Cryptocurrency requires the use of power hungry computers. (Photo: Sean Kilpatrick, The Canadian Press)
The City of Baie-Comeau is delighted with the recent decision of the Régie de l’énergie, which further opened the door to the distribution of electricity allowing the existence of a cryptocurrency network for remuneration.
The mayor of Baie-Comeau, Yves Montigny, believes that the municipality has been able to demonstrate to the Minister of Energy and Natural Resources, Jonatan Julien, and to the President and CEO of Hydro-Quebec, Sohie Brochu, that it had the will and the know-how to welcome this type of business in order to develop its economy.
The City of Baie-Comeau therefore has the green light to enter into agreements with data centers or cryptocurrency companies for an additional block of 30 megawatts.
To illustrate what this represents for the City’s coffers, Mayor Montigny gives the example of an already established company, GPU.ONE which, by currently using 12.5 megawatts, allows Baie-Comeau to generate annual profits. of about $ 1 million for the sale of electricity.
Cryptocurrency is a digital currency used on the web that is independent of banking networks. It requires technology using powerful and energy-intensive computers.
During times of high demand for electricity, Hydro-Québec and municipal networks like the one in Baie-Comeau may stop distributing electricity to cryptocurrency companies, up to 300 hours per year. In the case of GPU.ONE, the agreement provides for an interruption of 400 hours.
To move forward with future developers, the next step for the Town of Baie-Comeau will be the acquisition of the Georges-Henri-Gagné substation; negotiations are already underway.
The Régie de l’énergie reports that at present, 190.6 megawatts on the Hydro-Québec network and 250.7 megawatts within the municipal networks are authorized to be used for cryptocurrency mining purposes.