What the health care sector must do to build a sustainable, resilient future
This is the final article in a six-part series examining sustainability and decarbonization practices in the health care industry. Previous articles detail the value of integrating sustainability and ESG principles into health care operations, innovations in sustainability, climate-resilient strategies, partnerships advancing impact, and leadership strategies.
The health care sector is at a moment where its role in addressing the climate crisis is clear. As one of the largest contributors to global greenhouse gas (GHG) emissions, health care is responsible for over 4 percent of global emissions, making decarbonization essential for mitigating climate change. Hospitals, in particular, are energy-intensive, operating around the clock with energy-hungry medical equipment, leading to an annual expenditure of $8.8 billion on energy in the United States alone.
If the global health care industry were a country, it would be the fifth-largest emitter of GHGs worldwide. This staggering statistic highlights the need for immediate action to decarbonize health care in line with the Intergovernmental Panel on Climate Change’s (IPCC) goal of limiting global temperature increases to 1.5 degrees Celsius.
Beyond its environmental impact, the health care industry is a major economic force, with expenditures reaching $4.5 trillion in 2022, representing 17.3 percent of U.S. gross domestic product. With these economic resources comes an opportunity — and a responsibility — for health care leaders to integrate sustainability into their business models. The adoption of ESG strategies can not only reduce environmental impact but also improve patient care, reduce financial risk and enhance organizational reputation. Many hospitals have already taken steps to reduce energy consumption and waste, but a more comprehensive approach to sustainability is needed for the sector to become truly climate-conscious.
Informed actions drive results
To achieve sustainability targets, awareness and active participation from all stakeholders in the health care system — including hospitals, clinics, insurance companies and patients — is critical. Recent initiatives by regulatory bodies such as the Securities and Exchange Commission (SEC), as well as climate reporting by organizations such as the Joint Commission and Centers for Medicare and Medicaid Services (CMS), reflect a growing commitment to addressing the environmental impact of the health care sector.
In Massachusetts, MassHealth — the state’s Medicaid and CHIP programs —provides health care coverage to low- and moderate-income residents, including families, children, seniors and individuals with disabilities covering essential services such as doctor visits, hospital care, prescriptions and long-term care. MassHealth is now requiring the approximately 60 acute care hospitals in Massachusetts that receive Medicaid funding to begin tracking and reporting their Scope 1 and 2 greenhouse gas emissions, a significant step in addressing climate change and energy management in hospitals. Health care providers must now rise to the occasion, integrating sustainability and environmental, social and governance (ESG) principles into their operations.
In our second article of this series we highlighted the increasingly visible efforts to decarbonize health care. Hospitals are transitioning to renewable energy, optimizing transportation, reducing medical waste and embracing greener products such as eco-friendly anesthetics and inhalers. Initiatives such as the U.S. Department of Health and Human Services’ Climate Pledge and the Joint Commission’s Sustainability Certification program illustrate the sector’s growing commitment to reducing emissions. Reducing waste is another major focus, with hospitals implementing recycling, composting and waste-to-energy programs, as well as reprocessing single-use medical devices to cut down on landfill contributions.
Sustainable procurement practices are also gaining momentum as health systems are increasingly sourcing healthier, safer and ethically produced medical products. Financing these efforts can be challenging, but innovative solutions such as green revolving funds, government incentives, and green bonds help health care organizations cover the initial costs of sustainable initiatives while reaping long-term financial and environmental benefits.
Balanced focus on people, planet and profit
The integration of sustainability into health care not only reduces environmental impact but also strengthens operational efficiency, lowers costs and attracts top talent for companies’ long-term future and success. As climate change continues to pose significant challenges to global health care systems — particularly through extreme weather events — building resilience within the industry is more important than ever. Hospitals must be prepared to withstand these events through climate-resilient design and strategies, such as elevated critical equipment and backup power systems, to protect public health and ensure continuous care.
The health care sector is guided by the quintuple aim framework, which seeks to improve patient outcomes, enhance care team experiences, reduce costs and promote health equity. Environmental sustainability is becoming recognized as an integral part of achieving these goals. Healthier environments lead to better patient outcomes by reducing chronic diseases linked to poor air and water quality, and a more sustainable approach to health care.
Sustainability promotes health equity by addressing the environmental injustices faced by marginalized communities, who often bear the brunt of pollution and climate change. By partnering with policymakers, universities and sustainability networks, health care organizations can advance health equity while aligning with environmental sustainability goals.
Decisive leadership maximizes sustainability in health care
Organizations must assess their alignment with sustainability goals and commit to action, whether by joining national and international initiatives or collaborating with industry peers to share best practices. Advocacy for policy change, both at the state and federal levels, is another key strategy for driving progress. Local engagement, such as participating in community-led sustainability initiatives, can further amplify these efforts.
The health care sector stands at the forefront of the fight against climate change. By embracing sustainability and resilience, the industry can lead by example, balancing planetary health with patient care. The stakes are high, and the opportunities are real. The health of our planet is directly linked to the health of our people. Every decision made today has the potential to safeguard future generations. Let us act and continue to take decisive action to decarbonize health care, build resilient systems and create a healthier, more equitable future for all.
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