PHO pushes for amendments: Lack of medicines ‘due to ordinance’

CEBU, Philippines - The Capitol has been implementing the medicine consignment ordinance to ensure that all 16 hospitals under the provincial government would always have enough supply of medicine.

But the Provincial Health Office attributed the insufficient supply of medicines now to such ordinance.

PHO Chief Dr. Rene Catan said the province has been tied up to only one supplier owing to the consignment ordinance.

Catan, in yesterday’s budget hearing, told the members of the budget committee that the ordinance on consignment has to be amended to address the lack of medicines and supplies and the delay in delivering them.

The consignment system is a “method of assuring availability of stocks wherein a consignor places its goods with the Provincial Health Office and/or the pharmacies of the Provincial and/or District Hospitals for sale, and the former being paid by the latter for only the actual quantity consumed using the money generated from the sale of the consigned goods within the agreed period of time.”

Catan said the province should allow more consignors for the supply of medicines in order for the hospitals to meet the demands of the growing number of patients seeking treatment at the government facilities.

“We are stuck with the contract. Over the last six to 10 months, we reviewed the consignment system and found out several gaps,” Catan told reporters after the hearing.

For instance, he said, medicines acquired through emergency purchase that are not in the list during bidding will have higher prices.

He said the supplier has blamed the PHO instead for not monitoring their “critical level of inventory.”

“Pananglitan di pa mi mangayo, ang napalit sa supplier na tambal ihatag sa uban. Kun magkinahanglan na nuon ‘ta, wa na ta’y atoa. Or makahatag ang supplier pero dili hurot. If we ask for 100 boxes, we would only get 20,” he explained.

To address this, Catan said the province can venture on “economic enterprise” scheme that would give way to the construction of “Botika sa Probinsya” (or drugstore of the province).

“We would serve as mercury for the entire province. For one brand name, daghan ang supplier so we can’t experience shortage,” he said, pointing out that this scheme has been successfully done in Romblon, Iloilo and other provinces.

“With this, we allow market forces while we have the control. Also, we will have the necessary volume of medicines for the province,” he said.

The botika, he said will be the one to supply medicines to the 16 provincial and district hospitals.

It will also provide its constituents greater access to cheaper and affordable drugs and medicines.

“The idea is cheaper and always available medicines,” Catan said.

As stipulated in the consignment ordinance, doctors are required to submit a list of medicines that the hospital needs.

The list would be made as basis as to what kind of medicine and drug supplies would be purchased by the Bids and Awards Committee in accredited companies.

The ordinance also covers the consignment of medical equipment.

According to Catan, the Provincial Board is willing to review the ordinance. He said he will sit down with Board Member Christopher Baricuatro, chairman on health, to discuss the amendments.

PHO is setting aside P40 million as consignment fund for drugs, medicines and medical supplies in its proposed P488 million budget for 2017. Next year’s allocation for consignment fund is quite higher compared to this year’s P15 million and P28.2 million in 2015.

PHO’s proposed budget for next year is 12 percent higher than this year’s budget of P433.4 million.

The executive department is proposing P3.6 billion for next year’s budget. (FREEMAN)