The Norwegian town of Hadsel recently forced the closure of a Bitcoin mining farm, leading to an unexpected 20% spike in electricity bills, revealing the beneficial impact Bitcoin miners are having on the energy industry.
Norway experiences first-hand the utility of Bitcoin mining
Bitcoin's detractors often argue that mining it consumes a lot of energy and is excessively polluting. Some even claim that the network's energy consumption could surpass that of the entire planet, which is simply impossible, short of mining on the Moon or Mars.
However, Bitcoin and its community have demonstrated over the past few years that the reality is quite different. Bitcoin mining uses mostly wasted energy sources, helping to reduce CO2 emissions from some sources.
It also allows the monetization of surplus energy from renewable power plants, ensuring their long-term viability and making the energy mix of countries adopting this strategy more sustainable and environmentally friendly.
🔋 Check out our in-depth article on the influence of Bitcoin mining on the energy industry
Norway recently passed a law requiring mining companies and data centers to register with the authorities. This legislation allows municipalities to refuse the installation of these companies.
It was the first such legislation in Europe, reflecting Norway's strict stance on Bitcoin mining, which it associates with greenhouse gas emissions, without considering the benefits it can bring.
Last week, The municipality of Hadsel, in the north of the country, used this law to justify the non-renewal of the temporary permit granted to a Bitcoin miner.thus forcing his departure after 3 years of activity.
On this occasion, the city's mayor, Kjell-Børge Freiberg, even declared:
“It's a closed chapter. We are very, very happy in Hadsel.”
According to the city's mayor, The mining farm produced noise pollution that disturbed residentsmaking them “mad, furious and desperate.”
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The departure of the miners has led to an increase in the electricity bill of the inhabitants
However, the departure of this mining farm did not solve all the problems. A few hours later, Residents have seen an increase in the cost of electricity of around 20%an annual increase of 2,500 to 3,000 crowns (between 235 and 283 dollars) for an average household.
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Indeed, The newly discharged miner absorbed the surplus electricity produced and represented around 20% of Noranett's revenue.the local electricity distribution company.
The mayor is now looking for a new opportunity. A task that seems difficult to accomplish in the short term, since the mining farm consumed around 80 GWh per yearequivalent to the annual consumption of 3,200 homes, an amount of electricity that few industries can absorb as efficiently as Bitcoin mining.
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Source: Norsk Rikskringkasting
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First lured by the lure of gain, I am now trapped deep into the rabbit hole. With no way out, I have no choice but to share my knowledge and transmit the passion I have for Bitcoin. I am also the creator of Adopt a Block, an educational site dedicated to Bitcoin.
Marius Farashi Tasooji
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