Chennai: Nearly two decades after Tamil Nadu launched its 108-ambulance service, the health department is examining its finances and functioning before deciding on the next operator. IIT-Madras and the National Institute of Epidemiology (NIE) are conducting a third-party audit ahead of the service’s renewal in Feb 2027.
The service was launched in Tamil Nadu in Sept 2008 under a five-year MoU with Emergency Management Research Institute (EMRI), with the govt funding the programme. After the MoU expired in May 2013, the govt granted GVK EMRI a further five-year extension. The process is expected to be completed in Feb 2027,” the official said.
“The audit comes at a crucial juncture as the govt is reviewing the recurring expenditure on the service, particularly the annual 10% increment and festival bonus paid towards the operator’s costs,” said Dr S Uma, additional secretary, health department. “Two rounds of discussions have already been held, with the finance secretary involved in determining the rates that will form the basis of the next agreement,” she said. It is too early to say whether the service would continue with a single operator or whether multiple agencies will be allowed to compete, she said.
The expenditure mainly covers maintenance, fuel and repairs, while medicines are procured through the Tamil Nadu Medical Services Corporation. “This time, we are going a bit deeper.
The audit findings by IIT and NIE will be considered by a committee, and the recommendations will then be placed before the finance secretary, before finalising the next arrangement.

