The Economics and Financing of Harm Reduction

David Wilson and Nicole Fraser, Global HIV/AIDS Program, World Bank

David Wilson, University of New South Wales, Australia

Tuesday 10 June 2013

IHRA 2013

Overview

 Why worry?

 What works and what does it cost?

 What’s the coverage?

 How much is spent on harm reduction?

 How much is needed to scale-up harm reduction?

 What’s the cost-effectiveness/return on investment?

Why worry?

Prevalence of Injecting Drug Use

Mathers et al, Lancet (2008)

Prevalence of HIV among PWID

Mathers et al, Lancet (2008)

80%

HIV prevalence among PWID in

Eastern and Central Asia

72%

60%

40%

20%

0%

0% 0,40% 0,60% 1,40% 1,50% 1,60%

2,14%

5,00%

8% 8,15% 9,20%

13% 13,40%

15% 15,60%

17%

37,20%

42%

Source: Bradley Mathers, Lancet 2008

HIV infections in PWID as share of infections in Eastern Europe and Central Asia

80%

70%

60%

50%

40%

30%

20%

10%

0%

28%

33%

36% 36%

38%

49%

54%

57%

62%

66%

67%

69%

77%

Source: Own calculation based on data from EuroHIV (2007)

HIV prevalence among sex workers in

Central Asia

Surging HIV epidemic among PWID in

Greece

HIV, HCV and TB

• PWID have higher HCV and TB rates

• 10 million PWID may have HCV - surpassing

HIV infection

• HIV+ PWID 2 to 6-fold higher risk of TB infection

• TB risk 23-fold higher in prisons

Global State of Harm Reduction, 2012

What harm reduction interventions work and what do they cost?

 Three proven priority interventions

 NSP

 OST

 ART

 WHO, UNODC and UNAIDS - three priority interventions plus HCT, condoms, IEC, STI,

HCV and TB prevention/treatment

What we know about NSP

Needles and

Syringes

Programs

Safe injection centers

No. of injecting episodes

No effect

No effect

Injecting risk behavior

Sexual risk

HIV incidence

Cost-effective

Tilson H. et al.

Institute of

Medicine 2007

Palmateer N. et al. Addiction

2010

Kerr T. et al.2007

Hedrich D. et al. 2010

Yes

Palmateer

N. et al.

Addiction

2010

Tilson H. et al.

Institute of

Medicine 2007

Jones L. et al.

2010

Yes

Andersen MA et al. 2010

Bayoumi AM,

Zarig GS 2008

Source: L. Degenhardt Lancet July 2010

What we know about NSP

 HIV prevalence in 99 cities worldwide (MacDonald et al, 2003)

19% per year in cities with NSP

8% in cities without NSP

 International evidence shows NSP effective (Wodak,

2008)

What we know about OST (versus compulsory detention)

No. of injecting episodes

Injecting risk behavior

Sexual risk

HIV incidence

Cost effective

OST

Tilson H. et al.

(2007)

Growing L. et al.

(2008)

Faggiano F. et al.

(2009)

Mattick RP et al.

(2009)

Tilson H. et al.

2007

Growing L. et al. (2008)

Yes

No effect

Tilson H. et al. (2007)

Sullivan LE.

Et al. (2005)

Tilson H. et al.

(2007)

No

Constella (2008)

Detention

WHO 2010

Pearshouse R. et al. 2010

Open Society

Institute (2010)

WHO 2010

Pearshouse R. et al. (2010)

OSI(2010)

Source: L. Degenhardt Lancet July 2010

What we know about OST (versus compulsory detention)

 Compulsory detention common especially in Asia and Eastern Europe

 Detention costly

Minimum cost $1,000 annually in Asia –

mainly security

 Average OST cost $585 annually

 Two evaluations in progress in Malaysia and Vietnam

Effectiveness of community OST versus compulsory detention

 Preliminary data from Malaysia

 95% relapse after compulsory detention

 7% relapse in community OST

What we know about OST

 All RCTs of OST positive (Mattick et al, 2003)

 Large observational studies show OST decreases heroin use and criminal activity (Mattcick, 1998)

 OST reduces injecting and increases safe injections (Cochrane Syst.

Review; Gowing, 2008; Mattick, 2009)

 Amsterdam cohort study (Van den Berg, 2007) showed OST and

NSP reduced HIV incidence by 66%

 Recent meta-analysis (Mcarthur BMJ2012) shows OST reduces HIV incidence by 50%

What we know about ART in PWID

What we know about combined NSP+OST+ART

Modelling evidence: NSP+OST+ART combination: 5-year impact on HIV incidence

Source: Degenhardt et al, 2010

What are the cost ranges?

NSP

NSP costs $23–71 /yr

1

, but higher if all costs included

NSP costs vary by region and delivery system (pharmacies, specialist programme sites, vending machines, vehicles or outreach)

NSP unit cost estimates, regional averages

2

180

160

140

120

100

80

60

40

20

0

70

21

62

158

62

15

South, Eas t &

SE As ia

Latin Am erica

& Caribbean

Middle Eas t &

North Africa

W Europe, N

Am erica &

Aus

E Europe &

Central As ia

Sub-Saharan

Africa

1

UNAIDS 2007 resource estimations; Schwartlaender et al 2011.

2

UNSW estimates, based on 10 studies identified in the 6 regions

What are the cost ranges?

OST

OST cost : Methadone 80 mg: $363 - 1,057 / yr; Buprenorphine, low dose: $1,236 – 3,167 /yr

1

Few OST cost studies but consistently far higher than NSP

OST unit cost estimates, regional averages

2

2,500

2,000

1,500

1,000

500

0

565

975

1,008

2,238

1,008

972

South, East &

SE Asia

Latin America

& Caribbean

Middle East &

North Africa

W Europe, N

America &

Aus

E Europe &

Central Asia

Sub-Saharan

Africa

1

UNAIDS 2007 resource estimations; Schwartlaender et al 2011.

2

UNSW estimates, based on 10 studies identified in the 6 regions

What are the cost ranges?

ART

ART cost: UNAIDS estimate $176

1

 Estimated costs by authors $1,000-2,000 per HIV+

PWID

ART unit cost estimates, regional averages

2

1,800

1,600

1,400

1,200

1,000

800

600

400

200

0

885

1,305

1,127

1,600

1,305

1,189

South, Eas t &

SE As ia

Latin Am erica

& Caribbean

Middle Eas t &

North Africa

W Europe, N

Am erica &

Aus

E Europe &

Central As ia

Sub-Saharan

Africa

1

UNAIDS 2007 resource estimations; Schwartlaender et al 2011.

2

UNSW estimates, based on 10 studies identified in the 6 regions

What is the current coverage of NSP, OST and ART in PWID?

Harm reduction data challenges

 Limited population size estimates

 Inconsistent service quality data

 Surveys miss hidden populations

 ATS increasingly used and injected but missed in surveys

 Significant but undocumented scale-down of services

Sources: UNGASS country progress reports 2012; Mathers et al., 2010; Global State of Harm Reduction, 2012

NSP coverage

 86 countries and territories implement NSPs

 3 new NSPs since 2010 – South Africa,

Tanzania, Laos-PDR

High coverage limited to Western Europe,

Australia and Bangladesh (>200 NS/PWID/year)

The Global State of Harm Reduction, 2012

NSP available as per policy

(Black: community and prison, red: community only)

Global State of Harm Reduction, 2012

Gaps in NSP coverage

 NSP coverage < 20% in all regions - globally, <2 clean needles distributed /PWID /month

 Since 2010, NSP provision scaled back in several countries in Asia (Pakistan, Nepal and Cambodia) and Eurasia (Belarus, Hungary, Kazakhstan,

Lithuania and Russia)

 72 countries with PWID without NSPs

(1) Global State of Harm Reduction, 2012; (2) based on Mathers et al., 2010

Over 14 million PWID (90%) may not access NSP

-

Estimated NSP coverage of PWID in regions

3

2

1

5

4

4.005

2.911

3.287

2.160

1.777

0.119

S, E & SE

Asia

LA &

Caribbean

M-East & N-

Africa

W-Europe, N-

America &

Australasia

E-Europe &

C-Asia

PWID accessing NSP

SSA

NSP coverage gap (PWID in millions)

Source: Authors’ literature and estimations, based on Mathers et al., 2010

OST coverage

 OST in 77 countries worldwide

 7 new countries since 2010 (Cambodia,

Bangladesh, Tajikistan, Kenya, Tanzania, Macau,

Kosovo)

 Primarily methadone and buprenorphine but also other formulations - slow-release morphine, codeine, heroin-assisted treatment

Global State of Harm Reduction, 2012

OST available as per policy

(Black: community and prison, red: community only)

Global State of Harm Reduction, 2012

Gaps in OST coverage

 6–12% of PWID access OST

 Coverage limited in much of CIS and Asia

 OST unavailable in 81 countries with PWID

 ATS use increasing – and limited ATS harm response

Global State of Harm Reduction, 2012

Almost 15 million PWID (92%) may not use OST

-

Estimated OST coverage of PWID in regions

5

4

3

2

1

4.260

2.531

3.689

2.202

1.777

0.120

S, E & SE

Asia

LA &

Caribbean

PWID accessing OST

M-East & N-

Africa

W-Europe, N-

America &

Australasia

E-Europe &

C-Asia

OST coverage gap (PWID in millions)

SSA

Source: Authors’ literature and estimates, using Mathers et al., 2010

ART coverage in HIV+ PWID

 Large regional discrepancies

 Uptake highest in Western Europe (89%) and

Australasia (50%)

 Elsewhere ART coverage < 5%

 Largest gaps in Eastern Europe & Central Asia

(1 million) and South, East & South-East Asia

(700,000)

Source: Authors literature review and estimates, using Mathers et al. 2010

About 2.5 million HIV+ PWID (85%) may not access ART

1,000,000

900,000

800,000

700,000

600,000

500,000

400,000

300,000

200,000

100,000

-

Estimated ART coverage in HIV+ PWID in regions

708,856

598,455

3,500

79,188

958,666

S, E & SE

Asia

LA &

Caribbean

M-East & N-

Africa

W-Europe, N-

America &

Australasia

E-Europe &

C-Asia

HIV+ PWID accessing ART ART coverage gap (HIV+ PWID)

219,895

SSA

Source: Authors’ literature and estimates, using Mathers et al. 2010

What is the global coverage of harm reduction services?

An estimated 8% access OST

An estimated 10% access NSP

Few PWID access all three priority interventions

About 14% of HIV+

PWID access ART

Female PWID far lower access than males

Source: Authors’ literature review and estimates, using Mathers et al. 2010

How much is spent on harm reduction?

 Estimated $160 million in LMIC in 2007 (3 cents per PWID per day) : 90% from international donors

Global Fund largest HR funder (estimated

$430 million 2002-2009 ) > 50% to Eastern

Europe and Central Asia

Sources: Stimson et al 2010 (three cents report), UNAIDS 2009; UNAIDS Progress report 2012; Global

State of Harm Reduction, 2012; Bridge et al 2012

Global Fund PWID investments by region (US$)

30% Ukraine

10% Russ Fed

8% Kazakhstan

366 100 000

17% Thailand

15% Viet Nam

14% China

166 700 000

10 200 000

24 000 000

7 800 000

900 000

Asia

Latin America

Middle East & North

Africa

Sub-Saharan Africa

Western Europe

Eastern Europe & Central

Asia

Sources: Bridge 2012, summarised in Global State of Harm Reduction, 2012

How much is needed to scale up priority harm reduction interventions?

Very preliminary resource estimates based on regional estimates of current NSP /OST /ART coverage, population sizes and unit costs

 Mid and high target scenarios costed

NSP coverage

(%)

Needles /

PWID /year

OST uptake

(%)

ART uptake of

HIV+ PWID

(%)

Current estimated level

Scenarios:

Mid target

High target

10

20

60

22

100

200

8

20

40

14

25

75

How much needed to scale up priority harm reduction interventions – preliminary estimates

ECA SSE LAC MNA SSA WEST

NSP

Coverage 11.7%

20%

80%

OST

Coverage

20%

40%

ART

Coverage

25%

75%

11.5% 2% 2% <1% 17%

19.1M

26.84M

8.33M

1.35M

5.3M

16.63M

11.45M

153.60M

26.84M

4.35M

15.98M

238.30M

<1%

715M

1.47B

1.1%

1.16B

3.59B

5.9%

360M 427.63M

23.17M 344.01M

----

872M 857.41M

47.57M 689.75M 954.74M

3.6%

856M

2.88B

<1%

1%

690.29M

2.13B

1%

<1%

<1%

34.09M 518.09M

102.28M

<1%

1.58B

27.8%

78.5%

----

----

Summary: Estimated annual cost of scaleup of NSP, OST and ART for PWIDs

South, East & South East Asia

Latin America & Caribbean

Middle East & North Africa

W- Europe, N- America & Australasia

Eastern Europe & Central Asia

Sub-Saharan Africa

Total per year

Mid target

20% NSP coverage

20% OST coverage

25% ART coverage

527M

625M

26M

17M

1.04B

414M

2,65B

High target

60% NSP coverage

40% OST coverage

75% ART coverage

1,49B

1,47B

55M

1,19B

2,51B

901M

7,62B

1: Mathers et al, Lancet (2010) 2: Scale-up calculations by UNSW

Annual scale-up costs by region and intervention

E-Europe &

C-Asia

38%

SSA

16%

W-Europe,

N-America &

Australasia

1%

S, E & SE

Asia

20%

LA &

Caribbean

24%

 Costs dominated by

Eastern

Europe and

Central Asia

M-East & N-

Africa

1%

1: Mathers et al, Lancet (2010) 2: Scale-up calculations by UNSW

Cost-effectiveness and relative return on investment ranges by region

() number of studies in literature

Western Europe, North America

& Australasia

CE 1 :

ROI 2 :

$ 402 -$ 34,278 (9)

$ 1.1

-$ 5.5

(3)

Eastern Europe & Central Asia

CE 1 :

ROI 2 :

$ 97 -$ 564 (3)

$ 1.4

(1)

The Middle East

& North Africa

CE 1 : $ 1,456 -$ 2,952 (1)

South, East & South East Asia

CE 1 :

ROI 2 :

$ 71 -$ 2,800 (7)

$ 1.2

-$ 8.0

(4)

Latin America &

The Caribbean Sub-Saharan Africa

1: Cost per HIV infection averted 2: Total future return per $1 invested (3% discount rate)

Harm reduction cost-effectiveness

 Harm reduction cost-effective in all regions, with costs per HIV infection averted from $100 -$1,000

 Harm reduction returns positive, with total future

returns per $ from $1.1 – $8.0 (3% discount rate)

Also

 Unit costs fall as interventions scaled-up

 Combined, integrated interventions reduce overheads

 Intervention synergies increase effectiveness

Australia’s example: Economic benefits of a supportive legal and policy environment

 Australia invested A$243 million in NSP

 Prevented estimated 32,050 HIV infections and

96,667 HCV cases

 A$1.28 billion saved in direct healthcare costs

 Including patient/client costs and productivity gains and losses , net present value of NSPs is

$5.85 billion

ROI - A$27 per A$1 invested

Source: Return on Investment 2, Department of Health and Ageing, Australian Government

CONCLUSION

 Inaction costly

NOT the equivalent of nothing happening

Hard to reverse epidemic once established

 Whereas harm reduction is

Effective - in terms of HIV cases averted

Cost-effective - in terms of healthy years gained and

 costs

Social benefits exceed treatment costs

 And benefits the whole population

 Substance abuse treatment can benefit more non-

drug users than drug users

 Global best buy