Based on a recent report, the Iranian Economic Commission has finalized an electricity tariff scheme for cryptocurrency miners.
According to an announcement made by Iran’s Energy Minister Homayoon Ha’Keri, although the tariff scheme has been finalized, and it is awaiting approval from the Cabinet of Iran. The cabinet consists of various ministers as well as other officials carefully selected by the president himself.
Although the head of Iran Electrical Industry Syndicate, Ali Bakhshi, previously proposed a price of $0.07 per kilowatt-hour for cryptocurrency miners, the amount finalized has not been revealed yet. However, Ha’eri stated that the price is dependent on market factors such as fuel prices in the Persian Gulf.
Previously, the Energy Minister Ha’eri, Hemmati made it known that a law which will require crypto mining in Iran to abide with the price of electricity for export, is in the plan. If this is the case, miners will no longer enjoy the government subsidies on their electricity usage.
Iran Has Cheap Electricity
The cost of electricity in Iran is relatively cheap compared to other regions. Due to government subsidies, the cost of one kilowatt-hour of electricity currently costs $0.05. The cheapest power is enjoyed by the agricultural and industrial sectors.
According to the Mostafa Rajabi Mashhadi, the Energy Ministry spokesman for the power department, cost of mining a single BTC stands at around $1,400 in state subsidies. It was also reported that mining one BTC cost as much electricity as 24 buildings in Tehran do in one year.
The announcement made by the Energy minister is coming right after the Central Bank of Iran (CBI) governor— Abdol Hemmati claimed that the CBI was planning to authorize cryptocurrency mining.
License to Import Crypto Mining Equipment Not Yet Issued
Notably, the Deputy President of the Islamic Republic of Iran Customs Administration Jamal Arounaghi made it known that the agency has not yet issued licenses for the import of cryptocurrency mining equipment. As such, there is a limitation on the import of crypto mining equipment into the country.