Private hospitals get 12,000 sq ft of land to set up common O2 plant at Butibori MIDC

Nagpur: The state government has handed over a plot of about 12,000 square feet to Vidarbha Hospitals Association Pranvayu Cluster, a cluster of about 30 private hospitals at Butibori MIDC, for setting up a common cryogenic oxygen plant.

A joint venture with the Ministry of Small Medium Enterprises (MSME), the project will come up to a cost of about Rs 25 crore. Around 80% of the project cost will also be sponsored by the Ministry of Small Medium Entreprises while Pranavyu Cluster will contribute up to 20% as a private company.

The cluster is also expected to generate a plant capacity of around 20 MT in cryogenic form. The plant is also expected to deliver around 2,000 jumbo cylinders daily. Given that each VHA member would also need up to 20 on a daily basis. Due to the peak of coronavirus in each hospital, the demand had increased to more than 200 per day. It is expected that the plant will not compete with the existing companies at all. But it will also take away many pressures from limited manufacturers.

As the state government made it absolutely mandatory for every 50-bed hospital to have its own oxygen plant after the crisis threatening the second coronavirus wave. These hospitals also formed Pranvayu Cluster to establish a very common source of medical oxygen.

Dedicated Oxygen Plant

The plant is expected to start operations by July 2022. The cluster will also operate and maintain it on a non-profit basis. All the members of this cluster will also get jumbo cylinders at subsidized rates while surplus will be sold to the rest of the hospitals at the lowest prices.

Along with this, in a press release, Vidarbha Hospitals Association (VHA) has said that it was very much inspired by the then Union Minister of Ministry of Small Medium Entreprises Nitin Gadkari for a dedicated oxygen plant for each Vidarbha Hospitals Association members. It is also stated that now this idea has been taken forward and the officers of Vidarbha Hospitals Association met IEDS, Director Ministry of Small Medium Entreprises-Maharashtra, PM Parlewar, Who has fully assured them of all support for processing the formalities of preparation of project report by CA Anand Daga.

The President of Vidarbha Hospitals Association whose name is Dr. Ashok Arbat. He has insisted that it is not at all possible for all about 50-100 bedded hospitals to have their own plants.

Vidarbha Hospitals Association Secretary whose name is Dr. Alok Umre. He has said that the state government has also given assurance of subsidized power to this Vidarbha Hospitals Association cluster and not to give GST for about 5 years.

Dr. Anup Marar, the convener of the Vidarbha Hospitals Association, has said that the land was purchased at a cost of about 50%.

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