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Table 3 Reference case scenario

From: Costing the distribution of insecticide-treated nets: a review of cost and cost-effectiveness studies to provide guidance on standardization of costing methodology

Parameter Suggested Reference Scenario Explanation
Perspective Societal To include all costs, not just those of the provider or patient.
Currency US$ A cost estimate in US$, indicating the year of conversion should be provided in addition to local currency
Life-span of mosquito net 3 years Assumptions have varied from 3 to 7 years, but field observations increasingly indicate a relatively short life span of polyester nets. Olyset® nets (made of polyethylene) are more durable and should be considered separately.
Re-treatment Annually Treatment of mosquito nets with modern pyrethroids is generally assumed to last 6 – 12 months. Evidence for LLINs (Olyset® and PermaNet®) indicates that treatment lasts for the life span of the net [7, 8]. While LLINs are phased in, they may be retreated alongside conventional nets. It should be investigated if this is the case.
Cost data Include:
All intervention costs (e.g. mosquito nets, insecticide, wages, transport, advertising, etc.)
All time cost, including care giving (formal/informal) and volunteers
Transportation and other non-medical services
Administrative costs for sick leave and for other transfers
Donated items
Costs for these and possible other ingredients (depending on programme specifics) should be collected. Costs can only be excluded once it has been established that they are insignificant in the context of the analysis [see reference 17 and 18 for further guidance). Quantities and prices need to be presented separately
Revenue Value and include From the societal perspective, funds from cost-recovery need to be included. This needs careful attention to avoid double counting. Clearly indicate cost-recovery when presenting results.
Adjustment of financial costs to calculated economic costs
Annualisation Life expectancy of capital items as specified above To obtain an equivalent annual cost for each capital outlay, an annuitization procedure needs to be followed. This requires an estimate of the life expectancy of each capital item and a decision on the discount rate to be used (see below).
Discount rate 3% Base-case calculations should use 3%, to be consistent with World Bank recommendations [32]. This should be varied in the sensitivity analysis, e.g. from 0 – 10%.
Reporting of results
Cost estimate Cost per net ITN delivered For programmes delivering untreated nets and insecticide treatment, the cost of both components should be quoted separately. Indicate whether the cost per ITN is the composite of the two costs or is achieved at lower/higher cost
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