Chief Minister N. Chandrababu Naidu has approved the immediate release of ₹500 crore towards clearing the pending dues of NTR Vaidya Seva Network Hospitals.
After convening an emergency meeting with the Executive Body of the Association of Healthcare Providers of Andhra Pradesh on a short notice late night on April 7, the Chief Minister, it is learnt, has explained to the association members the challenging financial situation of the State.
“However, understanding the crucial role played by hospitals and healthcare providers, he approved the immediate release of ₹500 crore towards clearing the dues,” an official update from the association read.
According to the release, the Chief Minister assured them that the government considers clearing the remaining dues as a top priority. He has also assured the association that a follow-up meeting would be arranged shortly to discuss the pending payments and other concerns in detail.
The meeting followed an interaction with Health Special Chief Secretary M.T. Krishna Babu, who promised to the association that efforts would continue to secure the release of the remaining funds. A meeting with Health Minister Y. Satya Kumar Yadav is also expected with regard to their concerns, including pending dues, future payment scheduling, package revisions, enhancements and other operational issues.
The release from association president, K. Vijay Kumar, reads: “While the amount released is not fully satisfactory considering the huge outstanding dues, respecting the Chief Minister’s assurance and recognising the financial constraints of the State, the ASHA Executive Body has decided to resume cashless services under NTR Vaidya Seva from April 8.”
Dr. Vijay Kumar appealed to all member (empanelled) hospitals to resume services and added that the association will however, continue its efforts to ensure timely payments.
Earlier, all cashless health services, including emergency services, being offered to the public in private network hospitals under Dr. NTR Vaidya Seva in Andhra Pradesh were stopped on Monday, as the hospitals did not receive any assurance from the State government regarding dues, reportedly amounting to around ₹3,200 crore.
At the time of the formation of the TDP-led NDA government in the State last year, there were ₹2,200 crore dues, left behind by the previous government. The total dues now reached ₹3,500 crore. Last week, ₹300 crore was released by the government, according to information from the A.P. Speciality Hospitals’ Association.
The association members had written a letter to the government in March first week stating their decision to discontinue the services from April 7 and requesting that dues be cleared immediately. They wrote that monthly operational expenses were also not paid. “Despite our best efforts to continue serving the BPL population and support the State government’s healthcare initiatives, the financial strain has made it unsustainable for us to function,” the letter read. The Hindu