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How Will the Green Hospitals Market Grow Over the Forecast Period Based on Its Expected CAGR?

In the past few years, the market size of green hospitals has significantly expanded. The growth is projected from $45.81 billion in 2024 to $52.02 billion in 2025, with a compound annual growth rate (CAGR) of 13.6%. The historic period of growth is due to heightened global awareness of environmental issues, the demand for sustainable methodologies, the surge in hospitals leaning towards sustainability, the incorporation of renewable energy sources, and the substantial contribution of green hospitals to carbon emissions.

The market size of green hospitals is anticipated to witness a swift expansion in the upcoming years. The projection is that it will inflate to a staggering $85.4 billion by 2029, with an impressive compound annual growth rate (CAGR) of 13.2%. This surge during the forecast period can be credited to organizations aiding hospitals to realize their zero-emission objectives, utilization of eco-friendly building materials, the creation of green hospitals, the growing adoption of green buying policies, and health initiatives encouraging sustainability. The ensuing period is expected to be marked by ongoing technological innovation, cutting-edge technologies like power-efficient lighting, renewable energy sources, waste minimization strategies to boost sustainability and a wide array of eco-aware healthcare services.

What Industry-Specific Factors Are Fueling the Growth of the green hospitals Market?

The upward trend of government strategies advocating sustainable healthcare is projected to drive the expansion of the green hospital market. An increase in government actions and policies focused on maintaining health systems that meet current needs without over-utilizing resources or damaging the environment for future generations is expected. This sustainable development in healthcare has become a priority by conserving resources, ensuring fair access to healthcare, and encouraging more sustainable activities such as energy-saving architecture, renewable energy incorporation, and waste minimization, particularly in green hospitals. For instance, in June 2023, ZonMw, a healthcare research and innovation organization based in the Netherlands, has signed the Sustainable Healthcare Green Deal 3.0, joining other signatories committed to minimizing the healthcare sector’s environmental impact. The government has expressed its objective to enhance sustainability in healthcare through numerous policy documents and agreements. The former government had already pledged in the Climate Act (Klimaatwet) to reach net-zero carbon emissions by 2050, a target that will also need to be met by healthcare institutions. Therefore, a rise in government initiatives advocating for sustainable healthcare is contributing to the growth of the green hospital market.

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Who Are the Dominant Players Expanding Their Reach in the Green Hospitals Market?

Major companies operating in the green hospitals market are:

• Hitachi Ltd._x000D_

• Siemens AG_x000D_

• Schneider Electric SE_x000D_

• Honeywell International Inc._x000D_

• Johnson Controls International PLC_x000D_

What Are the Top Trends Shaping the Evolution of the Green Hospitals Market?

Key corporations in the green hospital market are putting a significant focus on strategic partnerships that can foster the inclusion of sustainability as a central focus in healthcare facilities. These partnerships act as a conduit for developing and implementing sustainable processes, technologies, and initiatives, leading towards the promotion of better environmental protection and effective operations within hospitals, thus promoting the concept of green hospitals. For instance, in February 2024, the Nordic Center for Sustainable Healthcare (NCSH), based in Sweden, entered into a collaboration with Mamta Health Institute for Mother and Child (MAMTA HIMC), located in India, to facilitate the creation of the Green Hospital Initiative. This initiative aims to equip hospitals and health service providers with the necessary tools to improve their efficiency, environmental accountability, patient safety, and overall quality of care. The initiative also provides guidance in implementing green hospital practices such as hospital leadership, waste management, safer chemical use, energy efficiency, water conservation, etc. Furthermore, it encourages cooperative efforts through work groups, networking possibilities, and sharing of successful sustainable practices to instigate positive transformations within healthcare facilities.

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How Are the Key Segments of the Green Hospitals Market Driving Opportunities and Innovations?

The green hospitals market covered in this report is segmented –

1) By Type Of Green Technology: Energy-Efficient Lightning, Renewable Energy Sources, Waste Reduction Programs

2) By Services: Medical Services, Surgical Services, Emergency Services

3) By Certification Range: Leadership In Energy And Environmental Design (LEED) Certification, Green Globes Corporation, Energy Star Certification

4) By Ownership: Government-Owned Facilities, Private Facilities, Non-Profit Facilities

5) By Application: Hospitals, Clinics, Long-Term Care Facilities

Subsegments:

1) By Energy-Efficient Lighting: Led Lighting, Smart Lighting Systems, Occupancy Sensor-Based Lighting

2) By Renewable Energy Sources: Solar Power Systems, Wind Energy Systems, Geothermal Heating And Cooling

3) By Waste Reduction Programs: Medical Waste Recycling, Waste Segregation And Composting, Energy-From-Waste Technologies

Which Regions Are Setting the Pace for Green Hospitals Market Growth?

North America was the largest region in the green hospitals market in 2024. Asia-Pacific is the fastest growing region in the market. The regions covered in the green hospitals market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

What Defines the Scope of the Green Hospitals Market?

Green hospitals refer to healthcare facilities that prioritize environmental sustainability and minimize their ecological footprint. These facilities implement practices such as waste reduction, water conservation, and the use of eco-friendly materials to promote both human health and environmental well-being.

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