'Private hospitals prices out of market'

Health Minister Manto Tshabalala-Msimang

Health Minister Manto Tshabalala-Msimang says private hospitals are on the verge of pricing themselves out of the market.

She says, in her discussions with the hospitals, it has become clear that none of them are prepared to accept responsibility for the high prices. The minister has told Parliament's health committee that the only way to bring the prices down is through legislation. She says hospitals agreed in discussions with her to consider limiting their increases to that of the official rate of inflation.

Private hospitals - including those run by Netcare, Life Healthcare and the National Hospital Network - demand increases on ward and theatre fees ranging between 8% and 33%. The hospital groups want to incorporate the cost of anaesthetic gasses into theatre fees by adding between R6 and R13 per minute. They are expected to charge aesthetic gasses separately on a fixed fee in millimetres - and not by minutes.

The Minister says some private hospitals were in the hot seat last year August when they billed for aesthetic gasses per minute.

Hospital groups blame the increases on to salary pressures. The Council for Medical Schemes recently gave the hospital groups until January 15 to motivate the increases.