Cannabis Energy Impact Offset Fund (EIOF)

Between July 2019 and February 2020, Energy & Resources Solutions (ERS) conducted on-site energy assessments on 14 cannabis cultivation facilities that were operating at that time in Unincorporated Boulder County. By paring these assessments with utility consumption data and modeling analysis, ERS was able to provide each participating cultivator with a highly individualized report and recommendations for managing energy loads in a manner that reduces operating costs lowers their carbon footprint and maximizes product yields. This summary report describes the scope of the energy assessments, examines the data analyzes the opportunities, and provides guidance for the cannabis cultivation facilities across the Boulder County portfolio.

Funding for this project was provided from The Boulder County Energy Impact Offset Fund which was created using fees assessed to cannabis cultivation facilities, to offset carbon emission impact of their energy use loads on the environment.

Boulder County has released phase one of the Energy Impact Offset Fund’s Demand Side Management Study. This study assessed the collective energy management potential across the 16 cannabis facilities currently regulated by Boulder County. Policy actions are recommended to facilitate market forces to aid on-site energy productivity improvements and distributed energy generation for the reduction of carbon pollution in the cannabis industry.

Recognizing that the cannabis cultivators in unincorporated Boulder County may need to set aside funds to pay their required Energy Impact Offset Fund (EIOF) fees and that this expense could impact their investments in energy efficiency upgrades, the county has established an EIOF credit program to free up Cultivators’ capital to invest in energy efficiency and renewable energy. Under the EIOF program, eligible Cultivators can receive a credit against future EIOF fees for these out-of-pocket upgrade costs.

• The average electricity consumption of a local 5,000 square foot indoor cannabis cultivation facility is about 41,808 kilowatt-hours monthly, while the average consumption for commercial use of that space is 5,750 kilowatt-hours monthly. For comparison, the average electrical consumption of a local household in Boulder County is about 630 kilowatt hours monthly.
• Since the majority of this electricity comes from coal burning power plants, a typical 5,000 square foot indoor grow facility contributes approximately 43,731 pounds of carbon dioxide (CO2) per month to the atmosphere.

Boulder County has made anonymized electrical energy use data available to the public in an effort to support the cannabis industry in learning more about their energy impact and spurring innovation around best energy practices. This data has been collected from Boulder County cultivators and then stripped down to only include time stamps and average power across 15-minute intervals, allowing the identity of Boulder County cultivators to be protected. If you have any questions, please contact Ambra Sutherlin at asutherlin@bouldercounty.gov.

Boulder County’s Energy Impact Offset Fund (EIOF) Committee, in partnership with The Cannabis Conservatory, recognizes the urgent need for stewardship and accountability within the cannabis cultivation market.

The Boulder County Carbon Conscious Certification (BCCCC) was created to support cultivators working towards carbon neutral cannabis production. Learn more about the certification and the certification process here.

In partnership with Resource Innovations and with the participation of one Boulder County cannabis cultivator, the EIOF conducted a study to help improve the understanding and modeling of the potential impacts on electric demand, fuel use, and energy costs through the use of daily light integral (DLI) controls at a local greenhouse.

The study aimed to provide in-situ data on light loss due to greenhouse shading and glazing. The findings will be used as the basis for a DLI model that will more accurately account for losses of solar radiation within greenhouses utilized for cannabis cultivation. Results will also assist in the assessment of the cost effectiveness of DLI controls and to support the development of rebates for the installation of DLI controls.

Read the full case study of DLI Controls