pow.cx not working due to .envrc file in ruby on rails

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I am trying to run the pow server but it stops when it sees the .envrc file in the root of my ruby on rails application. How do I fix this?

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This is a known issue, which will occur for many rails users as the spring gem advises the use of a .envrc file that in used by direnv. The solution as described here is to wrap the contents of the .envrc file as follows:

if [ "$(type -t direnv_load)" = 'function' ]; then
  # Whatever you want only direnv to execute
fi

Incidentally, you may need to change your config/development.rb file so that

config.asset_host = 'myapp.dev

and then need to restart the application by

touch tmp/restart.txt