The Australian Competition and Consumer Commission is proposing to allow CALMS Ltd, the after-hours locum medical service which operates in the ACT, to agree and set fee caps for the provision of after hours primary medical services for a ten year period.
“The ACCC considers that a capped fee arrangement is likely to continue to deliver public benefits by providing greater certainty to CALMS patients about the maximum fees possible for out of hours primary medical services,” ACCC Chairman Rod Sims said.
“This will promote better informed decisions by patients in the ACT regarding after-hours medical services offered by CALMS.”
The ACCC has assessed the conduct to be of significant public benefit on a number of occasions, most recently in 2008. As such, the ACCC proposes to grant authorisation for 10 years.
The proposed authorisation will allow CALMS to amend the fee schedule as required. Previously the ACCC required CALMS, as a condition of authorisation, to notify the ACCC of any proposed changes to the fee schedule. However, the ACCC does not propose to impose such a condition in this instance. This will provide CALMS with greater flexibility to respond to changes which may require amendments to the amount of the fee cap without requiring CALMS to reapply for authorisation.
Authorisation provides statutory protection from court action for conduct that might otherwise raise concerns under the competition provisions of the Competition and Consumer Act 2010. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.
The ACCC is now seeking submissions from stakeholders and interested parties on the draft determination before making its final decision.