Cryptocurrency Miners To Access Customized Electricity Payment Contracts
A section of New York residents will now enjoy customized electricity bills after t regulators allowed a utility company to establish new rates for cryptocurrency miners. Precisely, the state’s Public Service Commission permitted the Massena Electric Department to allow clients who consume large volumes of power, including digital currency firms, to access individualized payment contracts.
Undoubtedly, this recent development presents a significant milestone for crypto miners who want to utilize New York’s vast energy resources. Reportedly, this decision was arrived at after the commission felt the need to balance between attracting cryptocurrency startups and establishing fair electricity rates for the existing firms. According to the commission’s chairperson, John Rhodes, their mandate is to ensure that corporate clients pay bills that are equivalent to the amount of energy they consume. Nonetheless, due to the abundance of affordable electricity in the city, there was a need to revisit the rules so that they can be favorable to all large-scale consumers, both upcoming and the existing.
Under the new regulation, customers whose electricity consumption exceed the 300kWh threshold will automatically be eligible to request a negotiated payment contract. Notably, these contracts will be subject to a review by the Massena Electricity Department and must safeguard existing customers from incurring additional supply expenses due to the implementation of this new program.
The approval for individualized contracts is not the first time the New York Public Service Commission has passed a regulation concerning cryptocurrency miners. Earlier this year, the commission approved a bid that imposed hefty fees on digital currency mining activities. The most recent decision was a a result of a petition filed by a local agency. The petition highlighted that residents of the Massena municipality are likely to incur extra electricity bills due to the power-intensiveness of virtual currency mining activities.