The government is investigating the possibility of an Australian-first drug testing site in Canberra, as part of its work to establish a medically supervised safe injecting room.
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The Greens have been advocating for a permanent pill testing facility in the ACT, after the success of the trials at Groovin' the Moo.
But as recently as March, the government maintained a permanent drug testing site was not a priority.
Health Minister Rachel Stephen-Smith had said a medically supervised injecting room was instead at the top of the government's drug harm minimisation plans.
This month, it has paid The Macfarlane Burnet Institute for Medical Research $207,680 to consider whether the territory needs such a facility.
The institute has been asked to conduct a "needs analysis" and will review the full range of injecting room models used in Australia and internationally, according to the contract.
But it will also advise the government whether any safe injecting room should also incorporate other drug support services.
This includes considering the value of establishing drug-checking within the facility, the contract said.
It will also consider which drugs and routes of administration should be the focus of any new service.
The institute will provide an estimate for the costs of establishing a facility and its operating costs.
Ms Stephen-Smith said a safe injecting facility remained a priority for the government, as part of its harm minimisation approach to drug policy.
But, she said, the contract requires the consultant to give broad consideration to the most appropriate services for the reduction of drug-related harm in the ACT, in addition or as an alternative to a supervised injecting facility
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"We know more needs to be done to reduce harm and deaths caused by illicit drug use. Any action we take to needs to be evidence based and informed by expert advice and opinion," she said.
"The study has a research focus, investigating current and future drug usage patterns, risk behaviours, and drug related health problems, to determine whether there is a need for a medically supervised injecting facility in the ACT.
"Consultants will engage with a wide range of relevant stakeholders, including alcohol and drug services and potential users of such a facility."
Ms Stephen-Smith and Attorney-General Gordon Ramsay in December visited supervised injecting rooms in Kings Cross, Sydney, where they observed and discussed the facility's operations.
A report is due to be provided in August, which the government will use to help decide whether to establish a safe injecting facility.
Pill Testing Australia, which has run the pill testing facility at Groovin' the Moo, has previously revealed it was working on developing a proposal for a testing service at a fixed location. The group did not reveal what jurisdiction it was considering.
Safe injecting rooms currently run in Sydney and Melbourne, however none operate a drug testing facility within them.
The medically supervised rooms are hygienic settings that allow a staff member to respond immediately if someone overdoses.