In order to make hospitals perform well, the funding of the same has been decided to be given according to the level of performance by hospitals across B. C.; this refers to a new scheme by the Provincial Government termed as pay-for-performance strategy with a basic aim of elevating the level of health care provided by the medical institutions.

According to the new system, emphasis has been laid on the number of cases handled in short time and more care,

It has been warned by the Health Minister Kevin Falcon that the hospitals that fail to perform well will be pressured for reforms.

He said that the system will be made more accustomed and quick to cope up with the requirements of the patients. In one line, Falcon stated that the system will be independent and unbiased.

The scheme will be made functional in all parts of Lower Mainland's larger hospitals, and hospitals in Prince George, , Kamloops, Penticton and Vernon.

Initially, an amount of extra $250 million will be used to grant the rewards to the hospitals for next two years. The scheme is intended to transform 20% of the "acute-care budget" to the incentives by 2012. This implies that for rewards, $1 billion will be offered according to the performances.