The purchases of expensive and sophisticated medical equipment by medical institutions in China will from now on have to win the approval of an expert panel from the Health Ministry.

Since huge investment in buying, operating and maintaining the equipment will in turn significantly drive up medical treatment costs for patients, their purchases must first undergo examination by the ministry, the Beijing News reported on Tuesday.

A list of the medical equipment that falls under this regulation, including positron emission tomography scanners and proton therapy systems, has been filed by the  Ministry of Health and the National Development and Reform Commission.

The  Ministry of Health also notes that medical facilities that plan to spend more than five million yuan (695,000 US dollars) on the first-ever purchase of a single medical device are required to submit additional materials including the cost composition, the projected charge for a diagnosis using the equipment, and a cost-benefit analysis.

Upon approval from the Ministry of Health, temporary permission to purchase the equipment will be issued. After a one- to two-year test run, the equipment will undergo a reexamination on its effectiveness and safety. If it fails to pass the second test, the purchase plan of the equipment may be scrapped at once or after a grace period of less than one year.

(CRI February 13, 2007)