Home / Telangana / Telangana Aarogyasri Network Hospitals Threaten to Withdraw Services Over Pending Dues What’s Happening

Telangana Aarogyasri Network Hospitals Threaten to Withdraw Services Over Pending Dues What’s Happening

Telangana Aarogyasri Network Hospitals

The Telangana Aarogyasri Network Hospitals Association (TANHA), representing over 360 private and district hospitals, has issued a serious warning: they will withdraw services under the Aarogyasri and Employee & Journalist Health Schemes from September 1 unless their pending dues are cleared.

Key Issues at Stake

  1. Massive Unpaid Dues
    Hospitals claim they are owed a staggering ₹1,300 – 1,400 crore from the Rajiv Aarogyasri Health Care Trust (RAHCT). These delays have imposed severe financial stress, especially on smaller and mid-sized hospitals in district regions.
  2. Broken Promises & Unresolved Problems
    Earlier this year, TANHA had staged a 10 day withdrawal of services, which was called off after assurances by the Health Minister. But seven months later, little progress has been made.
  3. Disproportionate Budgeting & Outdated Rates
    The hospitals argue that the Memorandum of Understanding (MoU) with RAHCT includes one sided clauses that favor the Trust. Package rates have remained unchanged since 2007, while the number of beneficiaries has surged especially in district hospitals which handle 75–80% of Aarogyasri cases yet receive significantly less funding.
  4. Ripple Effects on Care Delivery
    With salaries delayed and suppliers hesitant due to unpaid bills, doctors are losing motivation, and many hospitals face the threat of collapse. Larger corporate hospitals in Hyderabad may withstand the delay, but district hospitals hosting 100 to 200 beds are on the brink of shutdown.
  5. Government’s Position
    The Health Department has stated that around ₹1,700 crore has already been released, including dues from the previous administration, and more hospitals are being empaneled. They assured that TANHA’s concerns are under review.

Why This Matters

For patients: Particularly in rural areas, this could mean losing access to essential, subsidized medical care when it’s needed most.

For district hospitals: The looming financial crisis threatens to shut down critical healthcare infrastructure.

For the system: If unresolved, this can escalate into a full-scale healthcare emergency impacting Telangana’s poorest communities.

✨ This news highlights the urgent need for government action to resolve funding issues and ensure uninterrupted healthcare for millions of beneficiaries under Aarogyasri.

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