New Brunswick’s main power company has started rejecting energy applications from crypto miners and other high-volume users. According to CBC’s report on May 1, the cabinet order that approved the moratorium contained concerns from the province’s main power company.
Energy Concerns of N.B. Power
N.B. Power voiced its concerns about the “additional load demand” and warned that crypto mining could put “significant pressure” on the energy supply. It is unclear when exactly the moratorium on energy access for crypto miners began, as the policy seemed to go unnoticed until CBC’s latest report. Nonetheless, the provincial government endorsed the moratorium in March 2022, and it continues to be in effect.
Review of Crypto Sector
In addition to the moratorium, New Brunswick’s government also called for a review of the crypto sector and its impact on the energy supply. The review, which was due in December 2022, remains private but was intended to ensure that restrictions do not continue to affect non-crypto companies.
Impact of Moratoriums on Crypto Mining in Canada and the U.S.
Similar to New Brunswick, other Canadian provinces such as British Columbia, Manitoba, and Quebec have also imposed moratoriums on crypto mining. In the United States, North Carolina and New York have done the same. Whether these policies will remain in place or not is yet to be seen. Nonetheless, the increase in the use of crypto mining has led to concerns about the impact of high energy consumption on the environment and the power grid.