VIJAYAWADA: The Andhra Pradesh Specialty Hospitals Association (ASHA) has decided to suspend cashless services under the NTR Vaidya Seva (NTRVS) scheme from April 7 if pending dues of approximately Rs 3,500 crore are not cleared.
In a letter to P Ravi Subash, CEO of Dr NTR Vaidya Seva, ASHA President Dr Kulukuri Vijay Kumar said network hospitals are facing severe financial distress, with unpaid dues nearly equaling the scheme’s budget for the next year. Despite ongoing efforts to serve below-poverty-line (BPL) patients, hospitals are struggling to sustain operations.
The association expressed frustration over repeated appeals to the trust and government, stating that hospitals are unable to cover even monthly operational costs. The uncertainty over payments has placed service continuity at risk.
ASHA acknowledged the government’s efforts to transition the scheme to an insurance-based model but criticised the lack of communication with network hospitals regarding its structure, operational modalities, and package rates.
“Hospitals should not have to learn about potential scheme revisions through media reports,” the association stated, urging direct communication and transparency. It also pointed out that the prolonged delay in revising package rates has further worsened financial burdens, making continued cashless services unsustainable beyond April 7.