Cannabis Grow Facilities Applying Data Center Technology

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1 Cannabis Grow Facilities Applying Data Center Technology Three Case Studies Michael Fluegeman, PE, Principal/Dir. of Engineering, PlanNet Jim Strano, Vice President/Principal, PlanNet #DATACENTERWORLD #CPEXPO CHANNELPARTNERSCONFERENCE.COM DATACENTERWORLD.COM

2 Data Center World Certified Vendor Neutral Each presenter is required to certify that their presentation will be vendor-neutral. As an attendee you have a right to enforce this policy of having no sales pitch within a session by alerting the speaker if you feel the session is not being presented in a vendor neutral fashion. If the issue continues to be a problem, please alert Data Center World staff after the session is complete.

3 Cannabis Grow Facilities Applying Data Center Technology Cannabis grow facilities utilize rapidly evolving technology, much of which is familiar to the data center industry. This session includes 3 case studies: an outdoor facility in CA and indoor facilities in CA and MA. Many configurations are viable, including one resembling Yahoo's notorious chicken coop data center. Significant and reliable electrical power and purified water is required. Precision control and timing of lighting color and intensity, light deprivation, temperature and humidity is key to high-value yield. Boilers for warm RO water root tubing. Cooling technology ranges from custom CRAC units to water-wall evaporative cooling. Backup generators and ATSs are deployed. Critical systems are commissioned. Whereas IT equipment does not produce humidity or attract insects, plants do. Infrastructure failures can result in $150,000 of crop value loss. Speed to market, energy efficiency, effective seed-to-sale tracking for regulatory compliance and security drive the bottom line.

4 What does IT & Cannabis have in Common? Topic IT Cannabis Product Usage Information, productivity, entertainment Medication, entertainment Facility Location Criteria Power & real-estate costs, geographic risks, latency/market proximity, free-cooling Real-estate & power costs, legality Location Challenges Noise, emissions, visual screening Emissions, pungent odors Government Incentives Location tax breaks Convert untaxed black market to revenue Facility Technology Connectivity, environmental, short & longterm backup power, controls, monitoring Environmental, lighting, water treatment, controls, long-term backup power Quality of Design, Construction Energy efficiency, reliability, adaptability Energy efficiency, reliability, adaptability Regulations Competition Change Internet access, data locations, DR/BC Remote, lower-cost locations as connectivity speed improves at lower cost Driven by technological development & new applications Product is heavily regulated but not yet legal in much of the world Lesser-regulated locations & unregulated (black market) Driven by technological development & new applications Speed to Market Faster construction improves ROI Faster construction improves ROI

5 Outdoor Cannabis Grow Facility

6 Outdoor Cannabis Grow Facilities Lower cost Strong light (sunlight) intensity Arable land required Lower quality (less control) Slower speed to market #DATACENTERWORLD DATACENTERWORLD.COM

7 Outdoor Cannabis Grow Facilities Advantages Free lighting; higher light intensity for faster (seasonal) growth rate Free cooling Free watering (at times) Minimal facility design, construction, O&M costs Limitations Cannot control lighting color, intensity or timing Cannot control temperature or humidity extremes Cannot keep the day-to-night differential within the optimal 10 F Cannot control rainfall, storms, high winds Growth rate subject to seasonal changes Difficult to control insects Cannot stack plants in embryonic growth stage Security challenges

8 What do Server Farms & Cannabis Farms have in Common? Requirement Server Farms Cannabis Farms Power capacity Utility upgrades if >500kW Utility upgrades if >500kW Reliable power UPS & standby generators, redundancy Standby generators backup to utility & sun Lighting Basic, not critical, low power draw Specialized, critical, high power draw Water supply Cooling & humidification Growth, cooling & humidification RO water treatment Required for cooling equipment Required for product quality Water intrusion Major risk of equipment damage Minimal risk Cooling & airflow Heat removal & airflow management Air movement, weather compensation CO 2 Not required Required for growth Temperature control Supply temp very important Room temp & air flow important Humidity control Minimally needed to compensation for weather extremes Significant water removal required during growth & curing cycles Inventory management Server tracking, monitoring Seed-to-sale tracking (govmnt. reqmnt.) Security Very important, physical & logical Very important especially physical

9 Indoor/Hybrid/Greenhouse Cannabis Grow Facility

10 Indoor Cannabis Grow Facilities Higher cost Strong light (sunlight) intensity Higher quality (full control) Faster speed to market Arable land not required #DATACENTERWORLD DATACENTERWORLD.COM

11 Indoor/Greenhouse Cannabis Grow Facilities Advantages Good control of lighting color, intensity & timing (with shading) Free lighting; higher light intensity for faster growth rate Moderate control of temperature & humidity Minimal effect from outdoor weather, storms or seasonal changes Easier insect control Easier to secure against theft Limitations Initial cost of facility design, construction Lighting, temperature & humidity control is difficult Ongoing facility O&M cost Ongoing energy utility costs for lighting, heating, cooling, humidity control Ongoing water utility costs, treatment

12 Indoor Cannabis Grow Facility

13 Indoor Cannabis Vertical Grow Facility

14 Indoor Cannabis Grow Facilities Advantages Full & simplified control of lighting color, intensity & timing Full & simplified control of temperature & humidity Ability to keep the day-to-night differential within the optimal 10 F Less space needed; plants can be stacked in embryonic growth stage Minimal effects from outdoor weather, storms or seasonal changes Easier insect control Easier to secure against theft Limitations Initial cost of facility design, construction Lower light intensity (no sunlight); slower growth rate & smaller plants Ongoing facility O&M cost Ongoing energy utility costs for lighting, heating, cooling, humidity control Ongoing water utility costs, treatment

15 Indoor Cannabis Grow Facility Design

16 Indoor/Greenhouse Cannabis Grow Facility Construction

17 Indoor Cannabis Grow Facility Construction

18 Indoor Cannabis Grow Facility Construction

19 Indoor Pre-Fab Cannabis Grow Facility Construction

20 Medical Cannabis Cleanrooms

21 Cannabis Grow Facility Technology HVAC Systems

22 Cannabis Grow Facility Technology Airflow should not hit the leaves directly Leaves require indirect air movement HVAC Systems Temperature & humidity control are critical for optimal plant growth Prevent conditions encouraging bacteria, fungus, mold and pest growth Plant dynamics affect the ability of HVAC systems to maintain optimum temperatures and humidity levels Exposing plants to light acts to increase the grow room temperature (sensible heat) Plant evapotranspiration (phase change) works the opposite, cooling the grow room Plant evapotranspiration also adds moisture (latent heat) to the grow room The vapor pressure difference (VPD) between plant leaves at saturation and the air surrounding the leaves drives HVAC equipment sizing Relative humidity must be changed along with temperature Effective control systems are required Careful design is required to limit CapEx & OpEx from over-sized equipment

23 Cannabis Grow Facility Technology HVAC Systems

24 Cannabis Grow Facility Technology HVAC Systems

25 Cannabis Grow Facility Technology Ducted CRAC units

26 Cannabis Grow Facility Technology Reverse Osmosis Hydroponic Water Treatment

27 Cannabis Grow Facility Technology Hydroponic Systems

28 Cannabis Grow Facility Technology Hydroponic Systems

29 Cannabis Grow Facility Technology Hydroponic Systems

30 Cannabis Grow Facility Technology Fertigation

31 Cannabis Grow Facility Technology Curing (drying)

32 Cannabis Grow Facility Security

33 Cannabis Seed-to-Sale Tracking In each state that legalizes medical and recreational cannabis, one inventory tracking system becomes the state s official system of record. In many states like California, Nevada, Alaska, Oregon, and Colorado, MetRC is the preferred System of Record (SoR). Every batch from every grower, producer, and dispensary has to be tested for heavy metals, pesticides, mold, and other contaminates, along with potency levels. Everything is scanned and traced so the state can see the full journey of every product, from planting to purchase by the end-user. Labeling and testing requirements are strict, and transferring data from the dispensary s in-house point-of-sale system to the state s SoR has many moving parts. Blockchain technology paved the way for growth of cryptocurrency, providing a transparent record of millions of transactions around the globe. A blockchain is essentially a digital ledger that is updated in real time. The technology can collect and record millions of transactions. The ledger is secure, decentralized and public, with each transaction listed in chronological order. Once entered, a transaction cannot be changed. Blockchain can be applied to the cannabis industry. By attaching the codes and labels already being traced, the information is easier to store, archive, and search. Compliance and data transfers between licensed businesses and government agencies could be greatly improved.

34 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA

35 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA

36 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA

37 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA

38 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA Wet wall evaporative cooling

39 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA Raypak Hydronic Boilers for Root Tube Systems

40 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA (cont d) 32,000 sq. ft. slab-on-grade greenhouse; ground-up construction; remote mountain-top Cultivation & Production: Eight 3,000 sq. ft. flowering rooms One 4,000 sq. ft. vegetation room One 4,000 sq. ft. cultivation support area: clone, mother, trim, processing, packaging, soil prep, RO storage, fertigation equipment & storage, root tube system boilers & equipment, general offices, restrooms, break rooms and security Cooling Continuous evaporative wet wall & end wall exhaust in vegetation and flower rooms Gas-fired radiant heaters in vegetation and flower rooms Mini split systems in trim and processing rooms Power 200A 240V single-phase utility service for evaporative cooling & exhaust fans Three 250kW prime diesel generators for grow lighting, two for backup Grow lighting 1,100W high pressure sodium lights Automated daylight deprivation system for grow phases & pesticide control

41 Cannabis Grow Facility Hybrid/Greenhouse Case Study, CA (cont d) Monitoring & Control Systems Lighting Evaporative wall & exhaust fans Daylight deprivation Fertigation Root tube warming Temperature & humidity CO 2 sensors & detectors Emergency eyewash & shower Seed-to-sale software & tracking Complete monitored card access control & video surveillance security systems Commissioning Mechanical systems Humidification Systems Lighting systems Generators & ATSs

42 Cannabis Grow Facility Indoor Case Study, CA

43 Cannabis Grow Facility Indoor Case Study, CA (cont d) 8,500 sq. ft. slab-on-grade tenant improvement (TI), urban property Cultivation & Production: Two 1,500 sq. ft. flowering rooms One 1,000 sq. ft. vegetation room One 500 sq. ft. CO 2 extraction room One 4,000 sq. ft. cultivation support area: clone, mother, trim, processing, packaging, soil prep, RO storage, fertigation equipment & storage, general offices, restrooms, break rooms and security Cooling 60-ton split systems for all areas including vegetation & flower rooms Air-cooled condensers on grade in yard Power 1,200A 480V utility service Standby backup generator & ATS Grow lighting 1,100W high pressure sodium lights

44 Cannabis Grow Facility Indoor Case Study, CA (cont d) Monitoring & Control Systems Lighting Exhaust fans Fertigation Temperature & humidity CO 2 sensors & detectors Emergency eyewash & shower Complete monitored card access control & video surveillance security systems Commissioning planned Mechanical systems Humidification Systems Lighting systems Generators & ATS

45 Cannabis Grow Facility Indoor Case Study, MA

46 Cannabis Grow Facility Indoor Case Study, MA (cont d) Overall 35,000 sq. ft. slab-on-grade TI in multi-tenant facility Phase 1 build 25,000 sq. ft. in 2018 One-hour fire wall installed between new & existing tenants Cultivation & Production: Eight bloom rooms Cultivation support areas: clone, mother, vegetation, soil prep, dry cure & RO storage Processing areas: trim/package, lab & kitchen General areas: office, restrooms, break & security Cooling: (24) custom Data Aire DX gpod CRAC units with CO 2 injection for bloom, veg, mother & cure rooms AHUs w/ humidifiers Duct heaters, boilers, RO reservoir, (4) energy recovery units, door air curtains, (9) heat pumps HydroLogic RO skids Wall-mounted oscillating fans in bloom rooms VFDs for pumps & fans Power Temporary 1MVA 545:480V transformer & submetering while awaiting utility power upgraded Initially planned w/ docking station, MTS & temp roll-up generator Changed to 300kW permanent generator; dilemma over open or closed-transition ATS

47 Cannabis Grow Facility Indoor Case Study, MA (cont d) Grow lighting 1,000W metal halides 47W, 3,500K LEDs with step-dimming & battery backup T5HO fluorescents with battery backup Monitoring & Control Lighting controllers Data Aire system, future BAS Temp, humidity, CO, CO 2, P, HC sensor/detectors Dampers Emergency eyewash & shower Commissioning HVAC systems Temp humidifiers to test dehumidification Electrical normal & backup distribution Control sequence of operation, graphics validation Load bank deployment IR thermal scan Pull-the-plug testing with grow lighting operating

48 Cannabis Grow Facility Indoor Case Study, MA (cont d) Design challenge: Reduce curing (drying) time for speed-to-market If 1,800 lbs. of we product goes into the room and 180 lbs. of dry product comes out, a load of 1,620 lbs. of water needs to be removed by dehumidifying units (DHUs) Water removal is nonlinear, may begin at 17 lbs./hr. and taper to 2 lbs./hr. Estimated 12-day (288 hour) drying cycle

49 Cannabis Grow Facility Lessons Learned Make sure adequate utility power capacity will be available when needed Especially in remote locations Push for voltage increase (208 or 240 to 480) and single-phase to three-phase conversion Make sure rooms are sealed from outside air Ensure adequate & uniform air distribution Horizontal airflow is key Make sure cooling, heating and dehumidifying systems can handle extremes Mistakes in greenhouses have more drastic consequences & occur faster than in indoor facilities Analyze the cost/benefit of more energy-efficient LED lighting vs. lower-cost HID & Fluorescent Understand lighting intensity degradation & life expectancy Don t try to run standby-rated generators for prime power Develop positive relationships with local authorities, especially the fire department Validate control systems (commissioning)

50 Comments, Questions & Contact Info Michael Fluegeman, PE Director of Engineering & Principal Jim Strano Vice President / Principal jstrano@plannet.com