Rhode Island Launched Applications for Additional Cannabis Retail Licenses

PROVIDENCE – The Rhode Island Cannabis Control Commission has started taking applications for 24 additional adult-use Cannabis retail licenses, a step that expands the state’s recreational market three years after legalization.

The licenses are spread across six geographic zones, with a cap of four stores per zone to ensure balanced distribution. Among them, six are set aside for social equity applicants [those harmed by past drug enforcement policies or from affected communities] and six for worker-owned cooperatives. This setup leaves 12 licenses open to general applicants, with two per zone available on a competitive basis.

Prospective retailers must submit applications online by 4 p.m. on December 29, along with a $7,500 fee, though approved social equity applicants get that fee waived for the first year. An annual licensing fee of $30,000 applies to all. The commission will first screen submissions for completeness and eligibility, then hold lotteries in each zone to select winners if demand exceeds supply.

Social equity certification, a prerequisite for those reserved slots, requires at least 51% ownership by individuals with prior nonviolent Cannabis convictions or from high-poverty, high-unemployment areas hit hard by arrests. As of the application launch, 89 people had sought certification, with approvals expected by November. Worker cooperatives must demonstrate shared ownership and decision-making among employees.

This move builds on the 2022 Rhode Island Cannabis Act, which allowed seven existing medical dispensaries to add recreational sales. Those outlets generated $118 million in combined medical and adult-use revenue last year, with nearly $80 million recorded through August this year. The new rules, finalized in April and effective in May, aim to grow the industry while prioritizing fairness.

Analysts note that the added stores could heighten competition and improve consumer access in underserved areas, potentially driving down prices and increasing tax revenue for the state. Yet the lottery system introduces risk for investors, and strict zoning rules may limit site options. Overall, this structured rollout positions Rhode Island’s Cannabis sector for steady expansion, balancing growth with equity goals in a maturing East Coast market.