In an order, the regulator said super-speciality healthcare functions as an integrated care delivery system rather than isolated “aftermarkets” once patients are admitted, according to the Association of Healthcare Providers of India (AHPI).
The CCI observed that hospitals provide patients with pre-admission cost estimates covering procedures, medicines, diagnostics and room charges, enabling them to compare providers and seek second opinions before admission. The Commission also noted that patients retain freedom of choice and are not subject to structural or operational lock-ins.
The order further recognised that hospital pricing reflects investments in clinical infrastructure, specialised manpower, emergency preparedness, diagnostics, inventory management and continuity of care.
The Commission also noted compliance with applicable pricing mechanisms, including printed maximum retail prices (MRPs) and National Pharmaceutical Pricing Authority (NPPA) ceilings where applicable. It said procurement efficiencies do not create a legal obligation for hospitals to pass wholesale discounts directly to patients.
Based on its findings, the CCI concluded that there was no contravention of Section 4 of the Competition Act.
AHPI, which represents healthcare providers and hospitals, said the order provides clarity on the regulatory framework governing integrated healthcare delivery systems.
