The public energy provider in Quebec has presented to the provincial government a draft document that aims to create a specific framework for cryptocurrency miners.
If the project is approved, Hydro-Quebec is committed to distributing 500 megawatts worth of power between cryptocurrency miners. The official press release was published on June 21 via Hydro Quebec. According to it, “the goal of this process is to both maximize economic spinoffs for Québec and revenue for Hydro-Québec—in turn, pushing electricity rates down for customers.”
“This action is in response to an Order-in-Council recently adopted by the government(This hyperlink will open a new window), which instructs the Régie de l’énergie to quickly address the conditions governing the sale of electricity to blockchain companies given the unprecedented request for hookups,” the statement cites.
Hydro-Quebec’s proposal comes as a result of the problem appeared this month – discussions about the moratorium issued for cryptocurrency miners, describing it as “unprecedented” level of demand.
A maximum limit of energy consumption will be set
The energy provider aims to set a maximum limit of the electricity amount that crypto miners can use over a year in order to allow other customers to benefit equally. This issue has been a preoccupation and topic of discussion lately in North America among these participants: miners, governments, and residents, given that mining activity consumes large amounts of energy.
“The economic analysis will favor customers who will be ready to operate their facilities as quickly as possible. In addition, Hydro-Québec could request that these customers decrease their electricity use, for a maximum of 300 hours per year, to allow it to ensure the delivery of electricity to all of its customers, particularly during the winter peak period,” Hydro-Quebec wrote in the press release.
Hydro-Quebec confirmed earlier this year that it will not be able to support all cryptocurrency miners requests, as their number increases considerably.