The Independent Health and Aged Care Pricing Authority (IHACPA) is an independent government agency established by the Commonwealth as part of the National Health Reform Act 2011. IHPA was established to contribute to significant reforms to improve Australian public hospitals. A major component of these reforms is the implementation of national activity based funding (ABF) for Australian public hospitals. The implementation of ABF provides incentives for efficiency and increases transparency in the delivery and funding of public hospital services across Australia. Our vision is for all Australians to have access to a sustainable, locally controlled health system that funds public hospital services using activity based funding, where practicable, based on a national efficient price.