“Decarbonizing Health Care: A Critical Step Towards Global Climate Action”
Health care is a significant contributor to global greenhouse gas emissions, with more than 4 percent of emissions attributed to the sector. Hospitals, in particular, are energy-intensive systems that require specialized equipment and ventilation systems, leading to high levels of emissions. In the United States, hospitals are the second-most energy-intensive building type, spending $8.8 billion per year on energy.
Decarbonization in the health care sector is crucial for global climate action, as recommended by the Intergovernmental Panel on Climate Change (IPCC). Recent mandatory climate reporting rules passed by the Securities and Exchange Commission and the state of California, as well as voluntary climate reporting standards and certifications from the Joint Commission and the Centers for Medicare and Medicaid Services, highlight the growing importance of addressing climate change in the health care industry.
Climate change is already impacting human health, with cases such as a 9-year-old girl’s death in the U.K. linked to air pollution and an elderly Canadian woman diagnosed with climate change-related health issues. While some states like Massachusetts are taking steps to address environmental pollution, more action is needed to mitigate the health impacts of climate change.
National health care expenditures in the U.S. grew to $4.5 trillion in 2022, accounting for 17.3 percent of GDP. The health care sector is a top contributor to real GDP growth, highlighting its importance in the economy. With the sector projected to grow due to an aging population, there is a need for sustainable practices and environmental, social, and governance (ESG) strategies to drive growth and reduce risk.
Health care leaders have the opportunity to integrate sustainable practices and ESG strategies to drive growth and build a resilient system. Over the past decade, hospital systems have made efforts to reduce their environmental footprint through energy efficiency measures and waste minimization. Sustainability and ESG strategies are gaining more attention as imperative work in the health care industry.
Integrating sustainability and ESG principles into health care operations can drive operational efficiency, attract top talent, enhance organizational reputation, and engage patients and communities. Embracing these principles fosters long-term sustainability and success in the competitive health care sector.
Future articles in this series will address sustainable health care best practices, climate resilience, stakeholder engagement, and guidance on setting up a robust climate and health program. Fahmida Bangert and Monica L. Nakielski, with extensive experience in sustainability and ESG, provide insights into the importance of sustainability in the health care industry.