The Ministry of Health and the Council of Governors have explained the decision to transition from the Medical Equipment Service (MES) program to a Fixed Fee-for-Service (FFS) model following the expiration of the MES.
In a joint statement, Health Cabinet Secretary Deborah Barasa and COG Chair Ahmed Abdullahi emphasized that the new approach transfers the financial responsibility for medical equipment from government and county facilities to contracted vendors.
“The FFS model allows vendors to supply, maintain, and upgrade state-of-the-art equipment at no upfront cost to county health facilities, enabling counties to focus resources on patient care. This model is different from the leasing option,” they explained.
To implement the FFS model, the leaders stated that a transparent tendering process was conducted in accordance with the Public Procurement and Asset Disposal Act.
“In June 2024, public advertisements were published in the MyGOV bulletin, on the Ministry of Health’s website, and on the Public Procurement Information Portal. Tender submissions were received and opened in line with the Public Procurement and Asset Disposal Act, in the presence of representatives from the Ministry, county governments, and bidders,” they noted.
They further explained that an evaluation process, carried out collaboratively by representatives from the Ministry of Health and county governments, adhered to strict guidelines, including alignment with Social Health Authority benefit tariffs. As a result of the evaluation, contracts were awarded to seven qualified bidders in October 2024.
An administrative framework has also been jointly established with the Ministry of Health and county governments to guide the implementation of the FFS model.
“County governments have signed, on a voluntary basis, Intergovernmental Participatory Agreements to facilitate the program. Under this arrangement, suppliers invest in and place medical equipment in county health facilities at front cost but will be paid fees for services rendered,” Barasa and Abdullahi explained.
“The Social Health Authority reimburses facilities for the gazetted tariff amounts. This model fosters transparency, efficiency, and sustainability while enhancing healthcare delivery nationwide,” they added.
They reaffirmed that the Ministry and county governments remain committed to improving access to quality healthcare for all Kenyans through collaborative, accountable, and patient-centered initiatives.
