Texas crypto miners must get clearance before using the state’s power grid
Because of its abundance of low-cost renewable energy, Texas has become a crypto mining hotspot, but there are rising concerns about power grid stability.
The state of Texas has started forcing large-scale crypto mining enterprises to apply for a permit to use the state’s electrical system.
The move is being made in anticipation of rising power consumption as more mining operations set up business in the Lone Star state.
The Electric Reliability Council of Texas (ERCOT), according to sources, is now forcing utilities to submit studies on the impact of mining farms tapping the grid before receiving “permission to energize.”
Members of the council will vote on forming a task group with the goal of preventing the grid from being overloaded.
Bitcoin mining businesses have increased their demand, and the system was unable to weather the state’s severe winter last year. Authorities in Texas are working to prevent this from happening again.
Crypto mining companies are likely to add several gigawatts of demand this year. Previously, the utilities had conducted their own power demand assessments.
Based on the new rules, every project that adds 20 megawatts of demand to the generator site in the next two years must go through the approval procedure.