New York sets a new electricity supply scheme for cryptocurrency

New York sets a new electricity supply scheme for cryptocurrency

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The New York State regulators have approved a new scheme for providing electricity to the cryptocurrency miners, which will allow them to discuss the terms of the contracts.

As Bloomberg notes, a few months ago, state authorities allowed 36 municipal energy departments to release electricity to miners at a higher tariff than other consumers.

The Department of Energy Consumption Massena proposed a new structure of calculations for the miners who may be interested in carrying out activities in its region. The electricity supplier will set tariffs on an individual basis, which will protect other customers from rising prices for its services.

John Rhodes, the chairman of the New York State Department of Public Utilities, said:

“We need to make sure that consumers from businesses pay a fair price for the electricity they consume. However, in the northern part of the state there is a large amount of cheap electricity that we can use to meet the needs of existing customers and contribute to the economic development of the region.”

New York is known for its low electricity tariffs due to excess energy generated by the HPP. Individual consumers in Massen pay $0.039 per kWh, while the average for the country is $0.13 per kWh. The State of New York is one of the favorite locations of the cryptocurrency miners, who require a large amount of electricity to carry out their operations.

The regions rich in hydropower are trying to resist the inflow of miners, either by completely prohibiting such activities on their territory or by raising tariffs. In March, Plattsburgh, New York, introduced a moratorium on the mining of cryptocurrencies. It was reported that the largest mining enterprise accounted for 10% of the city’s electricity consumption during January and February this year.

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