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Synergy: Medical oxygen

Medical oxygen is essential for both routine and critical care, yet supplies across East Africa remain limited.

Since 2025, we have partnered with Kenyan supplier Synergy, providing a volume guarantee to increase access to locally produced oxygen as part of the East Africa Programme on Oxygen Access (EAPOA).

© olovedog / iStock

The challenge

Public health 

Low blood oxygen, or hypoxemia, is a serious problem caused by issues with blood flow or breathing. It can occur with anaemia, heart disease, tuberculosis, asthma, COPD, and pneumonia, and is a major risk during surgery, labour and delivery. 

In low- and middle-income countries (LMICs), one in six children under five and one in five newborns admitted to hospitals suffer from hypoxemia. Also, 15% of pregnant women may face life-threatening complications needing emergency oxygen. Hypoxemia can increase the risk of death by up to seven times, causing over one million preventable deaths yearly in these countries. 

The only treatment for hypoxemia is medical oxygen. It is deemed essential but is underfunded. Up to 56% of healthcare facilities in LMICs struggle with limited or no oxygen supply. Access to oxygen in East Africa is even lower; reports indicate that in Kenya and Tanzania, fewer than 40% of public healthcare facilities have oxygen consistently available. 

Market situation

In LMICs, hospitals and clinics often buy oxygen in small amounts, which means they pay more because they can’t get bulk discounts. They usually buy oxygen in cylinders and have to transport it over long distances, which adds to the cost. This process is expensive and inefficient, making it hard for health facilities to afford enough oxygen. As a result, demand remains limited discouraging investment in better oxygen production and distribution systems.

The COVID-19 pandemic highlighted the need for better oxygen systems. While many initiatives have focused on raising funds and improving oxygen storage and distribution, there has been less emphasis on increasing a sustainable oxygen supply. This broader focus is essential to ensure that oxygen systems are strong and reliable, not just during pandemics but at all times. 

Projected impact

By 2029:

Note: These are projections for the combined impact generated by volume guarantees for Hewatele and Synergy. 

840,000

Patients receiving oxygen supplied under our volume guarantees

126,000

Critically-ill patients receiving oxygen

$6m

Savings for procurers, including hospitals and regional health authorities

The product

Medical oxygen can be manufactured either in liquid or gaseous form. Because it takes up far less space than gas, liquid oxygen is easier to store, transport, and deliver at scale – making it more cost-effective.

On delivery to the health facility, liquid oxygen is stored in on-site tanks, piped through centralised piping and vaporised at the patient’s bedside.

Synergy will manufacture liquid oxygen at its new state-of-the-art facility near Kilifi County, Kenya, which is currently under construction, as part of the EAPOA’s efforts to boost regional production of medical-grade liquid oxygen.

The partnership

MedAccess provided a volume guarantee to Synergy Gases Ltd.

Synergy has agreed to provide medical oxygen at a ceiling price of KSH 165 (US$ 1.27) / liquid litre ex-works from its production facility in Kilifi County. This is an estimated reduction of more than 25% vs. current market prices.

The EAPOA partners are providing a range of targeted support. Funded by Unitaid, with contributions from Canada and Japan, the programme uses a blended financing model that combines catalytic grant funding with market-shaping tools such as volume guarantees, provided by MedAccess where appropriate. The implementation of the project is led by CHAI in collaboration with PATH and the governments of Kenya and Tanzania.

Impact projections

MedAccess’ first agreement with a local manufacturer focused on a regional market will increase access to a lifesaving health product whilst strengthening a fragmented, volatile market.

Lives changed

We project that hospitals and health facilities will be able to provide access to oxygen for an additional 261,000 over the four-year lifespan of this agreement. Of these people, we project that 39,000 will be critically ill and in urgent need of oxygen.

Money saved

We project that procurers – including local health authorities and individual hospitals – will benefit from cost savings of more than $3 million.

Markets shaped

We project that this guarantee will improve supply security for oxygen in Kenya and across East Africa by strengthening local manufacturing, increasing competition in the market and improving transparency in procurement of oxygen.

How we calculate the impact of this agreement

Lives changed

Patient outcomes are estimated based on the proportion of patients in hospitals receiving oxygen expected to be in critical care.

Money saved

Direct savings are estimated based on current available market prices for liquid oxygen in Kenya and Tanzania.

Markets shaped

We work with partners, including donors, procurers and Ministries of Health, to track changes in health markets where our investments are supporting access to products. We monitor for changes to policy, procurement practices and supplier movement, all of which affect markets and contribute to the long-term sustainability of impact.

Hewatele: Medical oxygen

Medical oxygen is essential for both routine and critical care, yet supplies across East Africa remain limited.

Since 2025, we have partnered with Kenyan supplier Hewatele, providing a volume guarantee to increase access to locally produced oxygen as part of the East Africa Programme on Oxygen Access (EAPOA).

The challenge

Public health

Low blood oxygen, or hypoxemia, is a serious problem caused by issues with blood flow or breathing. It can occur with anaemia, heart disease, tuberculosis, asthma, COPD, and pneumonia, and is a major risk during surgery, labour and delivery.

In low- and middle-income countries (LMICs), one in six children under five and one in five newborns admitted to hospitals suffer from hypoxemia. Also, 15% of pregnant women may face life-threatening complications needing emergency oxygen. Hypoxemia can increase the risk of death by up to seven times, causing over one million preventable deaths yearly in these countries.

The only treatment for hypoxemia is medical oxygen. It is deemed essential but is underfunded. Up to 56% of healthcare facilities in LMICs struggle with limited or no oxygen supply. Access to oxygen in East Africa is even lower; reports indicate that in Kenya and Tanzania, fewer than 40% of public healthcare facilities have oxygen consistently available.

Market situation

In LMICs, hospitals and clinics often buy oxygen in small amounts, which means they pay more because they can’t get bulk discounts. They usually buy oxygen in cylinders and have to transport it over long distances, which adds to the cost. This process is expensive and inefficient, making it hard for health facilities to afford enough oxygen. As a result, demand remains limited discouraging investment in better oxygen production and distribution systems.

The COVID-19 pandemic highlighted the need for better oxygen systems. While many initiatives have focused on raising funds and improving oxygen storage and distribution, there has been less emphasis on increasing a sustainable oxygen supply. This broader focus is essential to ensure that oxygen systems are strong and reliable, not just during pandemics but at all times.

Projected impact

By 2029:

Note: These are projections for the combined impact generated by volume guarantees for Hewatele and Synergy. 

840,000

patients receiving oxygen supplied under our volume guarantees

126,000

critically-ill patients receiving oxygen

$6m

savings for procurers, including hospitals and regional health authorities

The product

Medical oxygen can be manufactured either in liquid or gaseous form. Because it takes up far less space than gas, liquid oxygen is easier to store, transport, and deliver at scale – making it more cost-effective.

On delivery to the health facility, liquid oxygen is stored in on-site tanks, piped through centralised piping and vaporised at the patient’s bedside.

Hewatele will manufacture liquid oxygen at its new state-of-the-art facility near Nairobi, Kenya, which is currently under construction, as part of the EAPOA’s efforts to boost regional production of medical-grade liquid oxygen.

The partnership

MedAccess provided a volume guarantee to Hewatele Limited.

Hewatele has agreed to provide medical oxygen at a ceiling price of KSH 165 (US$ 1.27)/kg ex-works from its production facility near Nairobi. This is an estimated ~20% reduction vs. current market prices.

This agreement complements a volume guarantee provided to Synergy, a Kenyan oxygen manufacturer, in July 2025. It is part of the EAPOA programme, which aims to increase access to oxygen in East Africa. The EAPOA partners are providing a range of targeted support. Funded by Unitaid, with contributions from Canada and Japan, the programme uses a blended financing model that combines catalytic grant funding with market-shaping tools such as volume guarantees, provided by MedAccess where appropriate. The implementation of the project is led by CHAI in collaboration with PATH and the governments of Kenya and Tanzania.

Impact projections

Our agreements with local manufacturers focused on regional markets will increase access to a lifesaving health product whilst strengthening a fragmented, volatile market.

Lives changed

We project that hospitals and health facilities will be able to provide access to oxygen for a total 840,000 patients as part of the EAPOA. Of these patients, we project that 126,000 will be critically ill and in urgent need of oxygen.

Money saved

We project that procurers – including local health authorities and individual hospitals – will benefit from cost savings of more than $6 million.

Markets shaped

We project that this guarantee will improve supply security for oxygen in Kenya and across East Africa by strengthening local manufacturing, increasing competition in the market and improving transparency in procurement of oxygen.

How we calculate the impact of this agreement

Lives changed: Patient outcomes are estimated based on the proportion of patients in hospitals receiving oxygen expected to be in critical care.

Money saved: Direct savings are estimated based on current available market prices for liquid oxygen in Kenya and Tanzania.

Markets shaped: We work with partners, including donors, procurers and Ministries of Health, to track changes in health markets where our investments are supporting access to products. We monitor for changes to policy, procurement practices and supplier movement, all of which affect markets and contribute to the long-term sustainability of impact.

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