Pres. Duterte signs memo allowing LGUs, DOH to pay over 15% of vaccine contract price as downpayment

Certifies as urgent pending bills that sought to establish vaccine indemnification fund

(File photo) President Rodrigo Roa Duterte talks to the people after holding a meeting with the Inter-Agency Task Force on the Emerging Infectious Diseases (IATF-EID) core members at the Arcadia Active Lifestyle Center in Matina, Davao City on February 15, 2021. ALBERTO ALCAIN/ PRESIDENTIAL PHOTO

 

(Eagle News) — President Rodrigo Duterte has signed a memorandum order that will speed up the procurement and administration of COVID-19 vaccines by allowing more than 15% downpayment for the purchase of these vaccines, and at the same time certified as urgent the bills that sought to establish a vaccine indemnity fund.

Memorandum Order No. 51 which was signed by President Duterte on Thursday, Feb. 18, “grants the National Task Force against COVID-19, the Department of Health, and local government units authority to make advance payments exceeding fifteen percent (15%) of the total contract amount for the procurement of COVID-19 vaccines.”

With the order, the government agencies concerned can now proceed with its vaccine acquisition previously hampered by limits on the percentage of advance payments.

LGUs can also make advance payments for vaccines exceeding 15 percent of the contract amount “provided they are authorized to do so by the Chief Implementer” vaccine czar Secretary Carlito Galvez Jr.

Memorandum Order No. 51 which grants the National Task Force against COVID-19, the Department of Health, and local government units authority to make advance payments exceeding fifteen percent (15%) of the total contract amount for the procurement of COVID-19 vaccines. (Courtesy PCOO/Malacanang)
Memorandum Order No. 51 which grants the National Task Force against COVID-19, the Department of Health, and local government units authority to make advance payments exceeding fifteen percent (15%) of the total contract amount for the procurement of COVID-19 vaccines. (Courtesy PCOO/Malacanang)

This will also be “subject to the criteria and limits to be established by the NTF and the DOH, consistent with applicable laws, rules and regulations,” the memorandum stated.

It said that the government agencies and LGUs concerned shall ensure that any arrangement to be entered into shall be to the best interest of the government and the public.

-P500 million set up for vaccine indemnification-

Presidential Spokesperson Harry Roque also said that Finance Secretary Carlos Dominguez III has already approved a P500 million fund for indemnification.

Itong P500 million dyan natin kukunin po lahat ng danyos na hihingin nung mga tao na diumano ay magkakaroon ng side effect dahil po sa mga bakuna,” he said.

Inaasahan po natin na kapag nalagdaan na itong indemnity agreement, eh magkakaroon po ng kumpyansa ang taong bayan kase pag sila’y nadanyos, hindi na sila maghihirap sa pag kaso-kaso … bayad agad kung mayroon talaga silang side effects,” Roque said.

He said that there is a need for a ‘no fault indemnification’ since most of the vaccines available now are yet to be issued commercial use authorization.

“Dahil nasa emergency use authorization (EUA), di pa talaga tayo sigurado kung ano ang magiging side effects ng mga bakuna. Kaya kinakailangan magkaroon ng no fault indemnification,” he said.

Secretary Galvez, the National Task Force Against COVID-19 Chief Implementer, also said that the tripartite agreement with AstraZeneca already includes the indemnification agreement. As for Pfizer, Secretary Galvez said that they are still in talks with Pfizer’s country manager to work out a bilateral agreement on indemnification clause.

On the part of the vaccine manufacturers, such agreement will give them confidence that they will not be held liable in case of adverse side effects, Roque said.

The indemnification agreement is a requirement that is being asked by some vaccine manufacturers before signing a supply agreement.

Senator Christopher “Bong” Go said he already co-sponsored Senate Bill 2057 which aims to hasten the procurement of COVID-19 vaccines by allowing local government units to procure vaccines and make advance payments. The bill also includes the indemnification fund requested by vaccine manufacturers to cover the possible expenses and claims arising from adverse effects of the vaccines.

“It is my honor to co-sponsor the COVID-19 Vaccination Program Bill to expedite the procurement of COVID-19 vaccines,” Go said during the Senate regular session on Tuesday, February 16.

At the lower House, the counterpart bill is House Bill No. 8648 which seeks to authorize local government units (LGUs) to give advance payments for Covid-19 vaccines.

(Eagle News Service)