Now, auction to make room for private health care firms

The Centre is finalising an innovative model to encourage public-private partnership (PPP) in the health care sector. With this, private service providers would be given space in district health centres to set up screening and treatment facilities for four major non-communicable diseases, including cancer and chronic kidney ailments.

It is learnt that the NITI Aayog is looking at a pay-per-use model for the same. That is, the service provider will be entitled to charge a fee on a per patient basis at the health centres. The fee will come through disbursals under the National Health Mission, an official told Business Standard. The service provider would be selected through an open bidding process.

The government is looking at a time frame of five to seven years for a partnership with the private sector. This is being seen as a significant step because most district health centres lack basic facilities for even quality dialysis.

Under the PPP, space would be provided by the government at the district health centres, while the private service provider would do the rest.

The NITI Aayog is in consultation with major private sector players in the health sector to prepare a model concessionaire agreement. While some states such as Telangana have made their own model concession agreements, players in the business are of the opinion that a concessionaire prepared by the Centre will help create a uniform model that states can follow.

Some districts would also be identified to run pilot schemes and, if successful, could be replicated across the country. Meanwhile, the NITI Aayog has constituted a working group to finalise the modalities. This group is holding regular interactions with major private players.

According to the latest estimates, there were 153,655 sub-centres, 25,308 primary health centres and 5,396 community health centres functioning in the country.

Pay-per-use medicare gets a shot in the arm

• The NITI Aayog is looking at a pay-per-use model to encourage public-private partnership in health care
• Private service providers would be given space in district health centres to set up screening and treatment facilities for four major non-communicable diseases
• The government is looking at a time frame of 5-7 years for a partnership with the private sector