SC directs the Centre to come up with a concrete proposal specifying the range of rates for hospital services or it may apply CGHS rates



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In a recent Supreme Court (SC) order, the bench comprising Justice BR Gavai and Justice Sandeep Mehta strongly criticized the Central Government’s failure to specify the range of rates of medical treatments across private and governmental medical facilities (hospitals). The bench was hearing a writ of mandamus by the NGO ‘Veterans Forum for Transparency in Public Life’ seeking direction to determine the rate of fee chargeable from the patients in terms of Rule 9 of the Clinical Establishment (Central Government) Rules, 2012. During the SC proceedings, the learned senior counsel appearing for the respondent (Union of India), Shailesh Madiyal, submitted that “the rates are to be determined under the Clinical Establishments (Registration and Regulation) Act, 2010 (for short, the Act of 2010’) and the Rules framed thereunder.” He added that the said Act has been adopted by 12 State Governments and 7 Union Territories. The learned senior counsel further contended that as per the provisions of Rule 9 of the Rules of 2012, the rates could not be determined by the Central Government unless there was a response from the State Governments/Union Territories. He continued, despite various communications there is no response from the State Governments/Union Territories. 

The learned counsel for the petitioner submitted that the Union of India has notified the rates that may apply to the CGHS (Central Government Health Scheme)-empaneled hospitals. He added, “till a solution is found the Central Government can always notify the said rates as an interim measure.” After hearing the matter, the bench observed, “It has been held that it is the duty of the State to provide medical assistance to the citizens. The Act of 2010 has been enacted with the avowed object of providing medical facilities to the citizens at an affordable price. The Union of India cannot shirk away from its responsibility by merely stating that communication has been addressed to the State Governments/Union Territories and they are not responding.” Further, the SC directed the Secretary of the Department of Health, Union of India to hold a meeting with his counterparts in the State Governments/Union Territories and come up with a concrete proposal by the next date of hearing. 

Concerning the suggestion of the learned counsel for the petitioner regarding the adoption of CGHS rates, the SC said that if the Central Government does not come out with a concrete proposal by the next date of hearing then it will consider issuing appropriate directions for the same. The bench listed the matter for hearing after six weeks.