Russian Crypto Miners Fume at Moscow’s Plans to Raise Their Electricity Tariffs
Russia’s biggest crypto mining industry association has hit out at Moscow’s plans to increase electricity tariffs for miners.
The Ministry of Energy wants miners to fork out between two and five times more than they currently pay.
As mining is not yet classified as a state-recognized form of “entrepreneurship,” most Russian miners currently pay the same kind of rates as residential homes.
While power providers have been given the authority to raise miners’ hourly tariffs, the majority want Moscow to legalize the sector.
This would allow power companies to charge at higher unsubsidized industrial or commercial rates.
But per Comnews, the Industrial Mining Association (APM) thinks that this will force miners into a “gray zone” of semi-illegality.
The APM said that Russia is currently a “global leader” in the crypto mining sphere, but warned the nation would lose this advantage if the ministry’s plans are accepted.
The head of Russia’s biggest mining firm this month claimed that mining in Russia was set to become far more profitable than in the US.
The ministry, however, thinks higher tariffs will discourage overzealous miners from setting up shop in some of Russia’s most remote regions.
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