R4.5bn bill may cripple NHLS, parliament told

lab+s
lab+s
The National Health Laboratory Service (NHLS) is facing collapse if provinces don’t pay their collective bill of R4.5-billion. The Eastern Cape owes R74-million.

This was revealed during a presentation to parliament’s portfolio committee on health a week ago.

The colossal provincial debt is threatening NHLS’s R6-billion budget for the 2015-16.

DA shadow deputy minister of health Heinrich Volmink lambasted the provinces saying he would be demanding that the national Treasury tables a recovery plan.

“The DA will request national Treasury place a recovery plan before the portfolio committee on health to recover the money before the close of the 2014-15 financial year.

“Mechanisms for extracting accountability from provinces who have failed to pay the NHLS for services rendered must be put in place by Treasury in the form of a directive,” Volmink said.

He said defaulting on debts by provinces was threatening the organisation’s entire functioning, compromising its ability to provide diagnostic services which have “life-and-death consequences”.

KwaZulu-Natal owes R300-million, followed by Gauteng which owes R100-million.

Eastern Cape department of health spokesman Sizwe Kupelo yesterday said the department’s last payment to the NHLS was in December.

“NHLS is providing a much needed service in the province and is responsible for all laboratory services.

“The NHLS is one of the service providers that are being prioritised for payment,” Kupelo said.

Khonziwe Mahlangu, spokesman for the NHLS, said: “There are outstanding accounts from provinces that are being dealt with as any other debt and we are in negotiations with the Gauteng department of health, regarding discrepancies in their debt to NHLS.

“The NHLS is not at liberty to disclose any further information regarding its discussions with the Gauteng and KwaZulu-Natal health departments or any other province, until negotiations with the provinces have been finalised and closed.”

The NHLS is the largest diagnostic pathology service in South Africa with the responsibility of supporting the national and provincial health departments in the delivery of healthcare.

The healthcare services include:

lRelevant diagnostic tests, which includes tests for HIV and tuberculosis;

lTraining and research; and

lSpecialised divisions, such as the National Institute for Communicable Diseases, National Institute for Occupational Health and the National Cancer Registry.

Attempts to get comment from National Treasury spokeswoman Phumza Macanda were not successful. — siphem@dispatch.co.za

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