Our home state of Michigan is turning into a hotbed of marijuana business and investment. As the industry grows, what will the cannabis industry look like next? Continue reading “Cannabis 2.0: Michigan’s Next Phase Of Marijuana Production And Sales”
We’ve already written plenty about the outsized carbon footprint of cannabis. Indoor grow facilities are sprouting up all over the country, with more and more states expanding on the existing liberalization of marijuana use. That’s a problem. Continue reading “Cannabis Conundrum: New Data On Indoor Grow Facilities”
Cannabis has a carbon problem. We’re working hard to make indoor cannabis grow facilities more energy-efficient, lower carbon emissions, and keep things green. Continue reading “Cannabis, Carbon, And Climate Change”
We all know that indoor cannabis production is a big contributor to carbon emissions. Indoor facilities have a large energy demand and an outsized carbon footprint, but a new study has found that the impact is much larger than originally anticipated. Continue reading “The Variable Carbon Impact of Cannabis”
Cannabis companies are going big in 2021. That growth, however, needs to be managed effectively and sustainably. Continue reading “Cannabis Companies And The Future Of Energy”
Finally. Around the country, US cannabis companies breathed a sigh of relief last week. Regardless of their political leanings on other issues, the results of the Georgia Senate run-offs contests are exciting for an industry that has been hamstrung since its inception. Continue reading “Senate Changes Offer Cannabis Industry Bright Future”
On January 20, Joe Biden will take the most powerful office in the world. The White House certainly doesn’t have the ability to unilaterally change energy and cannabis policy, but experts are trying hard to peer into the future to see what the President-elect has in mind. Continue reading “Cannabis And Energy In 2021”
The cannabis industry knows that it has a tremendous responsibility to improve its sustainability. The National Cannabis Industry Association recently released a comprehensive study that includes recommendations on how to improve sustainability and efficiency for growers. Continue reading “National Cannabis Industry Association Announces Sustainability Plan”
Cannabis production doesn’t necessarily need to take place inside, but in many states, it’s a simple reality. From laws to climate, indoor production isn’t going anywhere, but we do need to make it more sustainable. Continue reading “Cannabis Production Needs To Go Green”
With new regulations that could further support the booming cannabis industry, plus even more states loosening regulations in the 2020 election cycle, cannabis is ready to explode. However, it’s still the inescapable price of production that could make or break just how profitable companies will be.
Energy is absolutely critical for a crop that’s extremely reliant on light and perfect growing conditions to meet demand. And that demand is high; cannabis was worth roughly $10 billion in 2019. That number is expected to rise consistently over the next few years, and it could come with a sizeable carbon footprint. The best data we have dates back to 2017, when the United States produced 16.4 million pounds of cannabis. That produced a staggering 1.8 million tons of carbon into the atmosphere. By 2020, the industry is putting out roughly 2.4 million tons of carbon, and that’s something that may see more taxes and penalties in the years ahead.
That inefficiency has a big impact on the bottom line, too. Electrical demand is a large component of day-to-day expenses for most growers. Behind labor, it’s the biggest operating cost for growers. Much of that is due to the plant’s sensitive need for light. Marijuana often requires stretches of twelve hours of lighting at a time, plus the right humidity and water to grow.
On average, indoor growers spend 262 kilowatts per hour per square foot. One gram of flowering plant can produce a pound of carbon emissions and cost roughly 24 cents to produce, strictly in energy expenses. Outdoor growers see numbers half of indoor, but it’s still a big dent in the company budget.
That big footprint can have an impact on the communities growers live and work in. To fight an oversized draw on the grid, some municipalities are putting caps on the number of electricity growers can use, typically around 36 kWh per square foot. Cities in Massachusetts, Illinois, and part of Canada already have this type of legislation on the books, and as the industry grows into new regions and states, those same rules may find traction at the state or even federal level to create an even playing field and protect the environment.
At present, just 6% of the electricity used in cannabis production can be traced to sustainable energy sources like wind and solar. The vast majority use coal and natural gas, especially in North America. Individual growers are looking at ways to include renewable technologies, more efficient lighting fixtures, and energy storage to lower costs and increase margins as they grow.
If you’re ready to take a closer look at how you can improve your energy environment and save the planet in the process, we’re one of the most experienced companies in improving efficiency for cannabis growers. Learn more and contact us today!