Engagement on Cryptocurrency Mining Policy

Electrical Connections for Cryptocurrency Mining

B.C.’s clean, affordable electricity has attracted unprecedented interest from cryptocurrency miners. While BC Hydro welcomes new load and has available energy to use strategically for electric vehicles, heat pumps, clean technology, and industry, the unchecked growth of cryptocurrency mining operations in B.C. could make it more difficult to meet electrification goals in support of CleanBC and keep rates low for customers.

What has been done?

To preserve B.C.’s electricity supply, since December 2022, a temporary suspension of new cryptocurrency mining connections to BC Hydro’s grid has been in effect. This pause gives government and BC Hydro time to engage with B.C. stakeholders and First Nations to develop a permanent framework for any future cryptocurrency mining operations. No new cryptocurrency projects may enter the queue or initiate the process of connection with BC Hydro during this suspension period. 

Developing a Permanent Policy Framework

While the suspension is in effect, the Ministry is leading the development of permanent policy that balances the public’s interest with the commercial interests of BC Hydro and cryptocurrency mining operations. A permanent policy governing the connection of cryptocurrency mining projects to electricity systems in B.C. is likely to influence the conditions under which future projects could connect to electricity systems in B.C. Although the current suspension on BC Hydro connecting new cryptocurrency mining operations does not apply to utilities other than BC Hydro, a permanent policy may extend to all utilities within B.C.

Engagement Process: Summer and Fall 2023

The Ministry engaged with B.C. First Nations, municipalities, utilities, industry associations, and the cryptocurrency mining industry to seek feedback on the development of a permanent policy regarding cryptocurrency mining connections to B.C.’s electricity system. More than 400 First Nations and stakeholder groups were invited to one of four group discussion sessions, held online between July 12 and July 18, 2023, or one-on-one, to ask questions and share input. If you represent one of these groups,  but did not participate in the engagement process and would like more information, you are invited to send an email to electricity.policy@gov.bc.ca.

Policy update: Spring 2024

The Ministry is continuing its work towards a permanent cryptocurrency mining policy in B.C. In Spring 2024, the Ministry amended the Utilities Commission Act to provide Cabinet with regulation-making authority regarding the provision of electricity service for cryptocurrency mining. These amendments will enable the eventual implementation of a permanent policy. The Ministry also extended, via the Cryptocurrency Power Regulation, the temporary suspension from an initial 18-month period to a 36-month period to provide additional time for policy development and engagement. The suspension will now expire in December 2025.

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