There’s a bonanza sweeping across North America: cannabis.
As more states legalize marijuana, the industry is attracting
high-profile investors and bringing in $6.5 billion in annual
But it also faces two major challenges: limited access to
banking and high energy costs.
Since cannabis is still illegal at the federal level,
traditional banks are unwilling to do business with the thousands
of companies serving the market.
At the same time, the industry now eats up $6 billion in
electricity costs. Growers are paying tens of thousands of dollars
per month to power cultivation sites, and some utilities are
worried about strain on the grid in certain locations. So what will
it take to green up America’s newest cash crop?
Trying to slash that electricity use is very hard for cash-only
companies that can’t get access to traditional financing.
“The capital you would most typically have to deploy if you
wanted to site solar at a cultivation facility will end up being
very expensive because you don’t have access to traditional bank
financing,” explains Hooley.
In this episode, we talk with Mark Hooley about the intersection
of cannabis and renewable energy. How do we get more solar,
microgrids and efficiency deployed to serve this budding
This branded episode was produced in partnership with
CohnReznick. If you are a developer looking to understand how to
serve the cannabis space, or if you are a grower trying to figure
out how to clean up your energy use, CohnReznick can
Source: FS – GreenTech Media
The Challenge of Greening America’s Cannabis Industry