The PAC also called on the ministry to strictly monitor such work carried out by present and future concession companies, before validating it for payments to all hospitals nationwide.
“PPM must be implemented according to the frequency that has been set, to ensure the assets are functioning well,” it said in a statement today.
The statement accompanied its report on the management of the Facility Engineering Maintenance Services (FEMs) under the ministry tabled in the Dewan Rakyat today.
FEMs are one of five types of support medical services that have been privatised since Jan 1, 1997.
These services were first farmed out to three companies but on April 1, 2015, the ministry signed a new 10-year deal with five private companies: Faber Medi-Serve Sdn Bhd, Radicare (M) Sdn Bhd, Beach Medivest Sdn Bhd, Sedafiat Sdn Bhd and One Medicare Sdn Bhd.
The 2015 Auditor-General’s Report had stated that routine maintenance was not carried out in all government hospitals from 2013 until the end of 2015.
The report said government hospitals had also failed to show proof of suspended payment worth RM1.13 million for 95 assets that were unused, damaged or disposed of when the audit took place between September 2015 and May last year.
It also noted that while the overall management of the expenditure for the FEMs was good, there was weakness in the maintenance and payment by the private companies that gave less than satisfactory results.
The PAC statement said it called the ministry’s secretary-general Chaw Chin Min to explain the issue raised in the A-G’s report at a hearing on Dec 7.
Among the matters raised during the hearing were that PPM was not implemented, payments were not stopped for assets which were not used, damaged or disposed of, and also that assets were not at their proper location.
“Based on the hearing, the PAC agreed with the improvements carried out by the ministry to strengthen the management of FEMs in government hospitals.
“At the same time, the PAC also wants the ministry to continue to strictly monitor the usage of mobile assets at the hospital,” it added.