VHA Inc.'s Energy Portfolio Saves Hospitals Up to 30 Percent on Energy Bills

IRVING, Texas, May 22, 2013 /PRNewswire/ -- VHA Inc., the national health care network, announced its new, comprehensive portfolio of energy services which enables health care organizations to reduce annual energy by as much as 30 percent. The portfolio includes programs from American Energy Assets, Eric Ryan Corporation and Hospital Energy.

"Energy costs are a major expense, often representing up to 3 percent of a hospital's total operating budget because they are open 24 hours a day, every day," said Harry Carr, vice president of operations for VHA's Mid-Atlantic region. "VHA's Energy Portfolio helps hospitals take control of their energy costs by evaluating and reducing usage, contracting energy at lower costs and auditing invoices for inaccuracies to achieve significant cost savings."

VHA's Energy Portfolio features the following solutions, which can be accessed individually or in combination to address these pressure points:

• Energy conservation – American Energy Assets, an energy conservation company with more than 25 years of experience, helps health care organizations reduce energy usage by optimizing existing assets and identifying energy savings opportunities without the need for capital investment. Through continuous energy efficiency improvement, hospitals can save between 8 percent and 12 percent of their annual utility bill.

• Invoice audits – Eric Ryan Corporation, an auditing firm, specializes in auditing and correcting utility bill errors through a no-risk, shared savings pricing model. The experienced audit team typically saves between 4 percent and 5 percent of a hospital's utility bill.

• Energy procurement – Hospital Energy is VHA's energy procurement provider and the country's leading energy procurement company for health care. Hospital Energy harnesses the purchasing power of health systems across the nation to create a unified energy market, which employs state-of-the-art risk management analytics to create savings of 10 percent to 15 percent.

VHA's energy portfolio reflects an overall commitment to sustainability, both in its own business and through contracts and services that help members be good environmental stewards. Offerings include environmentally preferred purchasing, assistance selecting sustainable products and safer chemistries, and programs to achieve more efficient facilities. Since 2009, VHA has issued an annual sustainability report using the internationally recognized Global Reporting Initiative (GRI) guidelines and is the only U.S.-based health care alliance / Group Purchasing Organization (GPO) that reports using the GRI framework. In addition, VHA is a participant in the U.S. Department of Energy's Hospital Energy Alliance (now Better Buildings Alliance).

Novation, VHA's supply contracting company, has also taken a leading role in helping health care organizations reduce waste, eliminate harmful substances and protect the environment through smart supply purchasing . In recognition of its leadership, Novation received the Champion for Change Award from Practice GreenHealth last month for the tenth consecutive year.

About VHA – VHA Inc., based in Irving, Texas, is a national network of not-for-profit health care organizations that work together to drive maximum savings in the supply chain arena, set new levels of clinical performance, and identify and implement best practices to improve operational efficiency and clinical outcomes. Since 1977, VHA has leveraged its expertise in analytics, contracting, consulting and networks to help members achieve their operational, clinical and financial objectives. In 2011, VHA delivered record savings and value of $1.9 billion to members. VHA serves more than 1,350 hospitals and more than 72,000 non-acute care providers nationwide, coordinating delivery of its programs and services through its 13 regional offices.

SOURCE VHA Inc.