Sep 20 More on Quality and Safety

HIMSSCast: Investors are helping to drive climate change initiatives

The healthcare industry contributes more than 6% of greenhouse gas emissions in the U.S., says William Theisen, CEO of EcoAct North America.

Susan Morse, Executive Editor

Photo: Tetra/Getty Images

EcoAct North America is an international climate consultancy focused on helping the private and public sectors measure their climate impacts and move towards sustainability.

It helps companies with ambitious targets, such as reducing emissions by 25%, said CEO William Theisen. The ultimate goal is net-zero emissions.

Healthcare is a big contributor of upwards of 6% of greenhouse gas emissions due to electricity use, supply chain purchases and waste, he said.

What's helping are investors who are asking a lot of questions to ensure their investments are resilient as the climate changes, Theisen said. Companies are being asked to share their sustainability plans, not just in this country, but globally.

The United States lags behind Europe due to a lack of regulation, according to Theisen. Much of the effort to control greenhouse gas emissions is voluntary, leading to a wide spectrum of effort.

"Regulation plays a huge part in setting a baseline for how much we expect the private sector to take in terms of reducing their climate impacts," he said.

For more, please listen to Theisen's conversation with Susan Morse, executive editor of Healthcare Finance News.

Talking points:

EcoAct North America was acquired by French corporation Schneider Electric in 2023.
Another arm of the business is involved in carbon offsets and in issuing carbon credits.
The Paris Agreement, a legally binding international treaty that went into effect in 2016, aims to keep global warming to no more than 1.5°C by reducing emissions by 45% by 2030.
In the United States, this March the Securities and Exchange Commission adopted a rule that requires public companies to disclose climate-related information in their SEC filings. There is a temporary stay on the rule amid multiple legal challenges.
Investments are pushing the industry forward and globally, due to global operations.
These investments put pressure on the supply chain, in the areas of pharma and manufacturing.
Healthcare initiatives include solar panels and renewable energy, but emissions remain from ambulances and other transportation, machinery, and waste.
Recycling incentives are linked to hospital coalitions.
On Earth Day 2022, the White House and the Department of Health and Human Services came out with a Health Sector Climate Pledge. The voluntary commitment by private sector healthcare organizations includes cutting greenhouse gas emissions by 50% by 2030 and achieving net-zero emissions by 2050.
Emissions are grouped into Scope 1, 2 and 3. Within Scope 1 are direct emissions that are owned or controlled by a company. Scope 2 and 3 cover indirect emissions.