Govt to privatise hospital equipment procurement and maintenance – Health minister

The Minister of Health, Kwabena Mintah Akandoh, has hinted that the government will soon privatise the procurement, management and maintenance of hospital equipment across the country as part of efforts to improve efficiency and sustainability in the health sector.

Speaking at the 2nd Annual Scientific Conference of the Medical Superintendents Group in Abetifi-Kwahu on Tuesday, October 14, the minister said the new model will allow private entities with direct links to equipment manufacturers to supply, maintain, and manage medical devices for health facilities, while government health professionals operate them.

“We know standard equipment for each regional hospital, and we know standard equipment for each Teaching hospital. And therefore, we’ll float it. So, people who are interested and have direct relationships with manufacturers of equipment would then bid to go through the processes. We dedicate, let’s say, Juaboso District Hospital to you. You put all the equipment there,” he said.

He added, "When the equipment is faulty, you will fix it. You monitor them. But our health workers will run the equipment. That is how we are going to pay them. So that equipment will not be a challenge for the government. So they will run the equipment, but you will be doing the labs and what have you”.

The minister further disclosed that payments to vendors will be made through the National Health Insurance Scheme (NHIS) by restructuring the current claims system.

“This is how we are going to pay them. We have realised that the claims you submit to National Health Insurance have three main components. The services, the consulting, the medications and the diagnosis. I hope I’m not lying. Very good. If that is the case, we are going to take out the diagnosis aspect. And so therefore, we’ll pay the vendor who has placed the equipment in the facilities and will not tolerate that I don’t have the capacity to put this equipment there.”

He said there will be profit profit-sharing arrangement under the proposed model.

“Again, I’ll be quick to add that there will be a certain level of profit-sharing arrangement with the facilities. These are things we are considering. We have to use our brains”.

Akandoh noted that the new approach is aimed at eliminating persistent equipment breakdowns and shortages and ensuring regular maintenance to guarantee quality healthcare delivery.

“Government buying equipment all the time is not sustainable. We must think differently. Criticisms are welcome, but we must innovate if we want better results,” he said.

Dialysis Equipment to Be Outsourced

Addressing issues of inadequate dialysis equipment in the country, the Health Minister, Mintah Akandoh, said the government is in the process of outsourcing dialysis equipment supply and maintenance through an “equipment placement” model beginning with all Teaching and Regional Hospitals across the country.

“What the government is doing is that we are outsourcing and doing what we call equipment placement. We have advertised it, 47 companies have applied, we are doing the shortlisting and by the close of next week, we will conclude which companies we will deal with. So we will divide the whole country into lots. To start with, we are going to start with the regional hospitals and the teaching hospitals."

He added that under the new arrangement, vendors will provide and maintain dialysis machines, supply reagents, while health professionals operate them. Payments will then be made through NHIS tariffs.

“So, what we will do is that you put your equipment at the facility, you maintain it, you buy your own reagents, our health professionals will run the equipment, and then the national health insurance will pay you for the tariffs. Truth be told, government buying equipment all the time is not sustainable. That is the gospel truth. And you know, in some cases we have heard that the breakages we record in some of these health facilities are deliberate.”