Green Hospitals Market, By Service Type (Accident & Emergency Services, Emergency room services, X-ray/Radiology services, General and specialty surgical services, Investigation and Diagnostic Services, Paediatric Care Services, Physiotherapy, Laboratory Services, Orthopaedics & Joint Replacement Services, Others (Nutrition and dietetics service, etc.)), By Ownership (Government-owned Facilities, Private Facilities, Non-profit Facilities), By Geography (North America, Latin America, Europe, Asia Pacific, Middle East & Africa)
Global Green Hospitals Market is expected to experience significant growth in the near future due to increasing demand for sustainable healthcare facilities and government regulations and initiatives to reduce the carbon footprint. The global green hospitals market was valued at US$ 46.11 Bn in 2023, and is expected to exhibit compound annual growth rate (CAGR) of 12.5% to reach US$ 105.21 Bn by 2030.
Green hospitals are healthcare facilities that prioritize sustainable and environmentally-friendly practices in their operations. This includes things like energy-efficient lighting and heating, ventilation, and air conditioning (HVAC) systems, waste reduction and recycling programs, and the use of eco-friendly materials and products.
Global Green Hospitals Market- Regional Insights by 2018 - 2030
North America is expected to dominate the green hospitals market due to high adoption of sustainable healthcare practices in the region. The U.S. is expected to be a key market for green hospitals, as the country has a large healthcare industry and growing focus on sustainable practices. The market share of green hospitals in this region is estimated to be around 35%.
Europe is also expected to be a significant market for green hospitals, and the market growth is driven by strong government initiatives and regulations to reduce the environmental impact of healthcare operations. Countries such as Germany, France, and the U.K. are expected to be key markets for green hospitals in the region. The market share of green hospitals in Europe is approximately 30%.
Asia Pacific is expected to be the fastest-growing market for green hospitals due to rapid urbanization, increasing healthcare spending, and growing awareness of the environmental impact of healthcare. China, India, and Japan are expected to be key markets for green hospitals in the region. The market share of green hospitals in Asia Pacific is around 15%.
Global Green Hospitals Market- Drivers
Growing awareness about environmental impact of healthcare: Growing awareness about environmental sustainability and carbon footprint of healthcare operations is a key factor driving growth of green hospitals market globally. There is an increasing recognition that hospitals contribute significantly to carbon emissions and pollution through their energy-intensive facilities, equipment, faulty waste management practices and others. For instance, on September 12, 2023, according to the report published by National Center for Biotechnology Information (NCBI), the healthcare industry has a substantial impact on the environment through its use of resources, waste generation, and pollution. To manage and reduce its impact, it is essential to measure the pressures of healthcare activities on the environment. As more people become aware of this impact, there is increase in demand for sustainable and environmentally-friendly healthcare facilities.
Government initiatives to promote sustainable healthcare: Many governments around the world are implementing regulations and initiatives to promote sustainable healthcare practices including the development of green hospitals. This includes incentives for hospitals to reduce their environmental impact such as tax credits for energy-efficient equipment or grants for waste reduction programs.
Figure 1: Global Green Hospital Market Share (%), By Region, 2023
Adoption of renewable energy: Healthcare facilities can adopt renewable energy sources such as solar, wind, and geothermal power to reduce their reliance on fossil fuels and reduce their carbon footprint. This presents an opportunity for the development of green hospitals that use renewable energy sources to power their operations. For instance, on August 2, 2023, the AIIMS Delhi signed an agreement with the Indian Renewable Energy Development Agency Limited (IREDA) to initiate the technical assessment of the hospital campus for converting it into a green hospital which is powered by solar energy.
Use of sustainable building materials: The use of sustainable building materials such as bamboo, recycled plastic, and eco-friendly insulation can help to reduce the environmental impact of healthcare facilities. This presents an opportunity for the development of green hospitals that prioritize the use of sustainable building materials in their construction.
Implementation of waste reduction programs: Healthcare facilities generate a significant amount of waste, and most of these can be recycled or reused. The implementation of waste reduction programs presents an opportunity for the development of green hospitals that prioritize waste reduction and recycling.
Development of green supply chains: Healthcare facilities can work with suppliers to develop green supply chains, and thus, reducing the environmental impact of the entire healthcare system. This presents an opportunity for the development of green hospitals that prioritize the use of eco-friendly products and materials in their operations.
Green Hospitals Market Report Coverage
Report Coverage
Details
Base Year:
2022
Market Size in 2023:
US$ 46.11 Bn
Historical Data for:
2018 to 2022
Forecast Period:
2023 - 2030
Forecast Period 2023 to 2030 CAGR:
12.5%
2030 Value Projection:
US$ 105.21 Bn
Geographies covered:
North America: U.S. and Canada
Latin America: Brazil, Argentina, Mexico, and Rest of Latin America
Europe: Germany, U.K., Spain, France, Italy, Russia, and Rest of Europe
Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, and Rest of Asia Pacific
Middle East & Africa: GCC Countries, Israel, South Africa, North Africa, and Central Africa and Rest of Middle East
Segments covered:
By Service Type: Accident & Emergency Services, Emergency room services, X-ray/Radiology services, General and specialty surgical services, Investigation and Diagnostic Services, Paediatric Care Services, Physiotherapy, Laboratory Services, Orthopaedics & Joint Replacement Services, Others (Nutrition and dietetics service, etc.)
By Ownership: Government-owned Facilities, Private Facilities, Non-profit Facilities
Companies covered:
Boulder Community Health, Northwell Health, Bronson Methodist Hospital, Laguna Honda Replacement Hospital and Rehabilitation Center, Lauder Center for Maternity Care, Legacy Health, Providence, Winship Cancer Institute of Emory University, Dell Children’s Medical Center, Aga Khan Foundation, Aarhus University Hospital, AIIMS, Jehangir Hospital, Saifee Hospital Trust, ESIC, Max Healthcare, Kohinoor Group, Govt. Mohan Kumaramangalam Medical College & Hospital, Aster Hospitals, Inc., HINDUJA GROUP, MedHealth Medical Centre, and Cintocare
Growth Drivers:
Growing awareness about environmental impact of healthcare
Government initiatives to promote sustainable healthcare
Adoption of green procurement: Healthcare facilities are increasingly adopting green procurement policies that prioritize the use of eco-friendly products and materials. This trend is driven by the need to reduce the environmental impact of healthcare operations and to meet sustainability targets.
Global Green Hospitals Market- Restraints
High upfront costs: The initial investment required to develop and implement green hospital practices can be high including the cost of upgrading equipment, renovating facilities, and implementing waste reduction programs. This can be a significant barrier in entry of healthcare facilities, especially those with limited budgets.
Lack of awareness and education: Despite growing awareness of the environmental impact of healthcare, there is still lack of education and awareness among healthcare professionals and patients about sustainable healthcare practices. This can make it difficult to promote the adoption of green hospital practices, and this can limit demand for sustainable healthcare facilities.
Limited funding and financing options: Financing options for green hospital projects can be limited, especially in developing countries. This can make it difficult for healthcare facilities to secure the funding needed to develop sustainable practices and facilities.
Figure 2: Global Green Hospital Market Share By Service Type
Global Green Hospitals Market: Recent Developments
New product launches
Stericycle's EcoSharp containers: In 2020, Stericycle, a provider of waste management services launched its EcoSharp containers that are designed to safely and sustainably collect and dispose of medical sharps waste.
Acquisition and partnerships
Siemens Healthineers' acquisition of Varian Medical Systems: In 2021, Siemens Healthineers, a leading medical technology company completed its acquisition of Varian Medical Systems, a company that provides cancer care solutions. The acquisition is expected to help Siemens Healthineers in expanding its product offerings in the healthcare industry and accelerate the development of sustainable healthcare solutions.
Medline announced two new healthcare sustainability programs: In 2020, Medline, a healthcare company announced two new healthcare sustainability programs. The programs: a green product portfolio and a sustainable packaging lab will help the hospitals in reducing the amount of product waste that came out from their facilities.
Koninklijke Philips N.V. s' acquisition of BioTelemetry: In 2021, Koninklijke Philips N.V., a health technology company completed its acquisition of BioTelemetry, a company that provides remote cardiac monitoring solutions. The acquisition is expected to help Philips to expand its remote patient monitoring capabilities and improve sustainability practices in healthcare.
Top healthcare facilities in Global Green Hospitals Market:
Boulder Community Health
Northwell Health
Bronson Methodist Hospital
Laguna Honda Replacement Hospital and Rehabilitation Center
Lauder Center for Maternity Care
Legacy Health
Providence
Winship Cancer Institute of Emory University
Dell Children’s Medical Center
Aga Khan Foundation
Aarhus University Hospital
AIIMS
Jehangir Hospital
Saifee Hospital Trust
ESIC
Max Healthcare
Kohinoor Group
Govt. Mohan Kumaramangalam Medical College & Hospital
Aster Hospitals, Inc.
HINDUJA GROUP
MedHealth Medical Centre
Cintocare
Definition: Green hospitals, also known as sustainable hospitals or eco-friendly hospitals are healthcare facilities that are designed to operate with a focus on environmental sustainability and minimizing their ecological impact. These hospitals prioritize energy efficiency, resource conservation, waste reduction, and environmentally friendly practices throughout their operations.
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About Author
Manisha Vibhute is a consultant with over 5 years of experience in market research and consulting. With a strong understanding of market dynamics, Manisha assists clients in developing effective market access strategies. She helps medical device companies navigate pricing, reimbursement, and regulatory pathways to ensure successful product launches.
The global Green Hospitals Market size was valued at USD 46.11 billion in 2023 and is expected to reach USD 105.21 billion in 2030.
The global green hospitals market comprises healthcare facilities that prioritize sustainability and environmentally-friendly practices. It's expected to grow due to increasing awareness of the environmental impact of healthcare and government initiatives to promote sustainability.
The market was valued at US$ 46.11 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 12.5% to reach US$ 105.21 billion by 2030.
North America is leading the market, followed by Europe and the Asia Pacific. These regions are adopting sustainable healthcare practices and regulations.
The key drivers include growing awareness of healthcare's environmental impact and government initiatives to promote sustainability in healthcare operations.
Opportunities include adopting renewable energy, using sustainable building materials, implementing waste reduction programs, and developing green supply chains in healthcare facilities.
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