Dagestan Shuts Down 18 Illegal Mining Farms in Three Months

From January to March 2024, authorities in Dagestan halted 18 instances of electricity theft for cryptocurrency mining. This was reported by specialists from the local branch of Rosseti North Caucasus.

The illegal miners consumed over 11 million kWh of energy during this period.

In total, Dagenergo, in collaboration with law enforcement, identified 880 cases of electricity theft, amounting to 35 million kWh and causing damage exceeding 198 million rubles. Criminal cases have been opened for 11 of these incidents, and administrative fines have been imposed on 187 consumers.

In 2023, the total volume of unaccounted electricity consumption by miners in the North Caucasus amounted to 22.5 million kWh.

The majority of unauthorized connections to power grids for cryptocurrency mining occurred in the Republic of Dagestan, resulting in damages of 66.6 million rubles.

Previously, the expert council under the Russian government advocated for the introduction of remote energy consumption checks to combat shadow miners.