TANHA strikes over Rs 1,000 crore unpaid dues, to stop Aarogyasri services across Telangana

Hyderabad: The Telangana Aarogyasri Network Hospitals Association (TANHA) has declared an indefinite suspension of services under the Aarogyasri scheme across all private network hospitals in the State, effective from Tuesday (September 16) at 11:59 pm.

This decision comes after repeated, unfulfilled assurances from the government regarding the clearance of long-pending payment dues. According to a press note released by Dr Vaddiraju Rakesh, State President of TANHA, the government’s outstanding dues to private hospitals now exceed Rs 1,000 crores.

Key highlights of the meeting of hospitals

Financial crisis: The association’s member hospitals have been pushed into a severe financial crisis due to the non-payment of dues.

While the government has paid Rs 1,900 crore in the last 20 months, which is noted as the ‘highest in the history of Aarogyasri,’ a significant backlog of over Rs 1,000 crore still remains.

Failed negotiations: For the past 20 days, TANHA members have been in regular discussions with officials, including the Health Minister (HM) and the CEO of the Aarogyasri Health Care Trust (AHCT). Despite the Health Minister’s assurance of ‘sincerely working to solve the issue of payments,’ both offices have failed to honour their promises.

Justification for strike: As a last resort, TANHA is being ‘forced’ to indefinitely withhold services to protect its members and demand that the legitimate payments are cleared.

Public appeal: THANA expressed regret for the inconvenience caused to beneficiaries and the public, requesting their understanding and support for the association’s demands.

Over Rs 1,000 crores paid, says government

The office of the health minister stated that more than Rs 1,000 crores have been paid under the scheme to hospitals in the last 20 months.

“This is the highest payment made to the hospitals availing the scheme. There was a backlog of Rs 1,000 crores of the erstwhile BRS government and we have done our best to clear the dues.”

The government, on September 15, stated that Rs 100 crores have been released to the hospitals.

What is the issue about?

Aarogyasri is a flagship health initiative of the Telangana government that provides cashless medical and surgical treatment to eligible families below the poverty line.

The scheme is a Public-Private Partnership (PPP) model, and its effective functioning relies on the timely disbursement of funds to network hospitals for the services they provide.

TANHA, an association representing these private hospitals, has historically engaged in similar protests to push for the resolution of payment-related issues with the Aarogyasri Health Care Trust (AHCT), the body that oversees the scheme.

This is not the first time such an action has been taken, as a similar strike was called off earlier this year after government assurances.