Noise complaint led Alberta Utilities Commission to unlicensed generator powering bitcoin mine

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New Brunswick's electric utility imposed a moratorium on providing new service to cryptocurrency mining operations last year, saying it was concerned about its ability to meet the increasing demands from the power-hungry sector. An advertisement of bitcoin, one of the cryptocurrencies, is displayed on a building in Hong Kong, on Nov. 18, 2021.

Energy Sustain Services was ordered by the Alberta Utilities Commission to pay a $10,000 fine for operating a power plant the company mistakenly believed was not big enough to require approval.The unlicensed electricity plant, located in Brazeau County, Alta., had a capacity of almost 1.5 megawatts. There were 87 bitcoin mines powered by the electricity it produced.

" believed that there was no requirement to obtain commission approval to construct and operate the power plant," say documents filed by the commission. The two companies consulted with local residents and conducted what they felt were adequate environmental assessments, including with regard to noise levels.

An investigator later found noise levels exceeded guidelines. Energy Sustain Services was not charged with those violations because it wasn't clear whether the noise came from the generator or the bitcoin miners.Crypto at a crossroads: Some provinces are wary of the technology's vast appetite for electricityAlberta law says generators smaller than one megawatt that supply power to a single user don't require regulatory approval.

 

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