For the last few months, eighty percent of new cannabis rebate inquiries have been from Oklahoma. This spiked my curiosity – what is going on in Oklahoma and what is their rebate potential?
State Legalization
At the end of June 2018 voters in Oklahoma approved medical use of cannabis by a 57% to 43% margin. This included a state-issued license for cultivation. Although it is medically legal, it somewhat relaxed. For example, people can state their medical reason for possession after being caught with 1.5 oz or less. Read more here
Business Opportunity
Like many states, Oklahoma has primed itself as a pro-business climate. They have been relatively inclusive in issuing licenses for growing cannabis – somewhat comparable to applying for a liquor license. If state applicants meet basic criteria such as background checks and in-state residency, their business is approved. Therefore, it appears to be a similar environment to Oregon where an easy-entry results in a flood of participants. (Fingers crossed they don’t end up with the same permitting backlog!)
Electric Utilities
Forty-two electric utilities service Oklahoma customers. Most (39) are small municipal publicly-owned service providers. The largest, Public Service Company of Oklahoma, provides power to 40% of OK customers and is investor-owned; similar in size to Seattle City Light. Most of the electricity used in Oklahoma is non-renewable natural gas and coal burning. Some comes from wind and solar.
Rebate Potential
There is decent rebate potential for many growers in Oklahoma. Most rebates for efficient grow lights hover around 10-20% of equipment costs. For example, a rebate for 50 LEDs with the Public Service Company of Oklahoma would be $10,600, but through Oklahoma Gas & Electric it might be closer to $13,900. This is significant cash. Some utilities have indicated they are “oversubscribed” (out of budget) for 2018. However, given the custom rebate timeline, we can start applying for 2019 funds now.
Where Are Growers Eligible?
We estimate about half of OK has some sort of commercial incentives for efficient projects. The best way to find out if your project is eligible is to give us a call or request an estimate at seinergy.com. Many small utilities will not have the budget or bandwidth to support any type of commercial rebate. We specialize in finding out where they’re available, optimizing your cash-back, and removing the guesswork from the process. Remember to start your rebate application early!
If Interested in Rebates
1. Check your eligibility first.
2. Apply early. You must receive pre-approval from your utility before purchasing lights.
3. Finalize your lighting plan. Rebates will be paid based on the energy and demand used per square foot per year compared to the baseline energy and demands. Exact rebates depend on how you plan to use lights.
4. Work with an expert. Applying for custom commercial rebates can be done alone. But like representing yourself in court or selling a house, you’ll probably be better off having someone on your team who’s done these transactions many times before.
