Following a review sought by the Otago Daily Times,
Minister of Health Tony Ryall has released some information
on the estimated cost of the 12-month programme of the breast
cancer drug Herceptin, but the actual cost remains unclear.
Mr Ryall says that the estimated "gross cost" of the drug for
the financial year is $16.2 million, but this does not
include "the significant rebate received under the purchase
arrangement".
Mr Ryall was not prepared to release the net cost because it
involved a confidential rebate.
The public interest had been considered, but it was
determined the public interest did not outweigh the reasons
for withholding the information, he said.
Because the net cost has not been released by Mr Ryall, it is
not known whether the amount paid would have exceeded the $9
million a year for three years referred to by the National
Party in the election campaign last year.
Mr Ryall was asked to reconsider his refusal last month to
release the cost of the 12-month programme after the
Otago Daily Times complained to the Office of the
Ombudsmen.
Mr Ryall had refused to release information on the grounds it
was subject to an obligation of confidence.
Making the information available would likely prejudice
supply of similar information and this would not be in the
public interest.
The information sought by the Otago Daily Times
(originally in September) was the cost of the 12-month
programme to date and the prediction of what it might cost
over a year.
In his letter this week, Mr Ryall said from January to
October 31 the Ministry of Health had paid $4,549,710 to
district health boards and private hospitals for the 12-month
programme.
He noted that this figure might not reflect the total cost of
treatment during this period as some invoices might not have
been presented.
This cost covers the drug alone and does not include the cost
of administering the drug, something for which the Government
has allowed $3.6 million this financial year.
Mr Ryall also said the overall cost to taxpayers was even
further reduced by a combination of savings from fewer women
in the international synergism or long duration trial which
is comparing the 12-month treatment with the nine-week
option.
Pharmac agreed to put $3.2 million towards the Finnish trial
in 2006-07 and results are still some years away.
- elspeth.mclean@odt.co.nz
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