Energy Costs Driving Growers to Focus on Efficiency

Greenhouse manufacturers and component suppliers are navigating many of the same pressures as growers. From tighter margins and energy costs to shifting expectations around automation and integration, the forces shaping plant production are shipping the structures and systems behind it.

To better understand where the market is headed, Greenhouse Grower surveyed members of the National Greenhouse Manufacturers Association (NGMA), whose products range from greenhouse structures and coverings to controls and lighting systems. Here’s Part 4, where we cover how current energy costs and other regulatory issues are affecting the greenhouse market. You can find previous parts of the series, which covered capital investment trends, grower pain points, and overall market challenges and opportunities, here.

How do you see current energy costs and/or regulatory issues affecting the market?

“Current energy costs and regulatory costs are driving the cost of construction up, making it less attractive.”

“Energy costs have been increasing overhead.”

“Energy costs and regulatory pressures are accelerating the transition toward controlled, efficient growing environments. Growers are being forced to rethink how they manage energy consumption and compliance, which is driving demand for advanced materials and systems that deliver measurable efficiency gains. From our perspective, this creates an opportunity to support customers with performance-driven solutions that align with both cost reduction and regulatory compliance.”

“This was and will continue to be an emerging challenge to profitability.”

“Energy consumption is always a concern, but even with products that are tested and feature statistically low energy use models, growers will not always utilize them.”

“Higher energy costs and stricter regulations are increasing the cost to build and operate greenhouses, which may slow some new construction. At the same time, if they do build, these factors are increasing demand for energy efficiency, automation, and environmental control systems.”

“Energy prices are the biggest reason people switch to us. With flexibility, we help growers turn their lighting from a fixed cost into a flexible one that plays nice with the grid.”