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Study looks at connection between electricity cost, health outcomes

Study looks at connection between electricity cost, health outcomes

YARMOUTH, Maine – Policymakers should consider the high costs of operating oxygen equipment and other DME, especially for low-income individuals who obtain equipment from the Medicare or Medicaid programs, according to a new study published in JAMA Network. Researchers obtained DME data from CMS for 2018 and annual electricity cost data from the U.S. Energy Information Administration Electricity Data Browser for each state at residential delivery prices. Depending on the needs of the patient, local electricity prices and the flow rate of oxygen prescribed, the cost of running electric oxygen concentrators can vary substantially and potentially result in financial hardship or suboptimal use of therapy because of cost concerns, they found. In Hawaii, which has the highest national cost of electricity, the annual projected maximum cost is $1,991 for a high-oxygen-flow, 700-watt concentrator used continuously. Factors such as altitude, prevalence of pulmonary disease, air quality, occupational exposures and average age of beneficiaries likely contribute to prescribed oxygen flow rates and oxygen concentrator use patterns. Researchers say further study is needed to better characterize the relationship between DME and persistently highly variable costs, patient use patterns and health outcomes.

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