CAG Report Finds 57% of Bengal COVID Oxygen Plants Inactive

HEALTHCAREBIOTECH
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AuthorAarav Shah|Published at:
CAG Report Finds 57% of Bengal COVID Oxygen Plants Inactive

A Comptroller and Auditor General report reveals that most COVID-era oxygen plants in West Bengal remain non-functional as of late 2023. Significant emergency health funds also remain unspent, raising concerns over public healthcare infrastructure management.

Detailed Coverage

A recent audit by the Comptroller and Auditor General (CAG) has highlighted significant gaps in West Bengal's healthcare infrastructure developed during the COVID-19 pandemic. The report reveals that out of 75 Pressure Swing Adsorption (PSA) oxygen plants installed using PM CARES and corporate social responsibility funds, only 32 were operational by December 2023. This means that more than half of these critical facilities were either never commissioned or were not working when audited.

The findings point toward broader inefficiencies in resource management within the state's medical system. Beyond the oxygen plants, the audit uncovered that essential medical devices, such as ventilators and oxygen concentrators, were sitting idle in government hospitals. At SSKM Medical College and Hospital, for instance, multiple ventilators supplied under the PM CARES scheme were found in storage. Hospital authorities attributed this to a lack of necessary consumables, which prevented the machines from being used for patient care.

Financial mismanagement was another major concern raised by the auditor. Large portions of emergency funding intended for pandemic preparedness were not utilized. Specifically, about 65% of the Emergency COVID Response Package-II, which amounted to ₹659.28 crore, remained unspent by March 2022. Additionally, over ₹462 crore from state COVID untied funds was left sitting unused during the same period.

The West Bengal Medical Services Corporation Ltd, in response to the audit, stated that the responsibility for installing and operationalizing these plants rested with the Union government and corporate social responsibility agencies. The state agency noted that tenders have been issued to address the operational status of these facilities. However, the CAG report expressed skepticism regarding these timelines, stating there is currently no assurance on when the remaining plants will actually become functional.

For investors and observers tracking the healthcare sector, this report highlights the risks associated with public health project execution and the maintenance of medical assets. Future updates to monitor include the progress of the newly invited tenders, the actual commissioning date for the idle plants, and whether state authorities can demonstrate improved utilization of remaining health infrastructure budgets.

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