The Bihar government has invited stakeholder consultations for establishing, developing and operating 33 government medical college hospitals under public-private partnership (PPP) model to bring major private healthcare and medical education players into the state’s public health sector, senior health officials said on Sunday.
The state plans to develop 17 new medical college hospitals as greenfield projects and hand over operations of 16 existing or upcoming institutions under the brownfield model to private entities with experience in managing medical colleges and hospital chains. A stakeholder consultation meeting is scheduled in Patna on June 17.
“Bihar expects participation from reputed private players with proven experience in running medical colleges and hospitals. Under the brownfield model, we are prepared to offer 16 medical colleges where infrastructure has either already been created or will be ready within the next six months to one year,” health secretary Kumar Ravi told HT.
As per the expression of interest (EoI) issued by the state, the greenfield projects will involve 17 new medical college hospitals where the government will provide land on a 60-year lease. The brownfield projects will cover 16 institutions that are operational, newly constructed or under construction, to be offered for operation and management on a 30-year concession period.
The meeting seeks inputs from prospective investors and healthcare providers before the government finalises project structure and bidding framework.The consultation aims to assess investor interest, understand industry expectations, evaluate project viability, examine risk-sharing mechanisms and explore suitable PPP models, including design-build-finance-operate-transfer (DBFOT) arrangements.
Ravi said the government would present its concept note for both greenfield and brownfield projects and seek feedback from potential bidders on issues such as land requirements, regulatory approvals, mandatory certifications and the need for a single-window clearance mechanism. “Based on the consultations, we will study best practices adopted in this sector, including the Centre’s guidelines on PPP, and accordingly refine the bidding documents,” he said.
Ravi added, “Thereafter, a transaction advisor will be appointed to prepare detailed terms and conditions, including the revenue-sharing model, before competitive bidding is launched.” He said issues such as regulation of treatment charges, whether hospitals would be allowed to operate entirely on market-based rates, and the extent of subsidised treatment for economically weaker patients would be decided later.
The government believes that leveraging private-sector expertise and investment will accelerate the establishment of medical colleges, improve service quality and enhance access to advanced healthcare. This approach will also reduce the time required to create new institutions compared to conventional public funding mechanisms, officials said.
The PPP initiative forms a key component of the Bihar government’s Saat Nischay (Seven Resolves)-3 programme for 2025-30, which envisages a rapid expansion of medical education and healthcare infrastructure to address the shortage of doctors, specialists and tertiary-care facilities in the state.
