Hochul Announces $20M for Hospital Energy Efficiency and Electrification

Energy Health April 9, 2026 Albany, NY

Governor Hochul Announces More Than $20 Million is Now Available to Make Energy Efficiency and Electrification Upgrades at Hospitals in New York State

Governor Hochul Announces More Than $20 Million is Now Available to Make Energy Efficiency and Electrification Upgrades at Hospitals in New York State Funding Available for Projects That Achieve Innovative Pathways To Reduce Energy Use and Greenhouse Gas Emissions in Hospitals

Projects To Help Lower Operating Costs, Increase Comfort and Improve Indoor Air Quality

Governor Hochul today announced more than $20 million is now available to make energy efficiency and electrification upgrades at hospitals in New York State through the Empire Building Challenge: Hospitals program (EBC: Hospitals), which provides support for improvement projects that showcase innovative pathways to reduce energy use and on-site greenhouse gas emissions. Today’s announcement will help lower operating costs, increase on-premise comfort, and improve indoor air quality while positively impacting the broader community and the environment.

“New York State continues to lead by example and demonstrate to the rest of the country what is possible when you invest boldly in clean, energy efficient infrastructure,” Governor Hochul said. “Today, we are accelerating our path forward as we look to modernize health care facilities and support patients, their families and our communities in their journey to well-being as part of the clean energy transition.”

The EBC: Hospitals program — administered by the New York State Energy Research and Development Authority (NYSERDA) — provides funding to help hospitals overcome cost barriers to modernizing their energy systems and support the development of innovative solutions that can be replicated at health care facilities across the state.

New York State Energy Research and Development Authority President and CEO Doreen M. Harris said, “Hospitals operate around the clock to deliver critical care to New Yorkers, making them some of the most energy-intensive buildings in our communities. NYSERDA is pleased to announce further investment in such an important program to help hospitals balance efforts to reduce energy usage and improve onsite conditions with patient care and comfort.”

Through the program, NYSERDA will award up to $5 million to selected hospitals for the construction and installation of scalable, efficient low-carbon solutions, such as electrification of building systems, electrification readiness projects, and comprehensive energy efficiency projects that will achieve significant energy and carbon reductions. Eligible facilities include licensed, existing in-patient hospitals primarily focused on delivering acute, short-term medical and surgical care for patients, including diagnosis, treatment and inpatient housing.

NYSERDA will prioritize projects at hospitals located in disadvantaged communities, as defined by the New York Climate Justice Working Group, to ensure the communities benefit from clean energy solutions supported by the program. Additionally, selected proposers may also be eligible for up to $50,000 to support operation and maintenance training on new equipment and building systems installed as part of their project.

Proposals are due by September 15, 2026, by 3 p.m. A complete list of all eligibility rules and evaluation criteria can be found in the solicitation summary on NYSERDA’s website.

NYSERDA will host an informational webinar on April 22, at 10 a.m. to provide more details on the solicitation, project requirements and the application process. Register and view more information about the webinar here. Interested proposers can contact [email protected] for more information.

New York State Health Commissioner Dr. James McDonald said, “It is critical that our hospitals have infrastructures that provide comfortable, safe and excellent care to the patients they serve. I commend Governor Hochul and NYSERDA for making resources available to our communities that will allow them to make upgrades aimed at enhancing indoor air quality, energy efficiency and the overall patient experience.”

New York State Department of Environmental Conservation Commissioner Amanda Lefton said, "New York State's hospitals provide essential care to millions of New Yorkers around the clock. This $20 million investment by NYSERDA will help hospitals, particularly those serving disadvantaged communities, modernize their infrastructure with low-carbon solutions that reduce climate pollution, lower operating costs, and improve conditions for patients and staff alike. Under Governor Hochul's leadership, New York continues to demonstrate that the clean energy transition and the well-being of communities go hand-in-hand."

New York State Public Service Commission Chair Rory Christian said, “Today's funding announcement is one of many positive examples of how leadership across agencies can result in enhanced safety, reliability, and environmental benefits for consumers. Not only do hospitals offer critical services, but as energy-intensive buildings, they are also critical to addressing emissions within a sector that remains one of the highest contributors toward greenhouse gas emissions statewide. The Commission applauds Governor Hochul and NYSERDA for strategic targeting of valuable resources as part of the continued progress toward state climate goals."

Healthcare Association of New York State Senior Vice President of State Policy Amy Nickson said, “HANYS thanks Gov. Hochul for her continued commitment to hospital modernization. The state’s ongoing support for these energy-focused improvement projects is deeply appreciated, as reducing energy use and emissions is a goal our members share. We look forward to the positive impacts we know these projects will have on our hospitals and the communities they serve.”

Today’s announcement builds on the successful launch of the EBC: Hospitals program in March 2025. NYSERDA expects to announce the awards for the first round of the program later this year.

State Senator Kevin Parker said, “Investing in our hospitals is ultimately an investment in our communities. Programs like the Empire Building Challenge for Hospitals ensure that health care facilities, especially those serving our most vulnerable neighborhoods, have the resources they need to modernize, become more energy efficient, and provide safer, healthier spaces for patients and staff. These upgrades will not only help reduce costs but also strengthen the ability of our hospitals to meet the evolving needs of the communities they serve, now and into the future.”

Assemblymember Didi Barrett said, “Decarbonizing large facilities like hospitals are a critical part of reducing New York State’s carbon footprint, and it is essential that we provide our hospitals with the resources to make these energy efficiency improvements. I commend Governor Hochul and NYSERDA for making this $20 million in funding available and I encourage hospitals across the state to apply.”

The EBC: Hospitals program is an extension of the State’s successful Empire Building Challenge, which supported and demonstrated replicable, economically feasible and scalable low carbon retrofit approaches in large existing buildings. These programs advance Governor Hochul’s commitment to efficiently decarbonize buildings, which are one of the most significant sources of greenhouse gas emissions in New York State. Through NYSERDA and utility programs, more than $5.6 billion has been invested to decarbonize buildings and support high-efficiency all-electric heating and cooling technologies.

This program is funded through Regional Greenhouse Gas Initiative and the New York State Public Service Commission’s 2025 Energy Efficiency and Building Electrification Order, which funds Statewide market development programs from 2026 through 2030.

New York State's Climate Agenda

New York State's climate agenda calls for an affordable and just transition to a clean energy economy that creates family-sustaining jobs, promotes economic growth through green investments, and directs a minimum of 35 percent of the benefits to disadvantaged communities. New York is advancing a suite of efforts to achieve an emissions-free economy by 2050, including in the energy, buildings, transportation, and waste sectors. The State is also working to disburse the historic $1 billion Sustainable Future Program, which will deliver targeted funding to lower emissions, reduce household energy costs, and spur green job growth.

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