Boulder County Proposes Cannabis Carbon "Tax"

Marijuana farms are growing by leaps and bounds in Colorado these days – and so are the concepts of how to capitalize on this new industry. From cannabis growers' conventions to businesses that build temperature-controlled indoor environments for grass growers, and journalists that rate strains of the new aperitif on their appealing qualities, Colorado’s eastern slope seems to be busting with new ways to harness the impact of this growing industry.

But the new millennia fascination with the herb has also brought some headaches, as Boulder County has discovered over the past year. Located just north of Denver in a valley well known for both its hot, sunny summer weather and its unpredictable storms, Boulder County has become an epicenter of sorts for the New West’s burgeoning industry.

Colorado State Article 18, which went into effect this past January after voters agreed to overhaul the state’s cannabis regulations, allows for both private and commercial growing and use of cannabis within the state. What it didn’t take into account, the county notes, is the carbon emissions that are tied to warehouses with hundreds of thousands of square feet dedicated to hot, bright lighting and plants that normally grow fine outdoors. In hot, sunny climates, that is.

According to one industry source, it takes about 5,000 kilowatt hours of electricity to grow about 2.2 pounds of good-quality pot. Compare that to the bill for an average Boulder home, which takes about 900 kWh to power a rambling 2,400-square-foot house for one month. The very light sources that are used to warm and nurture the plants through mile-high winters are part of the problem, says the county, which has seen electricity usage spike just as enthusiastically as weed sales.

To offset the impact, the county plans to levy a charge of 2.16 cents per kWh. The interesting thing is this isn’t designed to offset the electricity costs – Boulder City and Xcel Energy regulate and charge for the electricity. The county sees this as a carbon tax of sorts that would offset the impact of carbon emissions from cannabis. What is more, city businesses and residents already pay a carbon tax per year for general energy usage.

As to the county’s new grass tax: It isn’t yet clear how the tax will be used, but the county has determined in other research that carbon dioxide levels, as well as pesticide pollution, are a factor in growing marijuana -- whether it is for the fun of getting high, or for pain management through medical marijuana. The county has also stated that its real interest is encouraging growers to reduce energy usage, either through more environmentally friendly lighting choices or other options that reduce emissions.