That’s why Practice Greenhealth created its Healthcare Clean Energy Exchange, an electronic marketplace in which more than 250 suppliers compete to meet healthcare facilities’ energy needs. The program debuted in 2008 and is operated in a reverse-auction format, with suppliers bidding downward to compete for contracts. It is designed to help healthcare entities lock in stable pricing and increase their percentage of green or renewable energy purchases. The auctions carry no upfront fees, and if a healthcare entity doesn’t like the results, it is not forced to sign a contract.
Ingalls Health System in Harvey, Ill., explored the exchange program after energy prices skyrocketed last summer. Before participating in the exchange, Ingalls used 100% “brown”—or conventionally produced—electricity. During the auction, it sought bids for varying mixes of conventional and renewable power. “I actually was very skeptical we would be able to get green energy at a lower cost,” says chief financial officer Vince Pryor. “Frankly, I was hoping to break even.”
The results surpassed expectations. Ingalls signed a three-year contract for electricity, 5% of which now comes from renewable sources. It’s a small step, one the health system believes is in the right direction, as they expect to save $375,000 over the contract period and cut carbon dioxide emissions by 3,433 tons. “I think we would have been happy if we had kept costs neutral and gotten a bit of a green footprint,” Pryor says. “But the process worked out far better than that. It’s obviously a win-win for us.”
We have a lot of growing to do on the physician side. That’s not to say we need to have a PhD in ecotoxicology, but we do need to learn some. … We try to avoid adverse drug effects. We also have to avoid adverse environmental impacts.
—Paul Rosenau, MD, pediatric hospitalist, Fletcher Allen Health Care, Burlington, Vt.
Waste Reduction
U.S. hospitals generate approximately 6,600 tons of waste per day, and they pay more than $106 million each year to dispose of it, Practice Greenhealth reports. About 80% of waste generated in hospitals is nonhazardous solid material (i.e., paper, cardboard, food, and plastics), according to the Green Guide for Health Care, which offers recommendations for sustainable construction, operations, and maintenance of healthcare facilities (www.gghc.org).
Some health systems are putting pressure on vendors to reduce the amount of packaging materials they use. Others are finding alternative homes for items that ordinarily would go straight into dumpsters.
During construction of Kaiser’s Modesto hospital, Deane and his colleagues found one firm that turns Styrofoam into crown molding. They identified another company that recycles bubble wrap and foam, and a third that pays for certain nonrecyclable products. Their efforts prevented about 40 tons of waste from entering the landfill.
“It’s tough for some organizations to get past the culture of doing things the way they’ve always been done,” Deane says. “There’s a lot of opportunity if people just push their comfort level.”
The same holds true for hospital departments. Diane Imrie, director of nutrition services at Fletcher Allen Health Care in Burlington, Vt., led efforts to replace foam and plastic dishware with products that fully degrade when composted. A shift to reusable catering trays saved $1,000 a year.
“The key is to think about what would make a positive impact within your department,” Imrie says. “If there’s something that irritates you or you don’t feel comfortable doing because you know it’s not great for the environment, start there. If you don’t like it, your staff probably doesn’t like it, either.”