British Columbia has become the third jurisdiction in Canada to place limitations on cryptocurrency mining.
The province will not permit new connections to its power system for 18 months as a way to protect electricity for electric vehicles and heat pumps, according to Josie Osborne, Minister of Energy, Mines and Low Carbon Innovation for British Columbia.
British Columbia also wants to help businesses and industries that are undertaking electrification projects that reduce carbon emissions and generate jobs and economic opportunities.
Utility companies in Quebec and Manitoba also imposed similar limitations on the sector, citing the strong demand for electricity.
An official post issued on British Columbia’s website states that 21 projects in the province are demanding a total of 1,403 megawatts (MW), which is equal to the energy required to power about 570,000 residences or 2.1 million electric vehicles.
“Cryptocurrency mining consumes massive amounts of electricity to run and cool banks of high-powered computers 24/7/365, while creating very few jobs in the local economy,” said Osborne.
“We are suspending electricity connection requests from cryptocurrency mining operators to preserve our electricity supply for people who are switching to electric vehicles and heat pumps, and for businesses and industries that are undertaking electrification projects that reduce carbon emissions and generate jobs and economic opportunities,” she added.