The National Efficient Price Determination 2026-27 is now available

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National Efficient Cost Determination

IHACPA publishes an annual national efficient cost (NEC) determination for public hospital services for each coming financial year. The NEC underpins funding for services that are not suitable for activity-based funding, such as small rural hospitals. The NEC determines the Australian Government’s contribution to block funded hospitals and services.

About the NEC 

The NEC cost model for small rural hospitals is based on in-scope activity and expenditure data using a fixed-plus-variable model. The fixed component accounts for the fixed costs of operating small rural hospitals, while the variable component reflects the activity performed by the hospital. 

Our current and recent NECs are listed here

Current determination

Previous determinations

High cost, highly specialised therapies

For further information on our role in the reporting and funding of high cost, highly specialised therapies under the National Health Reform Agreement, please view High cost, highly specialised therapies.

Last updated: 11 March 2026
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