Michaela
Aisen Nikolaev, the chief of the State Council Commission on Energy and head of Republic of the Sakha, has proposed building dedicated Russia crypto mining power plants to isolate their heavy energy use from public grids.
Russian state news agency TASS reported that the Council’s energy team serves as an advisor to the President’s offices on energy policy matters.
“The State Council Commission on Energy is constantly in dialogue with the Ministry of Energy on this issue. If any region can launch a separate power plant specifically for mining without access to public networks, then such a project could well be implemented. I am confident that in the near future, solutions will be developed that will allow both to protect the interests of the population and to develop mining,” Nikolaev stated.
Nikolaev explained that unchecked crypto mining in some areas has led to excessive electricity consumption, resulting in capacity shortages and a decline in power quality for local businesses and residents, especially in regions with limited energy reserves.
The senior official also noted that local regions might build exclusive power plants for crypto mining with no public grid access.
Energy Concerns Over Russia Crypto Mining
Crypto mining’s impact on regional electricity use has long raised concerns among national officials.
Over the weekend, Russian news outlet Vesti reported that authorities in Dagestan raided a crypto mining facility that had been cleverly camouflaged as a greenhouse.
Arsen Gadzhiev, the acting head of Dagestan’s Dagenrego, reported that power engineers uncovered the crypto mining facility with 69 rigs in the village of Tashkapur in Levashinsky District.
“However, instead of growing vegetables, he decided to engage in a completely different kind of business. Now he will have to answer to the law for the damage caused,” Gadzhiev stated.
The owner allegedly misrepresented their grid connection as an agricultural facility, a tactic that granted access to subsidized energy tariffs and exploited Dagenrego’s system.
In early February, Russia’s Deputy Prime Minister Yuri Trutnev recommended that surplus power in the Far East be redirected to support cryptocurrency mining. He urged new and currently idle power plants to allocate capacity for Bitcoin mining operations.
The Deputy Prime Minister noted that sustaining idle energy reserves comes at a high cost. He proposed that redirecting surplus power to cryptocurrency mining could help counterbalance these expenses, ensuring that excess energy is utilized more efficiently.
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
