The surge in cryptocurrency mining is contributing to significant power shortages across various regions in Russia, according to President Vladimir Putin.
Spike in Electricity Consumption
This issue has become particularly evident in the Irkutsk region and Buryatia, as highlighted by Putin during a recent economic meeting, reports Lenta.
Putin emphasized the gravity of the situation, warning of serious repercussions for businesses, public utilities, and entire communities.
Local authorities have increasingly voiced concerns about the uncontrolled expansion of cryptocurrency mining and the resulting spike in electricity consumption.
Malfunctions in Turbine Generator
In recent days, southern Russia has experienced rolling blackouts due to power deficits. On July 16, residents in Rostov-on-Don, Taganrog, Krasnodar, Elista, Anapa, Armavir, Crimea, and other cities faced electricity outages.
These disruptions were attributed to malfunctions in a turbine generator and the subsequent shutdown of a reactor at the Rostov Nuclear Power Plant, which supplies power to the entire Southern Federal District. Deputy Minister of Energy Yevgeny Grabchak explained that the combination of extreme heat and record-high energy consumption has heightened the risk of further outages.
The power crisis has prompted the Association of Industrial Mining (AIM) to appeal to Prime Minister Mikhail Mishustin and State Duma Chairman Vyacheslav Volodin. The AIM urged the government not to stifle the mining industry by imposing bans in regions already facing energy shortages. They argue that such restrictions could severely damage the sector.
