Hydro-Quebec, a Canadian-based energy provider has unveiled a selection process for the blockchain companies. The miners will now have to bid for electricity. This was done because of high demand for energy by cryptocurrency mining operations, according to the provider's press release.
Now Hydro-Quebec will allocate electricity to projects based on certain criteria.
- How much are the companies ready to pay over the standard fee
- How many direct jobs will be created for every megawatt (MW)
- Economic effect generated from jobs per MW
- Expected Investment return per MW
Mining companies and Hydro-Quebec are having experienced an up-and-down relationship so far.
Earlier in March, the local government has stated that it is not interested in providing cheap electricity to mining companies without any substantial return.
Later on Pierre Moreau, a local Energy Minister has presented a roadmap outlining the regulation of energy sales to miners, that require high amounts of electricity from Hydro-Quebec’s surplus.
At the moment Quebec reserved a 500MW block for the mining sector from its 13TW total, while setting a minimum rate at 20% higher than the average industry standard.
By Nadya Astam