The Federal Government has passed its Independent Hospital Pricing Authority  (IHPA) legislation through the Federal Lower House.

 

The legislation, if passed through the Senate, will see the establishment of a statutory authority to oversee hospital pricing. An interim IHPA, currently operating under the leadership of acting Chief Executive Officer, Dr Tony Sherbon,  is responsible for  aspects of a new nationally consistent approach to activity-based funding of public hospitals under the National Health Reform Agreement between the Commonwealth and states and territories.

 

“This is a major micro-economic reform that will drive efficiency through activity based funding and will be critical for fast growing areas of Australia, such as Western Sydney and South East Queensland, where the old system has struggled to keep pace with increased demands at a local level,” Minister for Health and Ageing Nicola Roxon said.