The Punjab Specialized Healthcare and Medical Education Department has implemented a comprehensive PLA policy for the first time in history, imposing a complete ban on the misuse and unnecessary utilization of PLA funds in hospitals.
With the enforcement of the new policy, the previous fund distribution mechanism has been abolished with immediate effect. Under the revised framework, the share of doctors and administrative staff from PLA funds has been eliminated, and hospital funds will now be used solely for patient welfare, according to an official notification.
The department has also issued a clear framework for the use of commercial and personal ledger accounts in government teaching hospitals. To address shortages of medicines and medical equipment, the utilization of PLA funds has been strictly regulated.
As per the new policy, 60 percent of PLA funds will be spent on medicines and essential medical supplies, while the remaining 40 percent may be utilized for emergency needs, infrastructure development, and patient facilitation. Expenditures unrelated to patient treatment, including the purchase of vehicles and non-essential items, have been banned.
The notification further states that the purchase of furniture or IT equipment using PLA funds will only be allowed if it directly benefits patient facilitation. All hospitals have been directed to deposit their collections into designated commercial bank accounts.
The use of PLA funds will be monitored through key performance indicators to ensure transparency, while approval from the Board of Management and the competent authority has been made mandatory for fund utilization.
According to the Health Department, the new policy will enable patients to receive timely, effective, and quality treatment. The policy will be applicable to all tertiary care hospitals across Punjab.
