The recent cryptocurrency mining ban had just been lifted in the province but now miners—or at least new ones—are faced with yet another roadblock.
Cryptocurrency mining companies are now blocked from placing new requests for hydroelectric power. The Government of Quebec did this so that the region’s energy company, Hydro-Québec, can still have enough power to supply everyone else in the province.
Hydro-Québec had previously let out a warning stating that the demand from cryptocurrency mining operations in the region is exceeding the company’s “short- and medium-term capacity.”
During this time, a new framework will be developed for granting power requests in a sustainable way.
Hydro-Québec President Éric Filion says that while the blockchain industry is a “promising” avenue, regulations are still important:
“Guidelines are nevertheless required to ensure that the development of this industry maximizes spinoffs for Québec without resulting in rate increases for our customers.”
The framework categorizes crypto mining companies differently than regular consumers. A block of energy will be reserved solely for the use of this category.
The government is also looking into creating more jobs in the sector. According to Québec Energy Minister Pierre Moreau:
“The measures announced today represent a responsible, prudent and practical approach to welcome top businesses from the blockchain tech sector, to contribute to the economic development of other sectors, and to create spinoffs throughout Québec, while ensuring energy supply for all Quebecers.”