The U.S. healthcare industry, accounting for 8.5% of the nation's greenhouse gas emissions, is under pressure to significantly reduce its environmental impact. A substantial portion of these emissions, about 50%, stems from supply chain activities such as procurement and distribution of pharmaceuticals, chemicals, medical devices, and supplies.

Addressing the climate crisis presents a crucial opportunity to enhance public health. Many healthcare systems and major suppliers have set ambitious targets to reduce emissions, necessitating substantial and rapid cuts in supply chain emissions.

In response to this imperative, Health Care Without Harm and the U.S. Health Care Climate Council have developed a Climate Excellence Standard for Health Sector Suppliers. This standard aims to define superior performance in decarbonization among suppliers, aligning the healthcare supply chain with robust near-term greenhouse gas reduction goals toward achieving net-zero emissions by 2050.

The standard was crafted with input from Health Care Without Harm’s Health Care Climate Council, comprising 19 leading health systems representing over 550 hospitals and 9,500 health centers across 45 states. Collaborative efforts involved interviews, surveys, and roundtable discussions with major medtech suppliers. This collective expertise led to the creation of a consistent definition of excellence across the sector.

Following its establishment, an initial assessment was conducted on 15 top medtech suppliers serving Health Care Climate Council members. One supplier, Cencora (formerly AmerisourceBergen), met the standard, with ongoing evaluations and engagements underway.

Looking beyond, the U.S. healthcare sector's substantial economic footprint and significant spending on products and services underscore the potential for impactful collaborations. Strategic partnerships between suppliers, healthcare systems, and group purchasing organizations (GPOs) can drive meaningful emissions reductions in the supply chain, going beyond traditional buyer-seller relationships.

Health Care Without Harm envisions the integration of the Climate Excellence Standard into procurement processes, contracts, and product selections, prioritizing emissions performance. This integration will standardize procurement language and enhance supplier participation.

The standard can also serve as a model for climate and health-focused organizations, government agencies, and supply chain collaboratives pursuing supply chain decarbonization. Coordination efforts with national initiatives like the National Academy of Medicine's Action Collaborative and the CHARME collaborative ensure alignment and future iterations of the standard.

Urgent action is needed to combat the health impacts of the climate crisis. Defining excellence in emissions reduction, fostering collaboration, and accelerating emissions reductions across the supply chain are critical steps toward a sustainable healthcare sector.