Proposal to list medical devices supplied by Essential and PIPA by EH

What we’re proposing

PHARMAC is seeking feedback on a proposal to list medical devices in Part III of Section H of the Pharmaceutical Schedule from 1 July 2021 supplied by:

• AH Essential Limited t/a Essential Helpcare (“Essential”); and
• Essential HC Limited t/a PIPA by EH (“PIPA”).

Medical devices are proposed for listing in the following categories:

• beds and mattresses; and
• rehabilitation equipment, patient positioning products and supports (“rehabilitation products”).

Consultation closes at 4pm Thursday 27 May 2021 and feedback can be emailed to alyssa.currie@pharmac.govt.nz.

What would the effect be?

From 1 July 2021 the beds and mattresses and rehabilitation products supplied by Essential and PIPA would be listed under proposed national agreements for all DHB hospitals to purchase under, subject to consultation and approval by PHARMAC’s board or delegate (“Agreements”).

The Agreements would not be for sole supply and DHBs can continue to purchase other suppliers’ brands of beds and mattresses and rehabilitation products.

The Agreements would supersede any existing DHB agreements with Essential and PIPA for the medical devices included in the Agreements. Any medical device listed in the Agreements and purchased by a DHB would be in accordance with the terms and conditions, including price, stated in the Agreements effective from the date of listing in the Pharmaceutical Schedule.

As part of the Agreements, Essential and PIPA would provide appropriate training and education services that would be tailored to the individual needs of DHBs, in formats and at times as required by DHBs.

Pricing for the medical devices in the Agreements, subject to any prior termination of the Agreements, would not be increased without prior consultation and approval by PHARMAC.

Who we think will be interested

• Suppliers and wholesalers
• DHB staff
  • Clinical engineers, maintenance services and facilities staff
  • Clinical support staff
  • DHB loan store staff
  • DHB procurement and supply chain
  • Geriatricians
  • Neurologists and Neurosurgeons
  • Nurses
  • Occupational therapists
  • Orthopaedic surgeons
  • Orthotists
  • Paediatricians
  • Physiotherapists
  • Podiatrists
  • Rehabilitation physicians (including spinal units)
  • Speech-language therapists

About the medical devices

Beds and mattresses

Hospital beds and mattresses are specially designed for hospitalised patients or others in need of some form of health care. These beds and mattresses have special features both for the comfort and well-being of the patient and for the convenience of health care workers.

Rehabilitation products

Rehabilitation is the process of regaining strength or relearning skills after a serious injury, illness or surgery. Rehabilitation crosses all age groups, though the type, level and goals of rehabilitation will differ depending on the individual needs. Rehabilitation often focuses on:

• physical therapy to help with strength, mobility and fitness;
• occupational therapy to help with daily activities;
• speech-language therapy to help with speaking, understanding, reading, writing and swallowing;
• cognitive therapy (following head injury); and
• treatment of pain.

Why we’re proposing this

In October 2018 PHARMAC issued a Request for Proposals (“RFP”) for the supply of rehabilitation equipment, patient positioning products and supports.

In September 2020 PHARMAC issued a Registration of Interest (“ROI”) for ranges of medical devices, including beds and mattresses, considered for listing on the Pharmaceutical Schedule.

The ROI was undertaken to transfer the responsibility for management of beds and mattresses from New Zealand Health Partnerships to PHARMAC.

Both the RFP and ROI were for non-exclusive national agreements for listing on the Pharmaceutical Schedule.

PHARMAC has been working with suppliers to seek provisional agreements and this proposal is the latest to arise from these processes. We expect to consult on further provisional agreements with suppliers of beds and mattresses and rehabilitation products throughout 2021.

Details about our proposal

The proposal would result in listing 19 medical devices for rental in the Pharmaceutical Schedule as follows:

Further information, including pricing and contractual details, has been provided to DHB Procurement personnel. Clinicians interested in further detail on what this change means for their DHB should engage with their Procurement teams.

To provide feedback

Send us an email: alyssa.currie@pharmac.govt.nz by 4pm Thursday 27 May 2021.

All feedback received before the closing date will be considered by PHARMAC’s Board (or its delegate) prior to making a decision on this proposal.

Your feedback may be shared

Feedback we receive is subject to the Official Information Act 1982 (OIA). Please be aware that we may need to share your feedback, including your identity, in response to an OIA request. This applies to anyone providing feedback, whether they are providing feedback themselves or for an organisation, in a personal or professional capacity.

We can only keep feedback confidential as allowed under the OIA and other related laws. If you want any part of your feedback treated as confidential, you need to tell us. Please let us know if you want to keep part of your feedback confidential, and why. Is it commercially sensitive, confidential or proprietary, or personal information? Clearly state this and tell us which parts of your feedback you want to keep confidential for these reasons. We will consider your request under our OIA requirements.