Srinagar, Apr 15: Private hospitals empanelled under the AB-PMJAY SEHAT Scheme in Jammu and Kashmir, awaiting the release of long-pending payments, on Tuesday urged Chief Minister Omar Abdullah to intervene, citing severe financial distress.
A group of owners of private hospitals here said the AB-PMJAY scheme has been extended on an ad-hoc basis from March 15 to April 14, 2025, raising concerns about the government’s approach to managing the program.
“The 3-year period ended on March 14, 2025 which was extended for an interim period of one month vide order no 17-SHA of 2025 dated 15-03-2025 which expired on 14-04-2025,” the private hospital owners said.
They stated that no governing body meeting had been held for over a month, which has sparked worries about the management and effectiveness of the largest health assurance scheme.
One of the owners of a private hospital in Srinagar said the government’s failure to release pending payments for several months is exacerbating the financial crisis, making it increasingly difficult for hospitals to sustain operations.
“We are still waiting for payments that were promised to us. Nearly 60 to 70 percent of hospital payments for 2024-2025 until April, remain unpaid. This is making things extremely difficult for us,” he said.
Private hospital owners said they were assured last year that all pending payments would be cleared by December, yet half of the dues remain unpaid.
“Many hospitals are on the brink of bankruptcy, struggling to sustain operations. Despite the financial burden, they continue to provide services under the scheme. However, the delay in payments is severely affecting their ability to handle Ayushman cases, creating uncertainty about future healthcare services,” he added.
The hospital owners said the financial strain has forced them to cut jobs and reduce staff due to low patient volume. They said the State Health Agency (SHA) decision to reserve four major surgical procedures for public hospitals has affected the hospitals.
“We have been part of this scheme for the past 4–5 years, but we’ve never witnessed such a lack of seriousness from Govt. as we have over the past year. We are in a very difficult situation and on the verge of financial collapse if the government does not intervene urgently,” they said.
The private hospital owners said restrictions on surgical procedures and slow payment will have bad consequences and may lead to private hospitals shutting down, reducing healthcare options for beneficiaries.
The owners of private hospitals requested the Chief Minister, Omar Abdullah to intervene in the matter so that they receive payments on time, which can alleviate financial strain and prevent job cuts. They also demanded that the government re-examine the restrictions on surgical procedures which can ensure beneficiaries have access to health services.
Following the policy changes on March 14, hospitals have begun laying off staff. They said this extremely difficult decision has impacted all 11,230 employees working across various private hospitals and dialysis centers in Jammu and Kashmir.
On Feb 06, the private hospitals in Jammu and Kashmir criticized the government’s proposal to reserve four surgical procedures exclusively for public hospitals in the UT. They also opposed removing the UT-specific 10 percent uniform rate enhancement on packages.
In Jammu and Kashmir, there are a total of 251 hospitals empanelled under the PMJAY scheme which includes 133 private hospitals and 118 public hospitals.
