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Government Incentives for Health Supplies: RPP Article 906 Explained

JAKARTA, DDTCNews – The government will provide incentives for items included in certain health supplies.

Article 906 of the Health RPP uploaded on the Ministry of Health’s website states that the central government has the authority to regulate and control the prices of health supplies, especially medicines and medical devices. The central government will also provide fiscal and non-fiscal incentives for certain health supplies and health priorities.

“What is meant by fiscal and non-fiscal incentives include, among other things, exemption from luxury goods tax and ease of income through special channel mechanisms,” reads the explanation of Article 906 of the Health RPP, quoted on Saturday (30/12/2023).

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The RPP defines health supplies as all materials and equipment needed to carry out health efforts.

After that, the RPP also contains an explanation regarding certain health supplies as essential health supplies such as program drugs, drugs for rare diseases, and hearing aids. Further provisions regarding certain health supplies will later be determined by the minister of health.

Regarding the regulation and control of prices of health supplies and the provision of incentives, these will be carried out in accordance with the provisions of statutory regulations.

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“The Minister who handles government affairs in the financial sector is responsible… for reviewing incentive schemes for essential and health priority health supplies,” reads Article 207 of the Health RPP.

Law 17/2023 mandates that the central government and regional governments are responsible for the availability, distribution and affordability of health supplies needed to carry out health efforts. Management of health supplies includes planning, provision and distribution. (sap)

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2023-12-30 01:30:00
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