Sharmila alleges plot to to away with Aarogyasri

Vijayawada: Andhra Pradesh Congress president Y S Sharmila on Friday accused the TDP-led state government of deliberately trying to dismantle the Aarogyasri (NTR Vaidya Seva) health scheme by failing to clear Rs 2,700 crore in dues owed to private hospitals.

Starting Friday, October 10, the Andhra Pradesh Speciality Hospitals Association (ASHA) suspended all health services under NTR Vaidya Seva, citing an unmanageable financial crisis. ASHA said that despite repeated appeals, the government failed to release payments, forcing hospitals to halt services after struggling for months.

In a press statement, Sharmila alleged that keeping Rs 2,700 crore in arrears was part of a “conspiracy to completely eliminate” the scheme. She criticised the government for neglecting public healthcare while favouring private insurance companies. “Hospitals have gone on strike twice in a year, yet the government has not acted. Its apathy exposes its lack of concern for people’s health,” she said.

Recalling that Aarogyasri was introduced by her late father and former chief minister Y S Rajasekhar Reddy, Sharmila described it as a “panacea for the poor.” She said the government had failed to allocate even Rs 4,000 crore for the scheme, despite having funds to pay private insurers.

Referring to the proposal to shift to an insurance model, she pointed out that 16 of 18 states which adopted it have reverted, as it proved ineffective and burdensome. Sharmila demanded that NTR Vaidya Seva continue under trust mode and that all pending dues be cleared immediately to end the hospitals’ strike.

ASHA, in its statement, said the ever-increasing arrears have pushed network hospitals into severe financial distress. Despite assurances from officials, no tangible action has been taken, it said, compelling hospitals to suspend services indefinitely.