Abkhazia considers bills on fines and criminal liability for mining

The Parliament’s Committee on State and Legal Policy of Abkhazia has considered revised draft laws that would impose penalties for engaging in mining activities in the country.

According to Sputnik, one of the documents introduces administrative liability for illegal connection to power grids for cryptocurrency mining. For ordinary citizens, individual entrepreneurs and legal entities, the fine will be 40 [simple_tooltip content=\’минимальный размер оплаты труда\’]МРОТ[/simple_tooltip] per kilowatt of connected equipment; for officials—3,000 МРОТ.

For a repeat violation, the fine increases, and confiscation of equipment is provided for.

Deputy Natali Smyr noted that the bill needs to specify terminology:

«The minimum wage in Abkhazia for commercial organisations is set at 5,000 rubles. And the tax-free minimum is set at 60 rubles», — she emphasized.

The amendments also provide for criminal liability. Citizens are proposed to be punished with imprisonment for a term of one to three years with confiscation of property for illegal electricity consumption for mining above 300 kilowatts.

The bills have already been approved in the first reading. The committee has now voted to bring them to the parliament for a vote.

As noted, due to energy-intensive mining Abkhazia’s energy system is on the brink of crisis.

At the end of 2020, Abkhazia’s authorities prohibited mining, and also restricted the import of equipment for cryptocurrency mining until 1 June 2021.

Plans to introduce fines, confiscation of equipment and criminal liability for mining became known in January.

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