Average Emergency Department cost per weighted activity unit 

Rationale

This indicator is a measure of the cost per WAU compared with the State target as approved by the Department of Treasury, which is published in the 2023-24 Budget Paper No. 2, Volume 1.

The measure ensures that a consistent methodology is applied to calculating and reporting the cost of delivering Emergency Department (ED) activity against the state’s funding allocation. With the increasing demand on EDs and health services, it is important that ED service provision is monitored to ensure the efficient delivery of safe and high-quality care. 

Target

The 2023-24 target for average ED cost per WAU is $7,243. Improved or maintained performance is demonstrated by a result below or equal to target. 

Results

Commentary

The target for 2023-24 was developed by WA Health for all HSPs. EMHS delivered average ED cost per activity at $8,405 which is higher than 2022-23 and above the 2023-24 target rate. Actual average ED cost per activity unit is $1,162 above the 2023-24 target of $7,243. It is also $775 higher than the actual average cost of $7,630 in 2022-23 when compared to the performance in that year. 

When compared to the performance across all reported years, the upward trend in the results is indicative of the nature of service provision within EDs, which traditionally cannot predict the severity or scope of the medical issues that present on a daily basis. EDs must remain open and fully prepared for all emergencies on a 24/7 x 365 basis to ensure staff and patients always remain safe and protected. 

The costs around ensuring accessible and safe delivery of ED services continues to increase and includes ongoing requirements to introduce and implement additional safeguards to address recommendations from reports into ED waiting room practices and processes. Increases in medical and nursing staff are needed to address response priorities, manage increased patient complexities, and ensure sufficient coverage of personnel. General inflationary pressures and economic factors also contribute to higher unit costs.