Covid-19 vax: Low allocation in FY23, Centre has unutilised funds from FY22

Depending on utilisation of budgetary estimates, allocation can be hiked, say officials

With Covid-19 vaccinations for children and third doses for the elderly and frontline workers lined up during the year, the Centre has about Rs 25,000 crore at its disposal for this purpose.

This despite allocating just Rs 5,000 crore for FY23, or around one-seventh of the budgetary estimates (BE) of FY22, and one-eighth of the revised estimates (RE). Senior government officials, however, indicated that based on utilisation of the budgetary estimates, the allocation for Covid-19 vaccination can be increased at the revised estimate stage for FY23. “Depending on utilisation of budgetary estimates, the allocation for vaccination can be increased at the revised estimate stage. At a budgetary estimate stage, we have funds available with us now,” said a senior official.

Some of the funds could be utilised soon to place orders for vaccines before March. Industry sources indicated that they were expecting orders from the Centre in the next two months.“

Having spent Rs 19,675.46 crore for procurement of Covid-19 vaccines and distributing these for free to states till December 9, 2021, the Centre has more than Rs 15,000 crore left from the BE of 2021-22. About Rs 35,000 crore was allocated for Covid-19 vaccination in BE FY22, which was revised upwards to Rs 39,000 crore in revised estimates. If one goes by the RE, then the Ministry of Health and Family Welfare (MoHFW) still has around Rs 20,000 crore in its kitty.

So far, 1.65 billion vaccine doses have been provided to states and Union Territories, of which 115 million doses are still available with the states. The Centre had paid Rs 1,500 crore as advance to Biological E for 300 million doses of its Corbevax vaccine. Supplies of the Zydus Cadila DNA plasmid vaccines also began on Wednesday.

Over 46 million doses have been administered to adolescents since January 3, covering 63 per cent of the eligible population in this category. The health ministry has already urged states to complete vaccination in this category fast.

The health secretary wrote a letter to states on Wednesday, asking them to ensure that the adolescents got their second doses in a time-bound manner after an interval of 28 days. Around 4.2 million children who got their first dose on January 3 have become eligible for their second dose from January 31.

Meanwhile, experts flagged that reducing the allocation for Covid-19 vaccination in FY23 Budget can be a signal that the government is slowly pulling out of the free Covid-19 vaccination programme. “It has already vaccinated 75 per cent of the adults with two doses and 95 per cent of the population with at least one dose. The core job of vaccinating the eligible population is almost done,” said Dileep Mavlankar, director, Indian Institute of Public Health. He feels that this is a signal that vaccinating children and taking top-up shots could be up to the citizens.

The government is vaccinating the elderly and the vulnerable population (frontline and healthcare workers) with a third shot. 

It has begun vaccinating adolescents and experts feel the Centre can slowly expand the teen vaccination programme to include the 12-15 years age group.