How you spent Rs 35,000 crore-fund allotted for procuring vaccines: SC to govt

The Supreme Court has asked the Centre to clarify how Rs 35000 crore earmarked in Budget for 202122 for procuring Covid19 vaccine have been spent so far in light of its current Liberalized Vaccination Policy and why the fund cannot be used for vaccinating persons between 18 to 44 years age groupThe top court also posed serious questions on Centres Liberalized Vaccination Policy which enables StateUT Governments and private hospitals to procure 50 per cent of the monthly Central Drugs Laboratory CDL approved doses in the country at a prefixed priceIt said that if the Centres unique monopolistic buyer position is the only reason for it receiving vaccines at a much lower rate from manufacturers it is important for the court to examine the rationality of the existing Liberalized Vaccination Policy against Article 14 of the Constitution since it could place severe burdens particularly on StatesUTs suffering from financial distressAlso Read SC seeks information on Centres scheme for kids orphaned by Covid19A special bench of Justices DY Chandrachud LN Rao and S Ravindra Bhat said that the Centre justification for Liberalized Vaccination Policy has been adduced in a bid to spur competition which would attract more private manufacturers that could eventually drive down pricesldquoPrima facie the only room for negotiation with the two vaccine manufacturers was on price and quantity both of which have been prefixed by the Central Government This casts serious doubts on UoIs Union of India justification for enabling higher prices as a competitive measurerdquo the bench saidIt said that the Central Government justifying its lower prices for vaccines on account of its ability to place large purchase orders raises the issue as to why this rationale is not being employed for acquiring 100 per cent of the monthly CDL dosesldquoThe Union Budget for Financial Year 20212022 had earmarked Rs 35000 crore for procuring vaccines In light of the Liberalized Vaccination Policy the Central Government is directed to clarify how these funds have been spent so far and why they cannot be utilized for vaccinating persons aged 1844 yearsrdquo the bench saidIt noted that Centre in response to courts question on the poor and marginalized suffering on account of the vaccine prices has stated that the eventual beneficiary of the vaccine would not be affected by the Liberalized Vaccination Policy since every StateUT has promised to vaccinate its residents free of costldquoNevertheless it is reiterated that the UoI should consider utilizing its position as the monopolistic buyer in the market and pass down the benefit to all personsrdquo the bench said adding that even if the StatesUTs were to fund the higherpriced vaccines these funds are expended at the behest of the public exchequerIt said that the Centre and StatesUTs both operate in the service of the Indian population and raise and disburse funds in their name and the additional funds expended on procuring vaccines against a deadly pandemic are necessary expenditure for any StateUT Government which has battled the public health emergency for over 15 months nowldquoHowever an avoidable expense would eventually hurt the welfare of individuals residing within those StatesUTs who may potentially be benefitted by the differential funds being utilized for ramping up the health infrastructure in the StateUT which is equally important to combat the pandemicrdquo the top court saidDealing with the issue of basis of pricing the bench said that it commend the cooperative efforts of the Centre and the private manufacturers in developing and distributing vaccines which are critical to mitigate the pandemic but want to understand the process of development and augmentation of vaccine production and its pricing for StatesUTs and private hospitalsIt directed the Centre to provide clarification the Government would have minimized the risks of the manufacturers by granting Emergency Use Authorization to the vaccines which should factor into its pricingThe top court also asked the Centre to clarify on the justification for intervening in prefixing procurement prices and quantities for StatesUTs and private hospitals but not imposing statutory price ceilings and the comparison between the prices of vaccines being made available in India to their prices internationallyIt also sought clarification from Centre on the manner in which cold storage equipment capacity is being balanced between the Central and StateUT GovernmentsldquoThe manner in which the StatesUTs are managing the logistical burden for vaccinating persons aged between 1844 years along with persons aged over 45 yearsrdquo the bench sought to knowBesides several other clarifications on logistics front the top court also sought to know whether cold storage facilities in India have increased for the Covid19 vaccination drive the present numbers and comparison with the numbers prior to March 2020The SC also asked the Centre to place on record all relevant documents and file notings reflecting its thinking culminating in the vaccination policy and the purchase history till date of all jabs including Covaxin Covishield and Sputnik VThe top court also asked the Centre to specify the steps being taken by it to ensure drug availability for Mucormycosis or black fungusBesides it directed all states and Union Territories within 2 weeks their stand on providing free vaccinationThis story has been sourced from a third party syndicated feed agencies Midday accepts no responsibility or liability for its dependability trustworthiness reliability and data of the text Midday managementmiddaycom reserves the sole right to alter delete or remove without notice the content in its absolute discretion for any reason whatsoever