Energizing Healthcare: How Clean Energy Transforms Medical Facilities

The U.S. healthcare industry stands at a crossroads. As hospitals, research institutes, and medical suppliers grapple with rising operational costs, increasing patient demand, and the urgent need for climate resilience, a new prescription is emerging: clean energy. Far from being a distant ideal, clean energy solutions are now practical, cost-effective, and essential for healthcare organizations seeking to thrive in a rapidly changing industry.

Let’s take a look at the challenges healthcare organizations face, how clean energy can help solve them, and how to overcome barriers when implementing onsite clean technologies.

The Energy Challenge in Healthcare

Healthcare facilities are among the most energy-intensive buildings in the country, with 24/7 operations, advanced medical equipment, stringent air quality requirements, and the need for reliable backup power all driving demand. As a result, energy costs can account for a significant portion of a facility’s total operating budget.  

But the challenge goes beyond dollars and cents. The healthcare sector is responsible for around 5% of the world’s greenhouse gases, surpassing even the aviation industry. This makes it increasingly difficult for healthcare facilities to reach sustainability goals, comply with regulations, and meet the demands of eco-conscious employees and patients.

Clean Energy: A Strategic Solution

Clean technologies — such as solar energy, battery energy storage, and electric vehicle (EV) charging — offer a powerful antidote to the challenges faced by healthcare organizations. Here are some of the benefits of making the transition:

1. Cost Savings and Predictable Energy Expenses

One of the most compelling benefits of clean energy is the potential for significant cost savings. Solar panels, for example, can generate a substantial portion of a facility’s electricity needs, reducing reliance on the grid and insulating organizations from volatile utility rates.  

Battery energy storage systems further amplify these savings by allowing facilities to store excess solar energy for use during periods of high demand, when electricity prices are highest. Powering onsite loads with stored energy also helps shave a facility’s peak energy consumption, which utilities often bill at a higher rate.

2. Enhanced Resilience and Reliability

Extreme weather events, grid failures, and natural disasters are becoming more frequent and severe. For healthcare providers, power reliability is not just a convenience; it’s a matter of life and death. Clean energy solutions, particularly when combined in a microgrid, can keep essential systems running even when the broader grid goes down.

For example, a hospital equipped with an islanded microgrid can maintain critical operations — such as life support systems, refrigeration for vaccines, and emergency lighting —during extended outages. This resilience not only protects patients but also ensures compliance with regulatory requirements for emergency preparedness.

3. Advancing Sustainability and Public Health

The link between environmental sustainability and public health is undeniable. Air pollution from fossil fuel combustion contributes to respiratory illnesses, cardiovascular disease, and premature death. By transitioning to clean energy, healthcare organizations can reduce their carbon footprint and make good on sustainability commitments, while also saving money.

As a case in point, Sanford Burnham Prebys Medical Discovery Institute partnered with PowerFlex to install an integrated clean energy system featuring solar carports, a battery energy storage system, and EV chargers. The project cuts annual carbon emissions by 700 metric tons and will save the institute a projected $7 million in energy expenses.

4. Supporting Electric Mobility

The rise of electric vehicles presents an opportunity for healthcare organizations to lead on clean energy. By installing EV charging stations, hospitals and clinics can support staff, patients, and visitors who drive EVs and want to charge between their work shifts or appointments.  

PowerFlex enables facilities to install enough chargers to satisfy onsite demand without needing to upgrade electrical service. Our intelligent energy management platform PowerFlex X™ leverages Adaptive Load Management® to optimize energy use and avoid large spikes in demand that can overwhelm infrastructure and trigger additional utility fees.

Overcoming Barriers: Making Clean Energy Work for Healthcare

Despite the clear benefits, some healthcare leaders may hesitate to embrace clean energy due to perceived barriers such as upfront costs, regulatory complexity, or concerns about reliability. But there are a number of reasons why clean energy is more accessible than some may think.

• Innovative financing models such as power purchase agreements (PPAs) allow organizations to adopt clean energy with little or no upfront investment. These arrangements enable healthcare providers to pay for energy as they use it, while third-party providers handle installation, maintenance, and system performance.
• For those who choose to retain ownership of their clean energy assets, incentives and tax credits can significantly reduce the cost of installation. For example, the Investment Tax Credit offers a dollar-for-dollar federal tax reduction for a percentage of solar and battery energy storage system costs, while state-by-state incentives offer rebates for EV charging infrastructure.
• Experienced cleantech providers like PowerFlex maintain close relationships with local utilities and AHJs (authorities having jurisdiction) and are fluent in building codes, permitting requirements, and other regulatory hurdles that must be cleared when initiating a clean energy project.
• PowerFlex also has extensive experience integrating clean energy into complex healthcare environments where reliability is critical. Flexible solutions from rooftop solar arrays to campus-wide EV charging networks can be tailored to meet the unique needs of medical operations.

Ready to Energize Your Healthcare Facility?

By embracing clean energy, the U.S. healthcare sector can reduce costs, enhance resilience, and lead the way toward a healthier, more sustainable future. If you’re ready to explore how solar, energy storage, and EV charging can benefit your hospital, clinic, or research institute, we're here to help. Contact PowerFlex today to schedule a consultation and discover what clean energy can do for your organization.