Mumbai: Regulate prices for Covid vaccines at private hospitals, say experts

Pune-based Serum Institute of India (SII) in April priced Covishield at ₹600 per dose to private hospitals

Pune-based Serum Institute of India (SII) in April priced Covishield at ₹600 per dose to private hospitals. After adding service charges, few private hospitals that have started inoculating citizens between the age groups of 18 and 44 years are charging between ₹700 and ₹900 per dose. While the extra charge is not illegal, the uneven and unregulated pricing of Covid-19 vaccines has raised concerns among doctors and health activists who are calling for a price cap on the vials.

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From May 1, the Central government allowed the vaccination of the public between the age group of 18 and 44 years. Amidst shortages of vials, only three private hospitals—HL Reliance, (Girgaum), Nanavati (Vile Parle) and Apollo (Navi Mumbai), who had placed their order for vials to SII months ago, have been able to start the inoculation programme. These hospitals are charging ₹700, ₹900 and ₹850 respectively after including charges for transportation, procurement, storage and service.

A section of doctors, however, fear that hospitals in the absence of guidelines or a price cap may use the opportunity to “unethically” charge a higher price range for vials.

“While all major and smaller private hospitals are struggling to get hold of the vials, a few hospitals have turned into major providers of the vaccines. This gives them the upper hand to decide on the pricing as per their wish in the absence of regulation and a cap. This may lead to unethical overcharging,” said Dr Prince Surana, chief executive officer at Surana Group of Hospitals.

Santosh Marathe, chief operating officer at Apollo Hospital said their cost for a jab includes the cost of transportation, maintaining the cold chain and service charges. Nanavati Hospital was unavailable for a comment, and HL Reliance Hospital refused to comment.

N Ramaswamy, commissioner of the National Health Commission, said they haven’t received any official complaint from the public on the price issue as yet. “The Central government has instructed private hospitals to procure vials directly from the manufacturers. As there are no specific guidelines, the hospitals decide their own vaccine prices. But they have to upload the price on Co-WIN for the public to decide. So far, the state health department hasn’t personally decided to put any price cap,” said Ramaswamy.

Charging a higher price for vaccines will render them unaffordable for many which can become a hurdle in the mass immunisation programme, said, health experts.

“Firstly, the procurement process should be centralised which will help bring better regulation on the pricing of vaccines. Also, with a cap on pricing, private hospitals won’t be able to able use it to exploit the public. Otherwise, more underprivileged people would fall prey to the infection,” said Brinelle D’Souza, senior faculty, Tata Institute and co-convener, Jan Swasthya Abhiyan-Mumbai.

Dr Deepak Baid, former president of the Association of Medical Consultants (AMC) said, “At the beginning of the pandemic, some hospitals overcharged patients when there were no regulations on beds pricing. Similarly, if a cap isn’t imposed on vaccines, there is a possibility that hospitals may charge a higher amount of money from the public.”

Meanwhile, amidst the ongoing shortage of vials in the city, SII has informed a few private hospitals that it would take five-six months to supply Covishield.

In response to an email sent by Dr Surana, SII replied, “...Due to our current obligation to meet the government’s existing requirements and to meet the additional demand emanating from state governments under liberated and accelerated vaccination, it is challenging to meet independently the requirement across from a large number of private hospitals. Therefore, we urge you to access the vaccine when it becomes available in the private market supply chain channels which will take about 5-6 months from now.” SII, however, refused to comment on the issue.

This delay in the procurement process has upset doctors who are planning to seek help from the Brihanmumbai Municipal Corporation (BMC). Dr Gautam Bhansali, general physician, Bombay Hospital said, “To control the second wave, we need to fasten the vaccination process. If private hospitals don’t get the vials, the mass immunisation programme will get further delayed. So, we have plans to hold a meeting with BMC.”