a) the supply of the drug or medicinal preparation is to be a supply of a pharmaceutical benefit under Part VII of the Act (other than a supply taken, because of subsection 99(2A), (2AB) or (2B) of the Act, to be a supply otherwise than under Part VII of the Act); or
(b) it is purported that the supply of the drug or medicinal preparation is to be a supply of a pharmaceutical benefit under Part VII of the Act (other than a supply taken, because of subsection 99(2A), (2AB) or (2B) of the Act, to be a supply otherwise than under Part VII of the Act).
Note 1: For example, this Determination does not apply to the dispensing and supply of a drug or medicinal preparation if:
(a) the drug or medicinal preparation is not a pharmaceutical benefit; or
(b) both:
(i) the drug or medicinal preparation is supplied on the basis of a prescription; and
(ii) the person presenting the prescription requests that the drug or medicinal preparation not be supplied as a pharmaceutical benefit under Part VII of the Act.
Note 2: For example, this Determination does not apply to the dispensing and supply of a pharmaceutical benefit if:
(a) the person to whom the pharmaceutical benefit is supplied is not covered by subsection 86(1) of the Act (entitlement to receive pharmaceutical benefits); or
(b) the following circumstances apply:
(i) the pharmaceutical benefit is supplied on the basis of a prescription;
(ii) the pharmaceutical benefit is determined, under subsection 85(7) of the Act, to be a relevant pharmaceutical benefit for the purposes of section 88A of the Act (prescription of certain pharmaceutical benefits authorised only in certain circumstances);
(iii) the writing of the prescription was not authorised as mentioned in that section.
Part 2
Conditions
Part 2—Conditions
6
Standards of practice
6 Standards of practice
An approved pharmacist must, in dispensing and supplying pharmaceutical benefits:
(a) comply with all legal requirements for the practice of pharmacy; and
(b) treat patients with dignity regardless of manner of payment, race, sex, age, nationality, religion, disability or any other factor; and
(c) comply with the Code of Ethics for Pharmacists (2017), published by the Pharmaceutical Society of Australia on 1 February 2017; and
(d) comply with the Professional Practice Standards – Version 5 – June 2017, published by the Pharmaceutical Society of Australia in June 2017, in relation to each patient, subject to the patient’s preparedness to:
(i) ensure that the pharmacist has ready access to the patient’s medication history; and
(ii) provide relevant personal medical information necessary for the pharmacist to individualise patient care; and
(iii) authorise medical practitioners and other health care practitioners to release relevant medical information necessary for the pharmacist to act responsibly and reasonably and to individualise patient care; and
(iv) allow the pharmacist sufficient time to dispense medications; and
(v) follow advice and directions given by the patient’s medical practitioner or pharmacist and report any unusual or adverse reactions as soon as possible; and
(e) maintain a disciplined dispensing procedure that includes:
(i) attention to accuracy of product or ingredient selection; and
(ii) accuracy of calculations; and
(iii) application of accepted techniques for the preparation of pharmaceutical products; and
(iv) appropriate packaging and storage; and
(v) accuracy of the final product; and
(vi) adequate information for the patient.
Note 1: The following are examples for subparagraph (d)(i) of ways that a patient could ensure that an approved pharmacist has ready access to the patient’s medication history:
(a) the patient having all medications, including pharmaceutical benefits, dispensed at or from a single approved premises for the pharmacist;
(b) the patient providing the pharmacist with the patient’s record forms (if any);
(c) the patient authorising the transfer of the patient’s medication history to the approved pharmacist.
Note 2: The Code of Ethics for Pharmacists (2017) and the Professional Practice Standards – Version 5 – June 2017 could in 2023 be viewed on the Pharmaceutical Society of Australia’s website (https://www.psa.org.au).
7
Continuing education
7 Continuing education
An approved pharmacist must maintain the currency of his or her pharmaceutical knowledge in accordance with the National Competency Standards Framework for Pharmacists in Australia 2016, published by the Pharmaceutical Society of Australia in 2016.
Note: The National Competency Standards Framework for Pharmacists in Australia 2016 could in 2023 be viewed on the Pharmaceutical Society of Australia’s website (https://www.psa.org.au).
8
Ensuring other pharmacists at approved premises comply with conditions
8 Ensuring other pharmacists at approved premises comply with conditions
An approved pharmacist that is approved in respect of particular premises must ensure that a registered pharmacist:
(a) who is not an approved pharmacist in respect of those premises; and
(b) who dispenses pharmaceutical benefits at those premises;
complies with the conditions set out in this Determination.
9
No purported supply of pharmaceutical benefits at or from unapproved premises
9 No purported supply of pharmaceutical benefits at or from unapproved premises
Purported supply at unapproved premises
(1) An approved pharmacist must not purport to supply a pharmaceutical benefit at premises that are not approved premises for the pharmacist.
Note: A reference to the supply of pharmaceutical benefits at premises is a reference to the supply of pharmaceutical benefits to people who are at the premises when the supply is made (see subsection 4(3) of the Act).
Purported supply from unapproved premises
(2) An approved pharmacist must not purport to supply a pharmaceutical benefit from premises that are not approved premises for the pharmacist.
10
Requirements for supply of pharmaceutical benefits at or from approved premises—dispensing steps
10 Requirements for supply of pharmaceutical benefits at or from approved premises—dispensing steps
(1) An approved pharmacist must not supply a pharmaceutical benefit at or from approved premises for the pharmacist if a requirement in this section is not met in relation to the dispensing of the benefit.
Benefit must be at approved premises when dispensing steps performed
(2) The benefit must be at the approved premises when each dispensing step in the dispensing of the benefit is performed.
Registered pharmacist must dispense or supervise dispensing
(3) A registered pharmacist must dispense, or directly supervise the dispensing of, the benefit.
Registered pharmacist must be physically present at approved premises when dispensing steps performed
(4) The registered pharmacist dispensing, or directly supervising the dispensing of, the benefit must be physically present at the approved premises when each dispensing step in the dispensing of the benefit is performed.
11
Requirements for supply of pharmaceutical benefits at or from approved premises—prescriptions other than medication chart prescriptions
11 Requirements for supply of pharmaceutical benefits at or from approved premises—prescriptions other than medication chart prescriptions
(1) An approved pharmacist must not supply a pharmaceutical benefit at or from approved premises for the pharmacist if:
(a) the benefit is supplied on the basis of a prescription that is not a medication chart prescription; and
(b) the requirement in subsection (2) is not met in relation to the dispensing of the benefit.
(2) The registered pharmacist dispensing, or directly supervising the dispensing of, the benefit must, when the step mentioned in paragraph (a) of the definition of dispensing step in section 5 is performed, see the prescription at the approved premises.
Note: For supplies of pharmaceutical benefits without prescriptions, see the following:
(a) subsection 89A(1) of the Act and section 46 of the Regulations (supply without prescription);
(b) section 33 of the Regulations (prescriber bag supplies);
(c) section 48 of the Regulations (supply before surrender of written prescription).
12
Advances not to be sought, and claims for payment not to be made, for purported supplies or supplies contravening section 10 or 11
12 Advances not to be sought, and claims for payment not to be made, for purported supplies or supplies contravening section 10 or 11
Advances
(1) An approved pharmacist must not seek an advance under subsection 99AB(1) of the Act in relation to:
(a) the purported supply of a pharmaceutical benefit as mentioned in subsection 9(1) or (2) of this Determination; or
(b) the supply of a pharmaceutical benefit if the supply contravened subsection 10(1) or 11(1) of this Determination.
Claims for payment
(2) An approved pharmacist must not make a claim for payment from the Commonwealth in relation to:
(a) the purported supply of a pharmaceutical benefit as mentioned in subsection 9(1) or (2); or
(b) the supply of a pharmaceutical benefit if the supply contravened subsection 10(1) or 11(1).
Note: Section 99 of the Act does not authorise payment in respect of the supply of a drug or medicinal preparation by an approved pharmacist at or from premises in respect of which the pharmacist is not approved (see paragraph 99(3)(b) of the Act).
13
Deferred supply authorisations to be prepared only at approved premises
13 Deferred supply authorisations to be prepared only at approved premises
(1) This section applies to the preparation by an approved pharmacist of a deferred supply authorisation.
(2) The approved pharmacist must ensure that the authorisation is prepared by, or under the direct supervision of, a registered pharmacist who is physically present at premises that are approved premises for the approved pharmacist.
14
Approval numbers not to be used in connection with unapproved premises
14 Approval numbers not to be used in connection with unapproved premises
An approved pharmacist must not use, or allow the use of, the pharmacist’s approval number in respect of particular premises in relation to:
(a) the dispensing of a pharmaceutical benefit at any other premises; or
(b) the purported supply of a pharmaceutical benefit at or from any other premises; or
(c) the preparation of a repeat authorisation at any other premises; or
(d) the preparation of a deferred supply authorisation at any other premises.
Note 1: For example (for paragraphs (a) and (b)), an approved pharmacist must not affix (or allow to be affixed) a label to a pharmaceutical benefit purportedly supplied by the approved pharmacist if:
(a) the label displays the approval number allotted in respect of premises that are approved premises for the pharmacist; and
(b) the benefit is dispensed at, or purportedly supplied at or from, premises other than those approved premises for the pharmacist.
Note 2: For example (for paragraph (c)), an approved pharmacist must not mark (or allow the marking) on a repeat authorisation the approval number allotted in respect of premises that are approved premises for the pharmacist if the repeat authorisation is prepared at premises other than those approved premises for the pharmacist.
Note 3: For example (for paragraph (d)), an approved pharmacist must not mark (or allow the marking) on a deferred supply authorisation the approval number allotted in respect of premises that are approved premises for the pharmacist if the deferred supply authorisation is prepared at premises other than those approved premises for the pharmacist.
15
Approved pharmacists not to enter into certain arrangements
15 Approved pharmacists not to enter into certain arrangements
An approved pharmacist must not enter into an arrangement with the owner or operator of another pharmacy business for the supply by the approved pharmacist of pharmaceutical benefits to persons presenting at that pharmacy business.
Part 3
Application, saving and transitional provisions
Part 3—Application, saving and transitional provisions
16
Application of amendments made by the National Health Legislation Amendment (Conditions of Approval for Approved Pharmacists) Instrument 2023
16 Application of amendments made by the National Health Legislation Amendment (Conditions of Approval for Approved Pharmacists) Instrument 2023
(1) Despite the amendments of this Determination made by Schedule 1 to the National Health Legislation Amendment (Conditions of Approval for Approved Pharmacists) Instrument 2023, this Determination continues to apply, as if those amendments had not been made, in relation to an approved pharmacist to whom subsection (2) applies during the period mentioned in subsection (3) for the pharmacist.
(2) For the purposes of subsection (1), this subsection applies to an approved pharmacist if, immediately before 1 June 2023, the Pharmaceutical Services Federal Committee of Inquiry was inquiring into a matter that concerns the services or conduct of the pharmacist.
(3) For the purposes of subsection (1), the period for the pharmacist begins on 1 June 2023 and ends at the end of the day on which the Committee:
(a) gives its report in relation to the matter to the pharmacist; or
(b) gives the pharmacist notice in writing that the inquiry has terminated.
Source text: opening excerpt
Sourced from the Federal Register of Legislation (legislation.gov.au), CC BY 4.0.
Part 1 Preliminary
Part 1—Preliminary
1 Name of Determination
1 Name of Determination
(1) This Determination is the National Health (Pharmaceutical Benefits) (Conditions for approved pharmacists) Determination 2017.
(2) This Determination may also be cited as Determination No. PB 70 of 2017.
4 Purpose
4 Purpose
For paragraph 92A (1) (f) of the National Health Act 1953 (the Act), this Determination sets out conditions that apply to the approval of a person as an approved pharmacist for the purposes of Part VII of the Act (including an approval granted before the commencement of section 92A of the Act and an approval of a person or body referred to in section 83Z of the Act).
Note 1: The Minister may, after investigation and report by the appropriate Committee of Inquiry, suspend, further suspend or revoke the approval of a pharmacist if the Minister is satisfied that the pharmacist has, in relation to or arising out of the approval, been guilty of conduct which is an abuse of that approval (see section 95 of the Act). Any conduct of an approved pharmacist that is a contravention of the conditions specified in section 92A of the Act shall be deemed to be conduct that is an abuse of the pharmacist’s approval for the purposes of section 95 of the Act (see subsection 92A(3) of the Act).
Note 2: The dispensing of drugs and medicinal preparations is also regulated under State and Territory laws.
5 Definitions
5 Definitions
Note 1: A number of expressions used in this Determination are defined in the Act, including the following:
(a) pharmacist (see subsection 4(1) of the Act);
(b) premises (see subsection 4(1) of the Act);
(c) prescription for the supply of a pharmaceutical benefit (see subsection 4(2) of the Act);
(d) supply of pharmaceutical benefits at premises (see subsection 4(3) of the Act).
Note 2: Under subsection 4(1A) of the Act, a word or phrase defined for the purposes of the Health Insurance Act 1973 has the meaning that it would have if used in that Act. The expression National Law used in this instrument is defined in that Act.
In this determination:
Act means the National Health Act 1953.
approval number, for an approved pharmacist in respect of particular premises, means the pharmacist’s approval number under section 16 of the Regulations in respect of those premises.
Requires each dispensing step to be performed while the pharmaceutical benefit is physically at the approved premises and to be dispensed by, or under the direct supervision of, a registered pharmacist who is physically present at the approved premises whenever the dispensing steps are performed. See s 10 and the definition of dispensing step in s 5.
Requires a registered pharmacist to see the prescription at the approved premises when the review step of a prescription (other than medication chart prescriptions) is performed. See s 11 and s 5 definitions.
Prohibits certain commercial arrangements: an approved pharmacist must not enter into an arrangement with the owner or operator of another pharmacy business for the supply by the approved pharmacist of pharmaceutical benefits to persons presenting at that other pharmacy business. See s 15.
Forbids seeking advances or making claims for payment from the Commonwealth in relation to purported supplies at unapproved premises or supplies that contravened the requirements of ss 10 or 11. See s 12.
Specifies that deferred supply authorisations must be prepared only at approved premises, by or under the direct supervision of a registered pharmacist physically present at those premises. See s 13.
The Determination also contains application and transitional provisions preserving the earlier rules for pharmacists who were the subject of inquiries by the Pharmaceutical Services Federal Committee of Inquiry as at 1 June 2023. See s 16. The Determination cross‑refers repeatedly to the Act, the Regulations (National Health (Pharmaceutical Benefits) Regulations 2017) and other National Health instruments and notes that dispensing is also regulated under State and Territory laws. See s 4 Note 2, s 5 and s 5A.
Main concepts
This Determination is built around a small set of controlling concepts that structure what behaviour is required, permitted, or forbidden. The key concepts are: approved pharmacist; approved premises; dispensing step; approval number; and the scope of application to pharmaceutical benefits.
Approved pharmacist and approved premises: The Determination applies to a person approved as an approved pharmacist and to the premises in respect of which that person is approved. The approval is premise‑specific; many provisions require that actions be performed at the approved premises for the pharmacist. See definitions in s 5 and application in s 5A.
Dispensing step: The instrument defines, in detail, what constitutes a dispensing step in s 5. Dispensing steps include review of the prescription (or repeat/deferred supply authorisation), certain preparation steps (for listed brands when quantity is less than a pack, admixture of ready‑prepared ingredients, or extemporaneous preparation), generation and affixing of a label that must display particular information, preparation of repeat authorisations where required, and recording the dispensing in the dispensing pharmacy’s system. That definition is crucial because s 10 requires that the pharmaceutical benefit be physically at the approved premises whenever each dispensing step is performed and that a registered pharmacist be present or directly supervising those steps. See s 5 (dispensing step) and s 10.
Approval number: Each approved pharmacist has an approval number in respect of particular premises (s 5). The Determination bars use of that approval number in relation to dispensing or purported dispensing at any other premises, and in relation to preparation of repeat authorisations or deferred supply authorisations at other premises. See s 14.
Scope and exclusions: Section 5A defines when the Determination applies. It applies to supplies that are supplies of pharmaceutical benefits under Part VII of the Act (subject to specific exceptions). The Determination does not apply where the drug or preparation is not a pharmaceutical benefit, or where the person presenting requests that the supply not be made as a pharmaceutical benefit under Part VII, among other exceptions. The notes to s 5A give examples drawing on the Act’s provisions (for example s 85(7) and s 88A) and note that entitlement under s 86(1) matters for application. See s 5A and its notes.
Professional standards and continuing education: The instrument requires compliance with legal requirements for pharmacy practice, the PSA Code of Ethics (2017) and Professional Practice Standards (2017), and continuing education in line with the National Competency Standards Framework for Pharmacists in Australia 2016. These standards are incorporated by reference: the Determination mandates compliance rather than creating new standalone professional standards. See s 6 and s 7.
Financial and administrative controls: Section 12 makes it an offence against the Determination to seek advances (subsection 99AB(1) of the Act) or to make claims for payment from the Commonwealth in relation to supplies that are purported at unapproved premises or that contravene ss 10 or 11. The note to s 12 cross‑references s 99 of the Act on payment authorisation.
Commercial prohibitions: Section 15 prohibits entering into an arrangement with the owner or operator of another pharmacy business for the supply of pharmaceutical benefits to persons presenting at that business. This targets the commercial mechanism of using another pharmacy’s customer base or premises to supply benefits under an approved pharmacist’s authority.
Enforcement linkages: The Determination references the Minister’s powers under the Act, including suspension or revocation after investigation by an appropriate Committee of Inquiry, and states that contraventions of conditions specified in s 92A of the Act are deemed to be abuse of approval for s 95 purposes. See s 4 Note 1.
Who it affects
Primary affected parties are approved pharmacists and the premises in respect of which they are approved. The Determination attaches duties to the approved pharmacist in relation to their approved premises and imposes obligations on them to ensure that other registered pharmacists who dispense at those premises but are not themselves approved comply with the Determination. See ss 5, 6, 8.
Registered pharmacists who are not approved for particular premises are affected indirectly: an approved pharmacist must ensure those registered pharmacists comply with the conditions when they dispense at the approved premises. See s 8. That creates an internal compliance responsibility for the approved pharmacist to supervise non‑approved staff performing dispensary duties at the premises.
Pharmacy businesses and owners/operators of pharmacy businesses are affected in several ways. Section 15 prohibits an approved pharmacist from entering into an arrangement with another pharmacy business for supply of pharmaceutical benefits to persons presenting at that other business. That is a direct constraint on business models involving cross‑site arrangements, outsourcing of face‑to‑face supply, or contractual provision of services to physical outlets that are not the approved premises. Owners of pharmacy businesses must therefore heed that approved pharmacists cannot lawfully supply to persons presenting at another pharmacy under an arrangement with the owner/operator of that other business. See s 15.
Pharmacy staff and operations teams are affected because the definition of dispensing step (s 5) and the requirement that the benefit be physically at the approved premises when each dispensing step is performed (s 10(2)) mean that tasks such as labelling, preparation and recording must be carried out at the approved premises. Central‑fill models, off‑site labelling, or partial outsourcing of preparation steps are constrained where those activities would occur away from the approved premises.
Patients and consumers are affected indirectly. The Determination requires pharmacists to comply with the PSA Code of Ethics and Professional Practice Standards and to treat patients with dignity regardless of payment method and other characteristics (s 6(b)-(d)), and it requires pharmacists to provide adequate information to patients as part of the disciplined dispensing procedure (s 6(e)(vi)). The Determination also contemplates patient cooperation where patient medication history access is necessary for individualised care (s 6(d)(i) and Note 1). Patients who prefer to present prescriptions at a non‑approved premises may have their access to supply of pharmaceutical benefits affected by the commercial prohibitions in s 15 and the physical‑presence requirements.
Payers are affected in two practical ways. First, the Determination creates an express bar on seeking advances or making claims for payment for supplies that are purported at unapproved premises or that contravene ss 10 or 11 (s 12). That is a financial enforcement mechanism to prevent payments for non‑compliant supplies. Second, because the Determination links to the Act and the Regulations, decisions about entitlement to receive pharmaceutical benefits (s 86(1) of the Act) and payment authorisation under s 99 of the Act remain relevant; the Determination’s scope is framed by those entitlement and payment rules. See s 5A and note to s 12.
State and Territory regulators are implicated because the Determination acknowledges that dispensing of drugs is also regulated under State and Territory laws (s 4 Note 2). That means operational compliance must align with both the Determination and applicable state pharmacy practice, premises, and medicines handling requirements.
Regulatory decision‑makers and the Minister under the Act are affected because the Determination is an instrument the Minister uses to condition approvals. The Determination also interfaces with the Minister’s powers under s 95 of the Act for suspension, further suspension or revocation of approval after Committee investigation, and treats contraventions of certain conditions as abuse of approval for s 95 purposes. See s 4 Note 1.
Key duties and rights
Duties imposed by the Determination are mostly expressed as mandatory obligations on an approved pharmacist. The primary duties include:
Standards of practice (s 6)
Comply with all legal requirements for the practice of pharmacy (s 6(a)).
Treat patients with dignity irrespective of manner of payment and other listed attributes (s 6(b)).
Comply with the PSA Code of Ethics for Pharmacists (2017) and the Professional Practice Standards - Version 5 - June 2017 as published, subject to patient co‑operation on access to medication history and other practical items (s 6(c), (d)).
Maintain a disciplined dispensing procedure with enumerated elements covering product selection accuracy, calculations, preparation techniques, packaging and storage, final product accuracy and provision of adequate information to the patient (s 6(e)).
Continuing education (s 7)
Maintain currency of pharmaceutical knowledge in accordance with the National Competency Standards Framework for Pharmacists in Australia 2016.
Responsibility for other pharmacists at approved premises (s 8)
Ensure that registered pharmacists who dispense at the approved premises but are not approved for those premises comply with the conditions in the Determination.
Premises and dispensing obligations (ss 9, 10, 11)
Not purport to supply pharmaceutical benefits at premises that are not approved premises for the pharmacist, and not purport to supply from premises that are not approved for the pharmacist (s 9(1)‑(2)).
Ensure the pharmaceutical benefit is physically present at the approved premises when each dispensing step in the dispensing of the benefit is performed (s 10(2)).
Ensure a registered pharmacist dispenses or directly supervises the dispensing of the benefit, and that the registered pharmacist is physically present at the approved premises when each dispensing step is performed (s 10(3)‑(4)).
For supplies based on prescriptions other than medication chart prescriptions, ensure the registered pharmacist sees the prescription at the approved premises when the prescription is reviewed as part of the dispensing step process (s 11(1)‑(2)).
Controls on identifiers and authorisations (ss 13, 14)
Ensure deferred supply authorisations are prepared only at approved premises by or under the direct supervision of a registered pharmacist physically present at those premises (s 13).
Not use or allow use of the pharmacist’s approval number in respect of premises in relation to dispensing at any other premises, purported supply at any other premises, or the preparation of repeat or deferred supply authorisations at any other premises (s 14).
Commercial prohibition (s 15)
Not enter into an arrangement with the owner or operator of another pharmacy business for the supply by the approved pharmacist of pharmaceutical benefits to persons presenting at that other pharmacy business.
Financial duty not to claim (s 12)
Not seek advances under subsection 99AB(1) of the Act, or make claims for payment from the Commonwealth, for supplies that are purported at unapproved premises or for supplies that contravened ss 10 or 11.
Rights and interactions embedded in the Determination
The Determination does not create a new right to payment; it operates against the background of the Act and the Regulations. The instrument expressly notes that s 99 of the Act does not authorise payment for supplies made by an approved pharmacist at premises in respect of which the pharmacist is not approved (note to s 12). Rights to claim payment therefore remain governed by the Act and the Regulations.
The Determination requires compliance with external professional documents (PSA Code and Standards and the National Competency Standards). Those documents, as external sources, confer the operational content of professional duties but the Determination makes compliance mandatory for approved pharmacists.
Decision, supervision and delegation
The Determination draws a line between actions that may be undertaken by non‑registered staff (subject to direct supervision) and those which must be performed or directly supervised by a registered pharmacist physically present at the approved premises. See ss 10(3)‑(4) and s 13.
Transitional protection
Section 16 provides a temporary saving: pharmacists who were the subject of an inquiry by the Pharmaceutical Services Federal Committee of Inquiry immediately before 1 June 2023 are to be dealt with under the prior form of the Determination during the inquiry period. That preserves existing conditions for the duration of certain administrative reviews. See s 16(1)‑(3).
Penalties and enforcement
The Determination uses a combination of administrative enforcement mechanisms and financial controls rather than specifying stand‑alone criminal penalties within the instrument itself. The enforcement structure is primarily:
Financial prohibition and payment denial (s 12)
Section 12(1) and (2) make it a mandatory condition on approved pharmacists that they must not seek an advance under subsection 99AB(1) of the Act or make a claim for payment from the Commonwealth in relation to (a) purported supplies at unapproved premises as prohibited by s 9, or (b) supplies that contravened the requirements of ss 10 or 11. The note to s 12 explicitly references s 99 of the Act, stating that s 99 does not authorise payment for supply by an approved pharmacist at premises in respect of which the pharmacist is not approved. This creates an administrative financial lever: payment or advances from the Commonwealth are not available where the supply is non‑compliant.
Administrative disciplinary powers under the Act (s 4 Note 1)
The Determination expressly references the Minister’s power under s 95 of the Act to suspend, further suspend or revoke a pharmacist’s approval after investigation and report by an appropriate Committee of Inquiry if the Minister is satisfied that the pharmacist has been guilty of conduct that is an abuse of that approval. The Determination notes that any conduct that is a contravention of the conditions specified in s 92A of the Act shall be deemed to be conduct that is an abuse of the pharmacist’s approval for the purposes of s 95. That links contraventions of the Determination to the Act’s administrative sanctioning regime. See s 4 Note 1.
Internal compliance responsibility and supervisory liability (s 8)
An approved pharmacist must ensure that registered pharmacists who are not approved for those premises but who dispense at the premises comply with the Determination. Failure to do so could be treated as part of the conduct that the Minister may consider under s 95 of the Act, given the Determination is operative as conditions of approval under s 92A(1)(f) of the Act per s 4. See s 8 and s 4 Note 1.
Indirect enforcement through operational prohibitions
The Determination’s operational prohibitions function as enforceable conditions of approval. The text is framed as requirements on an approved pharmacist, and contravention is tied to the Act’s abuse of approval and sanctioning regime via the note in s 4. The immediate practical enforcement effect will often be denial of payment for non‑compliant supplies under s 12, coupled with administrative action under the Act for serious or repeated breaches.
Interaction with State and Territory enforcement
The Determination notes that dispensing of drugs and medicinal preparations is also regulated under State and Territory laws (s 4 Note 2). State regulators therefore retain their own inspection, licensing and disciplinary powers; this Determination does not supplant state regulatory enforcement.
No express criminal penalty in the Determination itself
The Determination does not set out criminal offences or pecuniary penalties within its text. Enforcement is effected primarily by making compliance a condition of approval, by withholding Commonwealth payment for non‑compliant supplies, and by referral to the Act’s administrative processes that can result in suspension or revocation of approval following Committee inquiry. See s 4 Note 1 and s 12.
Practical enforcement implications
Because the Determination ties compliance to Commonwealth payment and to the Act’s approval‑sanctioning powers, enforcement will likely involve administrative review and audit of claims and premises, requests for documentation, and potential Committee inquiries where abuse of approval is alleged. The transitional provision in s 16 preserves prior arrangements for pharmacists the subject of ongoing Committee inquiries as at 1 June 2023, which affects the timing and jurisdictional posture of enforcement in those specific cases.
How it interacts with other laws
The Determination is not an isolated instrument. It operates squarely within the statutory architecture of the National Health Act 1953, the Regulations, other National Health instruments, and State and Territory regulatory regimes. Key interaction points are:
The Act (Part VII and related provisions)
The Determination is made for the purposes of paragraph 92A(1)(f) of the National Health Act 1953 and is expressly tied to the Act’s mechanisms for approval, payment and sanction. The Determination’s conditions are conditions of approval under the Act (s 4). The Determination’s Note 1 connects contraventions to s 95 of the Act, and s 12 references payment provisions in s 99 of the Act. See s 4 Note 1; s 12 note.
The Regulations (National Health (Pharmaceutical Benefits) Regulations 2017)
The Determination repeatedly cross‑references the Regulations. Definitions in the Regulations (for example paper‑based prescription, electronic prescription, medication chart prescription, deferred supply authorisation and repeat authorisation) feed into the Determination’s definitions and operative requirements. See s 5 notes and references to the Regulations throughout (for example s 5 note 1 and s 5 definitions referencing the Regulations).
Other Commonwealth instruments and listings
The Determination references other National Health instruments: the National Health (Continued Dispensing) Determination 2022 is cited in the definition of continued dispensing prescription in s 5; the National Health (Listing of Pharmaceutical Benefits) Instrument 2024 is referenced for the definition of extemporaneously‑prepared pharmaceutical benefit; and the National Health (Efficient Funding of Chemotherapy) Special Arrangement 2024 is mentioned in s 5(c)(i) as an exception for labelling content in certain circumstances. Those cross‑references mean that those instruments will determine the content of certain dispensing steps and the scope of items to which the Determination’s labelling requirement applies. See s 5.
State and Territory laws
The Determination explicitly notes that the dispensing of drugs and medicinal preparations is also regulated under State and Territory laws (s 4 Note 2). This means that compliance requires attention to both Commonwealth conditions of approval and state licensing, premises, controlled medicines handling, and pharmacy practice law.
The Health Insurance Act 1973 and the National Law
Section 5 notes that expressions defined for the purposes of the Health Insurance Act 1973 have the meanings they would have in that Act, and that the expression National Law used in this Determination is defined in the Health Insurance Act. This technical cross‑reference should be kept in mind where definitions from the Health Insurance Act feed into interpretation of this Determination. See s 5 Note 2.
Payment and entitlement provisions
The Determination’s operation on claims and advances references the entitlement and payment framework in the Act. Section 5A sets out when the Determination applies to supplies that are intended to be pharmaceutical benefits under Part VII of the Act and provides examples connected to entitlement provisions (for example s 86(1) of the Act and s 85(7) and s 88A). Section 12’s note cites s 99 of the Act regarding payment authorisation. Practically, whether a supply is a pharmaceutical benefit under the Act determines whether the Determination applies and whether Commonwealth payment may be available. See s 5A and s 12 note.
Regulatory sanctioning mechanisms
The Determination’s conditions of approval feed into the Act’s administrative sanctioning pathway: the Minister may suspend or revoke approvals under s 95 of the Act following Committee inquiry, and the Determination notes that contraventions of conditions specified in s 92A of the Act can amount to abuse of approval (s 4 Note 1). Thus, contraventions of the Determination can trigger administrative disciplinary processes under the Act.
Operational documents and professional standards
The Determination incorporates external professional instruments by reference, making compliance with the PSA Code of Ethics 2017, the Professional Practice Standards 2017 and the National Competency Standards Framework 2016 mandatory for approved pharmacists. Those documents will shape professional conduct expectations and may be updated by the PSA; the Determination requires compliance with the texts as published and referenced. See ss 6 and 7.
Transitional and amendment instruments
Section 16 preserves prior rules for pharmacists subject to Committee inquiries as of 1 June 2023 despite amendments made by the National Health Legislation Amendment (Conditions of Approval for Approved Pharmacists) Instrument 2023. That shows the Determination’s amendments are connected to subsequent instruments and that transitional protections can be provided through express saving provisions. See s 16.
In short, the Determination functions as a condition‑setting instrument within the Part VII architecture of the Act and must be read in tandem with the Act, the Regulations and several related National Health instruments, as well as state and territory pharmacy law.
Amendment history
The Determination itself is dated 2017, but the text supplied includes an express transitional provision that addresses amendments made by a 2023 instrument. The only amendment history recorded inside this text is the 2023 instrument and the transitional saving that follows from it. The relevant provision is s 16.
Section 16 (Application of amendments made by the National Health Legislation Amendment (Conditions of Approval for Approved Pharmacists) Instrument 2023) provides a saving mechanism in three parts:
Subsection 16(1) states that despite the amendments made by Schedule 1 to the 2023 Instrument, the Determination continues to apply, as if those amendments had not been made, in relation to an approved pharmacist to whom subsection (2) applies during the period mentioned in subsection (3).
Subsection 16(2) states that the saving applies to an approved pharmacist if immediately before 1 June 2023 the Pharmaceutical Services Federal Committee of Inquiry was inquiring into a matter that concerns the services or conduct of that pharmacist.
Subsection 16(3) defines the period for the pharmacist as running from 1 June 2023 until the Committee either gives its report to the pharmacist or gives notice in writing that the inquiry has terminated.
This is a specific, limited transitional provision designed to avoid retrospectively applying the 2023 amendments to pharmacists who were subject to an ongoing Committee inquiry on 1 June 2023. The Determination does not include any other amendment history, schedules or earlier saving provisions in the text supplied. Where the Determination references other instruments or standards by year (for example PSA documents published in 2017 and competency standards from 2016), those are not amendments to the Determination itself but external sources that the Determination incorporates by reference.
Practically, the instrument signals that there was a legislative or instrumentary update in 2023 that altered the Determination’s text (Schedule 1 to the 2023 Instrument), but that certain pharmacists subject to ongoing administrative inquiries were to be preserved on the pre‑amendment footing for the inquiry period. The Determination contains no further internal amendment history or amendments record beyond s 16.
Litigation history
The Determination as provided contains no references to litigation and names no cases. The instrument does, however, point to administrative enforcement routes under the Act, particularly through Committee inquiry and Ministerial powers to suspend or revoke an approval (s 4 Note 1). Since the Determination itself is an administrative condition instrument rather than primary legislation establishing offences, disputes about compliance are likely to appear in administrative law contexts, payment recovery proceedings or in actions connected to the Act’s sanctioning mechanisms, rather than as standalone criminal prosecutions derived from the Determination.
Because the text of the Determination supplied does not report or cite any case law, no cases are named in this instrument and there is no litigation history recorded within it. Any litigation or administrative review arising from contraventions of these conditions would therefore be external to the instrument and would arise under the Act, under payment recovery processes, or under State or Territory regulatory frameworks. The Determination’s note on s 95 of the Act suggests that Ministerial decisions following Committee inquiries may be reviewable through judicial review or merits review processes in appropriate forums, but the Determination does not describe those processes or report related litigation.
If a reader requires an authoritative litigation history or case law that interprets the Determination or the Act’s sanctioning provisions, that will require an external search of administrative law decisions, tribunal determinations and court judgments. The instrument itself contains no litigation citations to ground such an inquiry.
Gotchas
This Determination contains a number of operational details that can easily trap an unwary pharmacy operator or pharmacist if not read carefully. The following are concrete compliance pitfalls grounded in the text.
Dispensing step is broader than “handing over the pack”
The definition of dispensing step in s 5 includes not only review and physical preparation but also generation and affixing of the label and recording the dispensing in the pharmacy’s system. Therefore, any model where labelling or record entry is done off‑site or at a different premises risks a breach of s 10 because those qualify as dispensing steps that must be performed while the benefit is at the approved premises, with a registered pharmacist physically present. See s 5(c) and s 10(2)‑(4).
Physical presence requirement applies to each dispensing step
Section 10(4) requires the registered pharmacist who is dispensing or directly supervising dispensing to be physically present at the approved premises when each dispensing step is performed. “Direct supervision” without physical presence is insufficient. This can complicate models that depend on remote supervision, centralised clinical review, or telepharmacy unless the registered pharmacist is physically at the approved premises while steps are performed. See s 10(3)‑(4).
Approval number restrictions are strict
Section 14 forbids using or allowing the use of an approval number in connection with any other premises for dispensing, purported supply, or preparation of repeat/deferred supply authorisations. Labels, repeat authorisations, and deferred supply authorisations must not bear an approval number relating to another premises. This restricts multi‑site labelling or cross‑premises use of an approval number. See s 14 and its explanatory notes.
Arrangements with other pharmacies are prohibited
Section 15 prohibits an approved pharmacist entering into an arrangement with the owner/operator of another pharmacy business for supply by the approved pharmacist to persons presenting at that other business. That is broader than simply prohibiting staff from moving between sites; it bars contractual and understandings that have that operational effect. The Determination does not define “arrangement” narrowly; s 5 defines arrangement to include oral understandings and arrangements whether or not legally enforceable. See s 15 and s 5.
Deferred supply and repeat authorisation preparation must be on premises
Section 13 and s 14(d) require deferred supply authorisations and repeat authorisations to be prepared only at approved premises, and only by or under the direct supervision of a registered pharmacist physically present. Off‑site generation or centralised preparation of these authorisations is therefore not permitted. See s 13 and s 14.
Electronic prescriptions do not obviate physical‑presence obligations
The notes to s 5 state that a prescription may be electronic, and s 11 addresses prescriptions other than medication chart prescriptions. However, s 11(2) requires the registered pharmacist to “see the prescription at the approved premises” when performing the review dispensing step. That means reliance on an electronic prescription system does not necessarily allow the pharmacist to avoid being physically present at the approved premises when undertaking the review step. See s 5 note 1 and s 11(2).
Patient cooperation can be an operational hinge
Section 6(d)(i) requires compliance with the Professional Practice Standards subject to patient preparedness to ensure the pharmacist has ready access to the patient’s medication history. The Determination anticipates patient cooperation as a precondition to certain aspects of individualising care. Where patients obtain medications from multiple providers and decline to authorise transfer of medication history, the approved pharmacist’s obligations under s 6 will be limited in practice. See s 6(d)(i) and Note 1 to s 6.
Financial exposure if supply is non‑compliant
Section 12 bars seeking advances and making claims for payment from the Commonwealth for supplies that are purported at unapproved premises or that contravene ss 10 or 11. Non‑compliant supplies may therefore be ineligible for payment and could trigger payment recovery action. See s 12 and its note referencing s 99 of the Act.
Supervisory duty can import vicarious regulatory risk
An approved pharmacist must ensure that registered pharmacists who are not approved for those premises comply with the Determination (s 8). Failure to enforce compliance at the premises could expose the approved pharmacist to administrative sanction under the Act, because contraventions of conditions are tied to abuse of approval for s 95 purposes per s 4 Note 1.
Transitional quirks
Section 16 preserves pre‑amendment treatment for pharmacists subject to a Committee inquiry as at 1 June 2023. This means that different pharmacists may be subject to different versions of the conditions depending on inquiry timing. Operationally, that can create inconsistency across approval holders while inquiries are ongoing. See s 16.
Interaction with state laws
The Determination notes that dispensing is also regulated under State and Territory laws. Compliance with the Determination does not guarantee compliance with all state regulatory or licensing requirements. Operators must align practice with both Commonwealth conditions and state laws. See s 4 Note 2.
How to comply
Complying with this Determination requires aligning premises operations, staffing, recordkeeping and commercial arrangements to the instrument’s conditions. Below is a practical checklist of concrete steps and system features, tied to the relevant sections of the Determination. This is an operational compliance guidance grounded in the instrument’s requirements.
Confirm premises approval and use approval number only at those premises
Ensure the pharmacist’s approval and approval number are current and mapped to specific premises. Do not affix the approval number or use it in relation to dispensing or purported dispensing at any other premises. See s 14.
Ensure each dispensing step is performed at the approved premises
Map your dispensing workflow to the Determination’s definition of dispensing step in s 5. Identify which tasks qualify as dispensing steps in your operation (review, certain preparations, labelling, repeat authorisation preparation, record entry). Ensure those tasks are performed while the pharmaceutical benefit is physically at the approved premises. See s 5 and s 10(2).
Maintain registered pharmacist physical presence for each dispensing step
Implement staff rosters and shift patterns to guarantee that a registered pharmacist is physically present at the approved premises whenever a dispensing step is performed. Where non‑registered staff undertake tasks, ensure they are under the direct supervision of a registered pharmacist physically present. See s 10(3)‑(4) and s 13.
For prescription review, ensure the registered pharmacist sees the prescription at the approved premises
For prescriptions that are not medication chart prescriptions, ensure the registered pharmacist conducting the review sees the prescription at the approved premises when the review step occurs. Confirm that electronic prescription access methods permit viewing at the approved premises in compliance with s 11. See s 11(1)‑(2) and s 5 note 1.
Restrict off‑site labelling, preparation and recording
Because adverse outcomes can arise from off‑site labelling or central fill where label generation or record entry occurs elsewhere, ensure label generation and affixing, admixture, extemporaneous preparation and final recording are not outsourced to other premises or facilities. See s 5(c) and s 10.
Prepare deferred supply and repeat authorisations on‑site under direct supervision
Prepare deferred supply authorisations and repeat authorisations only at the approved premises, by or under the direct supervision of a registered pharmacist physically present at those premises. Ensure forms are stored and generated only from the approved premises. See s 13 and s 14(c)‑(d).
Avoid prohibited arrangements with other pharmacy businesses
Do not enter into arrangements (broadly defined) with another pharmacy business owner/operator that would have you supply pharmaceutical benefits to persons presenting at that other business. Review contracts, service agreements and commercial understandings to ensure they do not create the prohibited supply relationship under s 15.
Implement recordkeeping and audit trail
Given the condition that recording in the dispensing pharmacy’s system is a dispensing step (s 5(e)), implement secure systems that capture timestamps, user IDs and premises location for dispensing steps. Keep contemporaneous records that show the pharmaceutical benefit was at the approved premises when each dispensing step was performed and that a registered pharmacist was present. These records will support internal audits and responses to payment or compliance inquiries. See s 5(e) and s 10.
Train staff on patient dignity and professional standards
Train staff on s 6 obligations: all legal pharmacy requirements, PSA Code of Ethics (2017), Professional Practice Standards (2017), and the expectation to treat patients with dignity regardless of payment method and other attributes. Document training and maintain evidence of continuing education participation by pharmacists. See ss 6 and 7.
Maintain continuing education currency
Ensure approved pharmacists remain current in pharmaceutical knowledge in accordance with the National Competency Standards Framework for Pharmacists in Australia 2016. Retain certificates and records of CPD activity. See s 7.
Control use of approval number on labels and documentation
Update label templates, dispensing software and procedural checklists to prevent insertion of an approval number that pertains to other premises. Audit labels and repeat/deferred supply forms to verify correct approval numbers are used only for the approved premises. See s 14.
Implement policies for patient medication history access
Put in place procedures to encourage patients to use a single pharmacy or to authorise transfer of medication history as suggested in s 6 Note 1. Where patients refuse, record this and adjust the pharmacist’s counselling and risk assessment accordingly. See s 6(d)(i) and s 6 Note 1.
Financial controls and claims validation
Ensure claims for payment to the Commonwealth and any advance requests under s 99AB(1) of the Act are validated against the Determination’s conditions. Do not submit claims or seek advances for supplies made at unapproved premises or supplies that contravened ss 10 or 11. Implement a claims review step confirming premises, dispensing steps location and supervising pharmacist presence prior to submitting claims. See s 12.
Internal supervisory oversight
If you are an approved pharmacist responsible for premises, establish formal supervisory processes to ensure registered pharmacists who are not approved for your premises comply with the Determination. Maintain documented supervision arrangements and periodic compliance checks as required by s 8.
Review contracts and service models
Revisit central‑fill, telepharmacy, remote labelling, and contractual models with other pharmacy businesses to ensure they do not run afoul of the Determination’s premises, presence and arrangement prohibitions. Where models depend on remote steps, redesign them to perform all dispensing steps at the approved premises or structure them to comply with the Determination’s supervision and presence requirements. See ss 5, 10, 11, 13, 14 and 15.
Understand State and Territory law overlay
Cross‑check state licensing and medicine handling laws against the Determination’s requirements. Ensure that complying with the Determination does not create gaps with state regulatory obligations. See s 4 Note 2.
Prepare for audits and potential Committee inquiries
Put in place processes to produce records and to respond to inquiries from Commonwealth auditors, claim administrators and, where allegations arise, to participate in Committee inquiries under the Act. Be aware of s 16 transitional rules where applicable for ongoing inquiries as at 1 June 2023.
Following the checklist above will align operations to the Determination’s core requirements. Where complex business models are contemplated , for example multi‑site operations, centralised fulfilment, or service arrangements with other pharmacy businesses , bespoke operational design and legal review should be undertaken to ensure no breach of ss 9, 10, 11, 13, 14 or 15, and to avoid the financial exclusion risks under s 12 and administrative sanction risks invoked by s 4 Note 1.
approved pharmacist has the same meaning as in Part VII of the Act.
approved premises for an approved pharmacist means premises in respect of which the pharmacist is approved for the purposes of Part VII of the National Health Act 1953.
arrangement includes a contract, agreement or understanding, written or oral, and whether or not legally enforceable.
brand has the same meaning as in Part VII of the Act.
continued dispensing prescription, for a supply of a pharmaceutical benefit in accordance with subsection 89A(1) of the Act (supply without prescription), means the prescription referred to section 3.03 of the National Health (Continued Dispensing) Determination 2022 in relation to the supply.
deferred supply authorisation has the same meaning as in the Regulations.
dispensing step: each of the following is a dispensing step in the dispensing of a pharmaceutical benefit:
(a) if the benefit is to be supplied on the basis of a prescription (other than a medication chart prescription), repeat authorisation or deferred supply authorisation—reviewing the prescription, repeat authorisation or deferred supply authorisation;
(b) if any of the following apply to the benefit—preparing the benefit:
(i) the benefit is a listed brand of a pharmaceutical item and the quantity of the benefit is less than a pack quantity of the listed brand of the pharmaceutical item;
(ii) the benefit requires the admixture of ready‑prepared ingredients;
(iii) the benefit is an extemporaneously‑prepared pharmaceutical benefit;
(c) if the benefit is to be supplied other than on an order lodged under section 33 of the Regulations (prescriber bag supplies)—generating, and affixing to the packaging for the benefit, a label that displays the following:
(i) for a benefit other than an extemporaneously‑prepared pharmaceutical benefit or a benefit that is to be supplied in accordance with the National Health (Efficient Funding of Chemotherapy) Special Arrangement 2024—the brand of the pharmaceutical item in the benefit;
(ii) if paragraph 40(2A)(b) or 41(2A)(b) of the Regulations applied to the prescription or continued dispensing prescription for the supply of the benefit—each drug that the benefit has;
(iii) the form (if any) and quantity or number of units of the benefit;
(iv) directions for use of the benefit in accordance with the instructions of the PBS prescriber who wrote the prescription or continued dispensing prescription for the supply of the benefit;
(v) the name of the person for whom the prescription or continued dispensing prescription for the supply of the benefit was written;
(vi) the date the benefit is dispensed;
(vii) the address of the premises at which the benefit is dispensed;
(viii) the name of the pharmacy situated at those premises (the dispensing pharmacy);
(ix) if subsection 64(1) of the Regulations applies to the benefit—the full cost of the benefit;
(d) if required by section 52 of the Regulations—preparing a repeat authorisation for the benefit;
(e) recording the dispensing of the benefit in the dispensing pharmacy’s system for recording the dispensing of pharmaceutical benefits.
Note 1: For paragraph (a), a prescription may be in the form of a paper‑based prescription or an electronic prescription (see section 39 of the Regulations).
Note 2: For subparagraphs (c)(ii), (iv) and (v), a prescription may be in the form of a paper‑based prescription, an electronic prescription or a medication chart prescription (see section 39 of the Regulations).
Note 3: For subparagraph (c)(iii), the form of a pharmaceutical benefit may be determined by reference to strength, type of unit, size of unit or otherwise, and may be such as to require the addition of a substance or substances to the drug so that it will be suitable for administration in a particular manner or at a particular strength (see subsections 85(3) and (4) of the Act).
electronic prescription has the same meaning as in the Regulations.
extemporaneously‑prepared pharmaceutical benefit has the same meaning as in the National Health (Listing of Pharmaceutical Benefits) Instrument 2024.
listed brand has the same meaning as in Part VII of the Act.
medication chart prescription has the same meaning as in the Regulations.
pack quantity has the same meaning as in Part VII of the Act.
paper‑based prescription has the same meaning as in the Regulations.
PBS prescriber has the same meaning as in Part VII of the Act.
pharmaceutical benefit has the same meaning as in Part VII of the Act.
pharmaceutical item has the same meaning as in Part VII of the Act.
pharmacy means a business in the course of the carrying on of which pharmaceutical benefits are supplied.
record form has the same meaning as in Part VII of the Act.
registered pharmacist means an individual who is registered under the National Law in the pharmacy profession.
Regulations means the National Health (Pharmaceutical Benefits) Regulations 2017.
repeat authorisation has the same meaning as in the Regulations.
5A Application of this Determination
5A Application of this Determination
This Determination applies to the dispensing and supply of a drug or medicinal preparation if:
(a) the supply of the drug or medicinal preparation is to be a supply of a pharmaceutical benefit under Part VII of the Act (other than a supply taken, because of subsection 99(2A), (2AB) or (2B) of the Act, to be a supply otherwise than under Part VII of the Act); or
(b) it is purported that the supply of the drug or medicinal preparation is to be a supply of a pharmaceutical benefit under Part VII of the Act (other than a supply taken, because of subsection 99(2A), (2AB) or (2B) of the Act, to be a supply otherwise than under Part VII of the Act).
Note 1: For example, this Determination does not apply to the dispensing and supply of a drug or medicinal preparation if:
(a) the drug or medicinal preparation is not a pharmaceutical benefit; or
(b) both:
(i) the drug or medicinal preparation is supplied on the basis of a prescription; and
(ii) the person presenting the prescription requests that the drug or medicinal preparation not be supplied as a pharmaceutical benefit under Part VII of the Act.
Note 2: For example, this Determination does not apply to the dispensing and supply of a pharmaceutical benefit if:
(a) the person to whom the pharmaceutical benefit is supplied is not covered by subsection 86(1) of the Act (entitlement to receive pharmaceutical benefits); or
(b) the following circumstances apply:
(i) the pharmaceutical benefit is supplied on the basis of a prescription;
(ii) the pharmaceutical benefit is determined, under subsection 85(7) of the Act, to be a relevant pharmaceutical benefit for the purposes of section 88A of the Act (prescription of certain pharmaceutical benefits authorised only in certain circumstances);
(iii) the writing of the prescription was not authorised as mentioned in that section.
Part 2 Conditions
Part 2—Conditions
6 Standards of practice
6 Standards of practice
An approved pharmacist must, in dispensing and supplying pharmaceutical benefits:
(a) comply with all legal requirements for the practice of pharmacy; and
(b) treat patients with dignity regardless of manner of payment, race, sex, age, nationality, religion, disability or any other factor; and
(c) comply with the Code of Ethics for Pharmacists (2017), published by the Pharmaceutical Society of Australia on 1 February 2017; and
(d) comply with the Professional Practice Standards – Version 5 – June 2017, published by the Pharmaceutical Society of Australia in June 2017, in relation to each patient, subject to the patient’s preparedness to:
(i) ensure that the pharmacist has ready access to the patient’s medication history; and
(ii) provide relevant personal medical information necessary for the pharmacist to individualise patient care; and
(iii) authorise medical practitioners and other health care practitioners to release relevant medical information necessary for the pharmacist to act responsibly and reasonably and to individualise patient care; and
(iv) allow the pharmacist sufficient time to dispense medications; and
(v) follow advice and directions given by the patient’s medical practitioner or pharmacist and report any unusual or adverse reactions as soon as possible; and
(e) maintain a disciplined dispensing procedure that includes:
(i) attention to accuracy of product or ingredient selection; and
(ii) accuracy of calculations; and
(iii) application of accepted techniques for the preparation of pharmaceutical products; and
(iv) appropriate packaging and storage; and
(v) accuracy of the final product; and
(vi) adequate information for the patient.
Note 1: The following are examples for subparagraph (d)(i) of ways that a patient could ensure that an approved pharmacist has ready access to the patient’s medication history:
(a) the patient having all medications, including pharmaceutical benefits, dispensed at or from a single approved premises for the pharmacist;
(b) the patient providing the pharmacist with the patient’s record forms (if any);
(c) the patient authorising the transfer of the patient’s medication history to the approved pharmacist.
Note 2: The Code of Ethics for Pharmacists (2017) and the Professional Practice Standards – Version 5 – June 2017 could in 2023 be viewed on the Pharmaceutical Society of Australia’s website (https://www.psa.org.au).
7 Continuing education
7 Continuing education
An approved pharmacist must maintain the currency of his or her pharmaceutical knowledge in accordance with the National Competency Standards Framework for Pharmacists in Australia 2016, published by the Pharmaceutical Society of Australia in 2016.
Note: The National Competency Standards Framework for Pharmacists in Australia 2016 could in 2023 be viewed on the Pharmaceutical Society of Australia’s website (https://www.psa.org.au).
8 Ensuring other pharmacists at approved premises comply with conditions
8 Ensuring other pharmacists at approved premises comply with conditions
An approved pharmacist that is approved in respect of particular premises must ensure that a registered pharmacist:
(a) who is not an approved pharmacist in respect of those premises; and
(b) who dispenses pharmaceutical benefits at those premises;
complies with the conditions set out in this Determination.
9 No purported supply of pharmaceutical benefits at or from unapproved premises
9 No purported supply of pharmaceutical benefits at or from unapproved premises
Purported supply at unapproved premises
(1) An approved pharmacist must not purport to supply a pharmaceutical benefit at premises that are not approved premises for the pharmacist.
Note: A reference to the supply of pharmaceutical benefits at premises is a reference to the supply of pharmaceutical benefits to people who are at the premises when the supply is made (see subsection 4(3) of the Act).
Purported supply from unapproved premises
(2) An approved pharmacist must not purport to supply a pharmaceutical benefit from premises that are not approved premises for the pharmacist.
10 Requirements for supply of pharmaceutical benefits at or from approved premises—dispensing steps
10 Requirements for supply of pharmaceutical benefits at or from approved premises—dispensing steps
(1) An approved pharmacist must not supply a pharmaceutical benefit at or from approved premises for the pharmacist if a requirement in this section is not met in relation to the dispensing of the benefit.
Benefit must be at approved premises when dispensing steps performed
(2) The benefit must be at the approved premises when each dispensing step in the dispensing of the benefit is performed.
Registered pharmacist must dispense or supervise dispensing
(3) A registered pharmacist must dispense, or directly supervise the dispensing of, the benefit.
Registered pharmacist must be physically present at approved premises when dispensing steps performed
(4) The registered pharmacist dispensing, or directly supervising the dispensing of, the benefit must be physically present at the approved premises when each dispensing step in the dispensing of the benefit is performed.
11 Requirements for supply of pharmaceutical benefits at or from approved premises—prescriptions other than medication chart prescriptions
11 Requirements for supply of pharmaceutical benefits at or from approved premises—prescriptions other than medication chart prescriptions
(1) An approved pharmacist must not supply a pharmaceutical benefit at or from approved premises for the pharmacist if:
(a) the benefit is supplied on the basis of a prescription that is not a medication chart prescription; and
(b) the requirement in subsection (2) is not met in relation to the dispensing of the benefit.
(2) The registered pharmacist dispensing, or directly supervising the dispensing of, the benefit must, when the step mentioned in paragraph (a) of the definition of dispensing step in section 5 is performed, see the prescription at the approved premises.
Note: For supplies of pharmaceutical benefits without prescriptions, see the following:
(a) subsection 89A(1) of the Act and section 46 of the Regulations (supply without prescription);
(b) section 33 of the Regu
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