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Rediff.com  » Business » Emergency services bidding mired in controversy

Emergency services bidding mired in controversy

By Sarah Qezilbash in New Delhi
September 12, 2008 11:21 IST
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A new controversy is brewing in Delhi after the state government shortlisted five bidders for providing response services for medical, police and fire emergencies.

One of the shortlisted bidders, Emergency Management and Research Institute, an NGO floated by Hyderabad-based Satyam Computers, said some of the other shortlisted bidders were hospital chains who might take the patients to their own hospitals rather than nearest trauma care centres.

"We take the patient to the nearest hospital and give him options (according to his budget). The same might not be true if private players provide this service since they would be interested in taking the patient to their own hospitals," said EMRI Project CEO Venkat Changavalli.

Apart from EMRI, it is learnt that the bidders include a consortium floated by Apollo Hospitals and Max Healthcare as well as one in which Fortis Healthcare is a member. Apollo Hospitals is the country's largest healthcare company followed by Fortis. Max Healthcare runs several hospitals in the national capital.

When contacted, senior functionaries of these companies said the risks involved in taking patients to their hospitals were too high for them to even think about it. "It is a subsidised service provided by the government under a public-private partnership. The risk factor involved is much more for us than anyone else. And that's why we have to perform," said a Max Healthcare executive.

Said a Fortis Healthcare doctor associated with the project: "The competition should be fair and everything is going fine right now."

The Max Healthcare executive added that if only one outfit was allowed to provide emergency services all over the country, it could lead to monopoly.

EMRI, according to Changavalli, already operates emergency services in three states - Andhra Pradesh, Uttarakhand and Gujarat. The service has a toll-free telephone number, 108, which can be accessed from any mobile or landline phone. In Delhi, the number 102 is likely to be retained for this emergency service.

Tamil Nadu, Madhya Pradesh, Rajasthan, Assam, Goa and Karnataka too have signed a memorandum of understanding with EMRI to start the service.

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Sarah Qezilbash in New Delhi
Source: source
 

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