Governor Kathy Hochul launches the Empire Building Challenge: Hospitals program, offering $30 million to support hospitals in disadvantaged communities with energy-efficient retrofits

New York – New York is taking another major step toward a greener future with a bold new initiative aimed at hospitals across the state. Governor Kathy Hochul has announced a $30 million funding opportunity under the Empire Building Challenge: Hospitals program, a move designed to help hospitals become more energy-efficient, lower costs, and significantly cut emissions.

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The program, administered by the New York State Energy Research and Development Authority (NYSERDA), will provide financial support for hospitals looking to implement electrification retrofits that can be replicated statewide. This investment aligns with New York’s broader efforts to decarbonize buildings and transition to a cleaner, more sustainable future.

Hospitals are among the most energy-intensive buildings, running critical systems around the clock to support patient care. Heating, cooling, ventilation, and medical equipment all require vast amounts of energy, making sustainability improvements both challenging and essential.

Through this initiative, hospitals will have access to up to $5 million each to fund projects that replace outdated systems with cutting-edge, energy-efficient, low-carbon solutions. These efforts include electrifying building systems, improving insulation, upgrading heating and cooling systems, and integrating new clean-energy technologies that will not only benefit the environment but also improve conditions for patients, staff, and visitors.

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A key focus of the program is supporting hospitals located in disadvantaged communities. By prioritizing funding for these areas, the state aims to ensure that the health and environmental benefits of the clean energy transition reach those who need them most.

Hospitals that participate in the program can also receive up to $50,000 in additional funding for training staff on the new equipment and building systems, ensuring that these improvements are effectively maintained for years to come.

State officials are emphasizing the broader impact of these investments. NYSERDA President and CEO Doreen M. Harris highlighted the importance of creating scalable solutions that can be implemented beyond New York, serving as models for hospitals nationwide.

Similarly, State Health Commissioner Dr. James McDonald underscored the significance of modernizing hospital infrastructure to provide cleaner, healthier environments for patients and healthcare workers alike.

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This latest funding opportunity builds on the success of the broader Empire Building Challenge, an initiative that has already driven more than $140 million in private investment toward decarbonizing large commercial and residential buildings.

Since its launch in 2020, the program has played a crucial role in demonstrating cost-effective and replicable solutions for reducing carbon emissions across New York’s building sector. Expanding the challenge to hospitals marks another critical step in the state’s ongoing climate strategy.

With proposals due by August 14, 2025, hospitals interested in participating will have a chance to play a leading role in shaping the future of healthcare sustainability. NYSERDA has also scheduled an informational webinar on March 18 to help potential applicants understand the details of the program and application process.

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As New York pushes forward with its ambitious climate agenda, this initiative reinforces the state’s commitment to an emissions-free economy by 2050. The transition to clean energy in hospitals represents more than just a shift in infrastructure—it’s a long-term investment in healthier communities, more resilient healthcare facilities, and a greener, more sustainable future.

More details are available here.