Measuring Growth: Energy Will Shape Cannabis Growth

The cannabis industry is one of the most intriguing opportunities in the country right now. Across the nation, more states are legalizing cannabis than ever before, giving producers a “green light” to go big. But in the race to scale up comes the hurdle of overcoming the big energy demands of indoor production. 

Especially in states like Michigan, indoor production is going to make up a big chunk of the industry’s efforts to meet all-new levels of demand. With more production comes a larger supply, and prices have dropped accordingly. In addition to this new challenge, that extra production means energy costs go up, too. Roughly 63% of cannabis production is exclusively indoors, with a further 20% partially indoors, often for specific parts of the growth cycle. 

That adds up to a lot of juice; in 2012, before many states introduced and passed legalization legislation, cannabis production made up 1% of the nation’s electrical demand. Every production facility has a sizeable footprint, with a national average of over 41,000 kwh per month for a 5,000 square foot indoor facility. 

It makes a lot of sense that cannabis producers are preparing for both more energy costs and new tech; before they grow, they’re working with energy efficiency experts like Keen Technical Solutions to make sustainable practices as part of their blueprint. We’re working with companies across the Midwest to plug in renewable energy options like solar and wind power to support best practices developed by the industry. Every tool in our toolbox has a role in a cannabis facility, from HVAC to mechanical insulation, light fixtures to sustainable development.

We’re able to bring our decades of experience to a brand new industry. This is an incredible opportunity for us to support growers who are primed to reach all-new levels of production, but just as importantly, it’s a chance for us to help them do so with as little impact on our environment as possible. We all have something invested in the direction the cannabis industry takes right now; we’re ready to do our part with companies taking the forward-thinking route.