POLITICS

Gauteng, KZN owe NHLS R1.8bn - Mike Waters

DA MP says provinces' failure to pay is jeopardising laboratory services nationwide

KZN and Gauteng jeopardising health laboratory services nationwide

Debts owed to the National Health Laboratory Service (NHLS) by provinces are escalating, causing an operational crisis in the health system's ability to process diagnostic tests - including tests related to HIV and TB - nationally.

According to NHLS and provincial health officials, the KwaZulu-Natal and Gauteng Health Departments now owe the NHLS a combined R1.8 billion. This debt appears to be worsening given that the combined figure for these provinces was R1.6 billion in December 2011.

Lack of payment from these two provinces is placing the viability of the NHLS in jeopardy nationwide.

National medical equipment suppliers are unwilling to sell to the NHLS if they cannot pay, which means that every province is being hit by a supply shortage.

The Democratic Alliance (DA) understands that many laboratories have already closed down and training has come to a complete halt in an effort to save costs as the NHLS awaits payment from KZN and Gauteng.

This is a national disaster for our healthcare system, which is being held to ransom as a result of bad financial management in select provinces.

We call on Health Minister Aaron Motsoaledi to hold the Provincial Health MECs accountable for the perilous state that they have put South Africans in.

Currently, the KwaZulu-Natal Health Department owes R1.06 billion to the NHLS and Gauteng owes R709.4 million.

This combined R1.77 billion amounts to 82% of the R2.17 billion owed by all provincial health departments. If KwaZulu-Natal and Gauteng paid their bills on time, the NHLS would not be facing this challenge and our health system would not be in this mess.

Other provinces complete their outstanding payments to the NHLS within an average of 68 days, with the Western Cape doing so in the shortest amount of time (46 days). However, payments from KwaZulu-Natal are delayed by more than 315 days, while Gauteng is close to 200 days late on payments.

The health system relies on the NHLS to be quick and accurate in processing diagnostic tests. The institution is now operating on a shoestring budget which is not sustainable. KwaZulu-Natal and Gauteng need to pay up now.

Statement issued by Mike Waters MP, DA Shadow Minister of Health, January 31 2012

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