Media outlets report plans to significantly raise electricity transmission tariffs for crypto-mining farms in Russia

The Ministry of Energy proposes to raise electricity transmission tariffs for industrial crypto-mining farms by two to five times. The information was reported by «Коммерсант», citing sources.

According to them, the tariff hike will primarily affect energy-deficit regions, including Buryatia, Zabaykalsky Krai and Irkutsk Oblast. There is a significant share of mining data centres located there, which is already contributing to a generation shortfall.

The ministry’s aim is to push miners to move to regions with surplus capacity.

However, farm operators argue that the initiative discriminates against legitimate electricity consumers and will drive the industry to shut down due to losses.

The Ministry of Energy previously calculated that electricity consumption by cryptocurrency miners in Russia in 2023 reached 1.5 GW.

As reported, the industry-regulating bill has been registered in the State Duma since mid-November 2022. It obliges individuals and legal entities to report mined cryptocurrencies to the tax authorities, indicating the address to which they are credited. Its adoption is expected in 2024.