The Australian Competition Tribunal has handed down its decision on its review of the Australian Competition and Consumer Commission's decision to conditionally allow the NSW Department of Health to require private in-patients in NSW public hospitals to obtain pathology services from NSW Health pathologists.
The tribunal found the conduct generates significant public benefits in the form of efficiency gains and funding of education and research, as well as the pathology service more broadly.
The tribunal has authorised this policy of NSW Health for five years.
Under the tribunal's decision NSW Health will allow doctors to seek second opinions from private pathologists where this is in the best interests of the patients. Allowing doctors to use alternative private pathologists minimises any detriments associated with the removal of choice associated with the conduct, including providing a constraint on pathology charges in the public sector. A similar requirement was proposed in the determination made by the ACCC.
The review by the tribunal was sought by NSW Health, which was dissatisfied with a condition of the ACCC's decision, and the Australian Association of Pathology Practices, representing private pathologists, which sought to overturn the decision.
"The ACCC also welcomes the clarification provided by the tribunal of some of the technical aspects of the authorisation process", ACCC Chairman, Mr Graeme Samuel, said today.
The tribunal's decision will be available via the Federal Court's website at http://www.fedcourt.gov.au.