As Ayushman Bharat Surges Demand For Healthcare, Government To Open Up Its District Hospitals For Private Players  

The government will allow private players to provide healthcare services in district hospitals to those who suffer from non-communicable diseases, as there is a visible surge in demand for these services after the launch of Ayushman Bharat, Economic Times has reported.

NITI Aayog laid down the guidelines and presented a model concession agreement that will enable private companies to start operating in district hospitals, which earlier were exclusively operated by the government.

Under the proposed public-private partnership model, private healthcare will provide additional infrastructure for the treatment of non-communicable diseases at district hospitals at predetermined rates.

As per the report, Non-communicable, or chronic, diseases are diseases of long duration and generally slow progression. The World Health Organisation classifies such diseases under four main types — cardiovascular diseases (like heart attacks and stroke), cancers, chronic respiratory diseases (such as chronic obstructive pulmonary disease and asthma) and diabetes.

The state government have been advised to adopt a pay-per-use model wherein they would provide space to companies in district hospitals. In return the companies would provide infrastructure, instruments and manpower required to treat non-communicable diseases.

For their services, the private players would be paid on a per-procedure or package-of-services basis, based on the bidding. Under this 15 year long arrangement, the government will pay the private partner on behalf of the beneficiary.

Releasing the guidelines and Model Concessionaire Agreement (MCA) for 'Public-Private Partnership for Non-Communicable Diseases' (NCD), Niti Aayog member V K Paul said the cost of treatment under the PPP model would be the same as specified under the Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (PMJAY) or states insurance schemes.

In June 2017, NITI Aayog proposed a Public Private Partnership (PPP) model to provide infrastructure for improved treatment of non-communicable diseases at district hospitals. Following opposition from a section of public health experts, NITI Aayog backtracked saying it was just a draft.

However with the government launching the world’s largest health insurance scheme, it has decided to push the public-private participation model in healthcare.