News
| Sep 2, 2021

‘Not our fault’: Health Ministry rejects ‘stunning’ claims by IGL on recent oxygen crisis

Gavin Riley

Gavin Riley / Our Today

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Dr Christopher Tufton addressing Thursday’s (July 22) COVID Conversations press briefing. (Photo: Adrian Walker, Jamaica Information Service)

The Ministry of Health and Wellness has rejected claims made by IGL Limited that the Jamaican Government failed to respond to ‘repeated requests’ to ascertain the state of the country’s medical oxygen reserves before a third wave of the coronavirus (COVID-19) pandemic ravaged the island. 

The ministry, in a strong statement on Thursday (September 2), said contrary to the IGL narrative, those discussions on the likely demand expectations did take place. 

According to the ministry, public health facilities are yet to exceed their projected oxygen capacity levels as forecasted by the agency in May 2021 and discussed with IGL at length. 

The health ministry said it “engages directly” with IGL on the country’s needs through its regional health authorities, adding that at no time did the company disclose to its technocrats and the wider Jamaican Government it had difficulty meeting the present demand which was estimated to reach 1,000 beds. 

Health Minister Dr Christopher Tufton had called a virtual press conference at 10:00 am today, in response to stunning oxygen claims by IGL, however, the event has been cancelled, Our Today was informed.

See the ministry’s statement in full:

“The Ministry of Health & Wellness takes note of the recent publications made by the sole supplier of medical oxygen to the country, IGL Limited, and wishes to provide some context to clarity as we seek to navigate these very challenging times for the health system and the country. 

On May 30, 2021, the Ministry of Health and Wellness, on reviewing the situation at the time, including the reproductive number, projected that a third wave could result in over 10,000 cases confirmed in the peak [week], over 180 deaths in the week following the peak and that over 1,000 beds would be required in hospitals for COVID-19 management. 

At the time of these estimations, the ministry consulted with the sole supplier of oxygen to health facilities, IGL, and it was discussed that at the last peak in March, just over 300,000 cubic metres of oxygen was utilised in the public health system for the one-month period. In that conversation, the company indicated that based on its contingency plans that [it] had now put in place [it had] the ability to supply just over 400,000 cubic metres for a similar period if the country went into a third surge. 

The estimation based on IGL’s supply was that the country would be able to provide oxygen up to a possible 30 per cent more than last peak. Thirty per cent above peak demand would be approximately 1,000 beds occupied for COVID-19. This level was also consistent with the ministry’s internal capacity for staffing to support beds assigned to persons affected by SARS-CoV-2. 

Hospitalisations and coronavirus-related deaths continue to climb in Jamaica as the Delta variant fuels a white-hot outbreak. (Photo: DreamsTime.com)

At and above the 1,000 beds occupied level, the ministry’s contingency plan required that hospitals be placed on emergency mode which included the reduction in the use of public hospitals islandwide through the restriction in conducting emergency care services and the suspension of elective surgeries. The plan also required that health facilities would begin discharging patients who can receive homecare. At this level as well, more wards would be converted to care [for] COVID-19 patients. These actions are to mitigate the overwhelming of the health system as well as to manage the use of oxygen to below the capacity levels indicated by IGL. 

On Wednesday, August 25, 2021, IGL informed the Government that based on its plan and due to increased demand IGL has been importing liquid oxygen to supplement its capacity in-country. The company also advised that one of its major suppliers of oxygen out of the United States has declared “Force Majeure” at short notice and would not be able to provide its projected shipment of oxygen. This was due, in the main, to the increased demand in its source market and this reduced IGL’s capacity to supply the agreed volume of oxygen. 

IGL, therefore, informed the ministry that “Over the next 3 to 4 days we will especially be challenged. We have several tanks expected to arrive on island Sunday, August 29, 2021” and that is making arrangements with the authorities to clear them immediately as the ship docks. The company further informed the ministry that would commence distribution early Monday morning and would normalise supplies by the night of Monday, August 30, 2021. 

It is to be noted that the ministry’s estimation of use has not presently surpassed the capacity for oxygen as projected and based on the company’s own assessment of its capacity to meet the demands of a third wave. The issue that affected supply, therefore, was based on the break in the supply chain due to the declaration of Force Majeure and need for IGL to find, in relative short period, a secondary supplier. 

At the time of this advice, the Government made several outreach[es] through diplomatic, military and other channels to mitigate risks that would arise, however, due to the technical nature of the transportation of oxygen, none of these mechanisms would improve the timeline for the arrival of oxygen in the health facilities. 

IGL Limited is Jamaica’s sole distributor of medical-grade oxygen. (Photo: Facebook @IGLBlue)

It is to be also noted in the many conversations with the company, at no time was the Ministry of Health & Wellness and the Government informed that IGL could not provide its present demand, at approximately 1,000 beds which was in keeping with our estimation from May 2021. Additionally, at no time was there to be a “stock out” of supply as the company gave assurances that its logistical management mechanisms would enable health facilities to meet the needs of patients on beds while it regularised services to its supply chain issues. Since this week, based on revised projections, the ministry has indicated to IGL that there will be a need to further increase supplies, IGL responded that it would be negotiating with its suppliers to facilitate increased supplies as much as possible based on the ministry’s estimation. 

It is to be further noted that the Ministry of Health and Wellness, through its Regional Health Authorities, engages directly with IGL on the supply of oxygen needs to the country. This is based on a framework agreement with established rates per cubic metre of oxygen provided. These agreements are based on existing contracts that support the current rates being paid to the firm. The ministry, through the Regional Health Authorities, is now in the process of renegotiating current terms and conditions, however, all existing contractual terms are still in place and is honoured by the ministry on the submission of invoices to the ministry on a monthly basis. These active arrangements are currently the only mechanisms through which the firm is currently providing oxygen.”

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