Leo Varadkar (Dublin West, Fine Gael)
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Question 77: To ask the Minister for Health and Children if Section 4(3) of the competition Act 2002 could be utilised to allow negotiations on contracts and fees between the Health Service Executive and pharmacists and general practitioners; and if she will make a statement on the matter. [8634/08]

Leo Varadkar (Dublin West, Fine Gael)
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Question 97: To ask the Minister for Health and Children the reason she will not use Section 4(3) of the Competition Act 2002 to enable the Health Service Executive to negotiate an agreement on fees and services with self-employed undertakings such as pharmacists and general practitioners; and if she will make a statement on the matter. [8631/08]

Mary Harney (Dublin Mid West, Progressive Democrats)
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I propose to take Questions Nos. 77 and 97 together.

Competition law policy is a matter for my colleague, the Minister for Enterprise, Trade and Employment in the first instance. However it is clear that the section of the Act cited by the Deputy confers a power on the Competition Authority, not on a Minister of the Government, to make a declaration in the terms described. I understand that the Competition Authority has not made a declaration under the Act such that the negotiation of contracts for service and associated fees with bodies representing self-employed health professionals would be exempted from the provisions of the Competition Act 2002.

As I announced on 18 February 2008, I am establishing an Independent Body to begin work immediately to assess an interim, fair community pharmacy dispensing fee of at least €5 to be paid for the medical card scheme, the Drugs Payment Scheme and other community drug schemes.

This Body is being chaired by Seán Dorgan, former Head of IDA Ireland. It will take submissions from all sides and will carry out its own analysis. Its recommended fee level, subject to Government approval, will be backdated to 1 March 2008. The development of the substantive new contract will get under way immediately and will be completed as soon as possible; this will be done under the auspices of an agreed facilitator and it too will be priced by the Independent Body.

The Independent Body held its first meeting on 25th February 2008 and the requested date for submission of the Body's report is 31 May 2008. Both the HSE as the contracting body and the IPU as the representative organisation for community pharmacists, along with other stakeholders, will be entitled to make submissions to the Independent Body addressing whatever factors and issues are of concern to them.

The Independent Body will also be entitled to engage whatever outside expertise it requires to assist it with its task. Based on its consideration of submissions received and its own independent evaluation, the body will recommend an appropriate dispensing fee that would, in its view, represent a fair and reasonable price to be paid for the pharmaceutical service currently being provided by community pharmacists to the HSE under the GMS and community drug schemes.

In addition to the foregoing my Department is at present working, in consultation with relevant Government Departments and with the HSE, to devise appropriate new arrangements for the development and the pricing of contracts for the provision of health services generally, including the GMS general practitioner contract. It is my wish that, once these arrangements have been finalised, the development of a new GMS GP contract should be progressed as a matter of urgency by the HSE with a view to putting in place contractual arrangements which will facilitate the delivery of general practitioner services as a key and integral component of a modern primary care service.