After the Government mistakenly released confidential information about Covid-19 vaccines, the Ombudsman says suppliers made it clear this could have implications for broader pharmaceutical and therapeutic supply
New Zealand's access to medicines was "threatened" after confidential information about Covid-19 vaccines was inadvertently released by the Government last year.
In a statement to the Ombudsman, as part of an unrelated investigation into complaints about the Government's refusal to release Covid-19 vaccine contract information, the Ministry of Health said an earlier disclosure of confidential information was damaging to the public interest. The release of the information about the vaccine's cost and its subsequent publication by Newsroom prompted a warning the country's ability to purchase pharmaceuticals in the future could be at risk.
Risks were not just limited to New Zealand's access to Covid-19 vaccines, but also to "broader pharmaceutical/therapeutic supply". Before Newsroom's report, details of the Government's contracts with vaccine manufacturers had been tightly controlled for more than a year.
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"The ministry explained that the unintended release of information in 2022 was not without consequence. Suppliers expressed their concerns and disappointment to the Government about the mistake," Chief Ombudsman Peter Boshier wrote in his final opinion on the investigation, which was provided to Newsroom as a complainant.
"The release eroded the level of trust in the Government’s commitment to keep information confidential, and it was made clear that this could have implications for broader pharmaceutical/therapeutic supply in New Zealand. Any threat to New Zealand’s reputation as a high-trust trading partner therefore has implications for New Zealand’s access to therapeutic products more generally."
The ministry was directly quoted in Boshier's report as saying, "The loss of reputation and ability to maintain and deliver our commercial responsibilities could put New Zealand’s future ability to purchase essential therapeutic products at risk, and result in higher prices for the Crown".
"Medicines NZ notes there are many opportunities for the development of more strategic positive relationships between the New Zealand industry and Government." – Dr Graeme Jarvis, Medicine NZ
Health Minister Ayesha Verrall told Newsroom on Tuesday that good relationships with pharmaceutical companies were important.
"Maintaining New Zealand’s access to safe, affordable and effective pharmaceuticals is vital to ensure equitable health outcomes. Maintaining trusted, reciprocal relationships with suppliers is an important part of this."
Boshier said comments from vaccine suppliers "were unequivocal, and confirm the ministry's submissions. They consider that they ought to be entitled to rely on promises of confidentiality and that this is a fundamental aspect of any agreement to supply medicines, whether Covid-19 vaccines or otherwise."
He added that the ministry and suppliers confirmed to him that, in general, disclosures of confidential information "would likely result in suppliers being less inclined to prioritise existing commitments or enter into future agreements".
"Details of our agreement and discussions with the Government, including on supply and price, remain confidential. However, Pfizer would not threaten access to medicines and vaccines." – Pfizer
Newsroom sought comment from the four vaccine suppliers, as well as industry group Medicines NZ.
In a statement, a Pfizer spokesperson said the company would never threaten to curtail New Zealand's access to medicine.
"Pfizer has a strong relationship with the New Zealand Government with continuous engagement both locally and globally in support of the Government’s national vaccine program. We continue to meet our obligations to supply the Pfizer-BioNTech Covid-19 vaccine to the New Zealand Government under our Advance Purchase Agreement," the spokesperson said.
"We are working tirelessly to ensure that deliveries to New Zealand remain on track to a fortnightly delivery schedule and to ensure equitable distribution of and access to the vaccine. Details of our agreement and discussions with the Government, including on supply and price, remain confidential. However, Pfizer would not threaten access to medicines and vaccines."
A spokesperson for Janssen did not specifically answer Newsroom's questions.
"Janssen continues to provide New Zealanders with important and lifesaving therapies, and remains committed to working with the New Zealand Government and the New Zealand Ministry of Health to bring new and innovative medicines to patients," the spokesperson said.
AstraZeneca and Novavax did not reply.
Dr Graeme Jarvis, chief executive of Medicines NZ, said relationships between pharmaceutical companies and the Government could be improved further.
"The unintended release of confidential information in the current case was unfortunate and could have been avoided. This reinforces the need to maintain strong, strategic relationships between biopharmaceutical companies and government agencies," he said.
"Medicines NZ notes there are many opportunities for the development of more strategic positive relationships between the New Zealand industry and Government and looks forward to these being actioned in the near term."
The Ombudsman investigation, which turned up what he described as threats to New Zealand's medicines supply, is not directly connected to the inadvertent release of confidential information. That release was in January 2022, when the office of then-Covid-19 Minister Chris Hipkins provided Newsroom with three documents in an Official Information Act response which it had intended to withhold entirely.
Those documents included details of the Covid-19 vaccine contracts, including their total value and some delivery schedules.
Before the mistaken release, Newsroom had sought the full contracts from Hipkins in a separate Official Information Act request. Hipkins had refused, citing commercial sensitivity, and Newsroom complained to the Ombudsman in August 2021. Boshier investigated this complaint, along with 16 similar ones from members of the public, for more than a year. His final opinion, which contains the comments from the ministry, was supplied to complainants and the Government last week.
Though Newsroom argued the most sensitive parts of the contracts were now in the public domain and the remainder should be released, Boshier ultimately declined to recommend the release of the agreements. Instead, he told the Ministry of Health to prepare a summary of terms agreed to across all the contracts in relation to confidentiality, indemnities, safety and efficacy, donations to other nations and other issues.
The ministry has until September 18 to supply the summary to Newsroom and the other complainants.
