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National Kidney Transplant Institute (NKTI)/Hemodialysis Center-Fresenius Medical Care Lease Agreement

Summary

The National Kidney and Transplant Institute is a tertiary medical specialty center specializing in the treatment of renal diseases. The project involves the long-term lease agreement with Fresenius Medical Care Phil., Inc. as its private provider of state-of-the-art machines for patients.

Program goals

The goal is to provide a facility capable of providing adequate HD services to all patients that need treatment. This entails providing the needed organs which give patients with ESRD the chance for a new life, free from lifetime dialysis. Each year, about 10,000 new patients start dialysis.

Key program components

A build-operate-transfer (BOT) scheme is a type of financing for the long-term requirement of a government infrastructure project whereby the government provides a long-term concession to a private partner which arranges for the building, operation, and eventual transfer of the infrastructure in return for which the government agrees to pay an annual unitary payment to the private partner until the concession ends.

The NKTI Hemodialysis Center is a Php 54 million facility constructed as a Public-Private Partnership between a government hospital and a private investor. The project involved a long-term lease agreement with Freseneus Medical Care Philippines, Inc. as its private service provider. Through this scheme, NKTI was able to acquire the latest technology in dialysis treatment thus, expanding its services to more patients.

At the same time, the services provided in this new Hemodialysis Center are relatively more affordable since NKTI is a government hospital. In 2006, out of 92 BOT projects listed by the government, only the NKTI was listed for agreement focusing on health. Thus, there is still a large potential for this scheme to grow and help in increasing access to health services.