Delhi govt approves creation of DMC

The AAP government approved creation of 'Delhi Healthcare Corporation' to provide centralised support services to Health Department like procurement of drugs, consumables, surgicals, equipments, procurement of sanitation services, nursing orderlies among others.
The decision was taken in a Cabinet meeting chaired by Chief Minister Arvind Kejriwal. The proposal was based on the recommendation by the Delhi Dialogue Commission.
"The purpose of this corporation is to make available non-clinical services like generic drugs, equipments, quality sanitation services, etc on a 24 x 7 basis to the residents of the national capital, who go to health institutions controlled by the Delhi government for treatment," a senior government official said.

During Assembly elections, the Aam Aadmi Party had promised to provide quality drugs for all at affordable price. Pharmaceutical drug and equipment procurement will be centralised to ensure zero corruption. Generic, affordable and high quality drugs will be made available to the public.
The official said that department of Health and Family Welfare will enter into a MOU/contract agreement with the corporation (DHC) to perform different services on department's behalf for a specific consideration with service level agreements and penalties.
"The administrative expenditure of the corporation will be met by charging for the services rendered at a rate not exceeding 5 per cent on the value of works executed successfully. The authorised share capital of DHC will be Rs 5 Crore (5,00,000 shares of 100 each)," official also said.

All the internal costs of the corporation will at no point of time exceed the above criteria. This will form part of AOA. This will make the corporation financially viable. The MD/CEO of the company will be a full time officer without additional responsibilities, official added.