A system to improve Value for Money in LLIN procurement through market competition based on cost per year of effective coverage
Concept Note (October 2011)
The world spends more than $500m on long-lasting insecticidal nets (LLINs) every year; it is the largest single item in the global malaria control budget. A number of agencies have recently expressed interest in exploring how value-for-money in this market could be improved. There are indications that LLINs can be made substantially more durable for a small increase in unit price, and manufacturers have already made efforts to compete on this basis. Rapid technological evolution may be possible, if there are appropriate market incentives.
The WHO Global Malaria Programme has therefore developed a system for reducing the cost-per-year of LLIN coverage. It focuses on the cost per year, rather than unit price, because the scope for savings is much greater, for technical and economic reasons, if variation in LLIN durability is taken into account. One element of this system - standard methods for monitoring LLIN durability - has already been developed (see link below). This document describes the proposed system as a whole, and how data on durability from local studies could be used to inform procurement.