The Australian government has rejected a ban on gene patents, but proposed adding an ethical test to the Patents Act that could cause IP owners some headaches. In its response to three enquiries into aspects of its patent system – the Senate Community Affairs Committee inquiry into gene patents, the Advisory Council on Intellectual Property (ACIP) review of patentable subject matter and an Australian Law Reform Commission (ALRC) report on gene patenting and human health – Kim Carr, the minister for innovation, acknowledged concern over gene patents, but said that a ban was not the answer. “We need the incentives provided by the patent system to encourage the development of new technologies. But this government will not allow patent owners to block reasonable access to affordable medical treatments and essential diagnostic tests, nor to stifle legitimate research,” he said.