Sudurpaschim government moves to amend act allowing private hospitals near government facilities

Dhangadhi: The Sudurpaschim provincial government is preparing to amend the Provincial Public Health Service Act 2076 to facilitate the operation of private hospitals. The provincial government has registered an amendment proposal in the provincial assembly seeking to remove a key provision of the act.

The amendment draft, submitted on Falgun 11 by the Ministry of Social Development, proposes the removal of Section 27 of the act. This section currently restricts private hospitals, polyclinics, clinics, nursing homes, laboratories, and other health-related private businesses from operating within 300 meters of a government hospital or health institution.

Section 27 also provides that if such businesses are found operating within the restricted area, they must relocate within six months, failing which a fine of up to Rs 50,000 may be imposed. The proposed amendment seeks to completely eliminate this provision.

The draft cites implementation difficulties and argues that removing the section is necessary to respect citizens’ health sensitivity, improve service effectiveness, and uphold individuals’ constitutional right to operate a profession.

However, experts warn that removing this section may conflict with federal law. The federal Public Health Service Act 2075 BS prohibits private hospitals, clinics, polyclinics, or other health service providers from operating within at least 500 meters of a government health facility, aiming to ensure the effectiveness of public health services and prevent unnecessary competition.

The proposed amendment has sparked criticism, with some alleging that it favors private hospital operators. A private hospital operator claimed that the amendment is intended to benefit private facilities near Seti Provincial Hospital, suggesting that the provincial government may be under pressure from private operators.

Earlier, on Poush 28, the Ministry of Social Development had approved the 'Private Hospital and Health-Related Business Transfer Criteria 2079,' allowing the relocation of private health institutions within 300 meters of government facilities. However, in practice, this criterion has not been effectively implemented.