KOCHI: The Kerala High Court on Monday, October 4, 2021, set aside the state government’s order slashing the price of RT-PCR tests to Rs 500 from Rs 1,700 at all private labs and asked the government to take a fresh decision within three weeks after discussions with the owners and representatives of the labs. However, the court kept its order in abeyance for a month to facilitate the talks. This means the cost of RT-PCR tests remains unchanged at Rs 500 till then.
All except 10 labs had accepted the rate: Government to High Court
“The directive to keep (the court order) in abeyance should not be taken as permission to take coercive action against the petitioners or similarly situated persons,” said Justice T R Ravi while hearing the petitions filed by Accredited Molecular Testing Laboratories and Devi Scans (P) Ltd seeking to set aside the government’s order.
Senior advocate P Raveendran and advocate Paul Jacob, who represented the petitioners, contended that the government had no power to issue an order fixing rate for tests in private labs. The government argued that all except 10 laboratories had accepted the rate fixed by the government.
“The cost of PCR kits and other materials required for the test has gone down considerably. Also, other states have similar rates --- `415 in Punjab and `500 in Maharashtra, Haryana and Uttarakhand --- for the test,” the government said. However, the court said when the price is fixed on the directions of the Indian Council of Medical Research, the state is obliged to discuss the matter with private laboratories.
“The latest order was issued without discussions with private laboratories, in a matter that affects them seriously. Hence, the government order is liable to be set aside. The government should take a fresh decision regarding the rate of the RT-PCR test after holding discussions with private laboratories,” said the court.
It also said the reliance of the government’s argument on the cost of RT-PCR test in other states is also not a reasonable yardstick as there is no material available to ascertain how the prices were arrived at there, said the court.