Crypto miners in Russia may have to pay increased electricity bills starting next year, but this could free them to operate without more inspection from energy providers, who may even help them set up their operations in ways that are less taxing on local grids.
Some have expressed concern that the government’s delayed progress on crypto law will put both miners and electricity providers in uncertainty.
According to Kommersant and Glas Naroda, the government appears to have devised a workaround that does not require legislative amendments.
Miners subject to higher electricity rates
The government has given local governors the right to “independently define the maximum amount of electricity consumption” that citizens can consume at “preferential” residential rates, according to an official decree.
Anyone who exceeds this maximum volume limit will be subjected to higher rates, which will be set by the regions and electricity providers.
The method isn’t technically new: it was pioneered in Crimea, particularly in Sevastopol, the country’s largest city, where inhabitants’ monthly energy usage at lower residential rates is capped at 150 kWh.
The Ministry of Energy claimed that the move was intended merely to “fight improper energy use,” and that it would not result in a rise in energy rates.
Growing electric demand leads to protests
Regions have also been given the authority to set “alternative prices for certain sections of the population” – in other words, to increase electricity fees for persons recognized as crypto miners by power companies.
As previously reported, various regions have protested to the government about growing electricity demand on their grids, which has led to this predicament.
Because mining has no legal status in Russia, miners – particularly those who work from home – currently pay the same power rates as ordinary households.
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