According to an affidavit the union health ministry submitted to the Supreme Court on Monday, a number of states have expressed reservations about the federal government’s attempt to establish uniform healthcare service tariffs across the country.
The Clinical Establishment Rules 2012’s Rule 9, which permits the Center to determine hospital rates, was challenged by physician and hospital associations, prompting the filing of the affidavit in response to a Writ Petition calling for standardized healthcare charges.
States wishing to work with the union health ministry have indicated that they are willing to comply with the Clinical Establishments (Registration and Regulation) Act, 2010 (CERAR). The quality of healthcare and patient treatment may be seriously compromised by any rate range setting, as states like Haryana, Telangana, Bihar, Mizoram, Gujarat, and Madhya Pradesh have shown.
They also emphasized that setting fixed rates could result in major problems, such as making healthcare facilities unprofitable, and that many other players might raise prices. When taking into account the interplay of market forces and economic dynamics, it can potentially make the healthcare industry less competitive.
According to the affidavit, a one-size-fits-all strategy might not be possible, thus this activity needs to be carried out by having consultations with all stakeholders, including business players in the States and UT involved. According to the states, this would take more time to start the workout and continue because it would involve a lot of labor and time.
States received a cost template from the Union Health Ministry as a starting point, but specific considerations are needed for things like location, facility type, and the credentials of the healthcare staff.
Through a virtual meeting on March 19, 2024, Anita Bilung, Under Secretary at the Ministry of Health and Family Welfare, conducted the proceedings in accordance with the apex court’s guidelines to enhance transparency in public healthcare costs.
Considerable progress has been made on establishing a standardized range of tariffs for healthcare services across the country after a multilateral consultation. The meeting, which took place on March 19, 2024, was well attended by representatives from a number of states and UTs, in accordance with the Supreme Court’s orders about the nationalization of treatment costs. The National Council for Clinical Establishments (NCCE) approved the Clinical Establishment Act Division of the Ministry of Health and Family Welfare’s creation of a Template of Costing of Procedures, which provides a foundational framework for determining rates while taking into account regional variables like facility type, staff qualifications, and particular healthcare services.
In order to investigate the establishment of standard charges for medical procedures and services, the Supreme Court ordered the federal government to convene virtually with health secretaries from all 50 states and union territories. September 10 is the date of the upcoming hearing.