The authorities in the Chinese province of Inner Mongolia continue to make life difficult for mining companies. The local regulator has proposed to completely ban mining to save electricity.
The Inner Mongolia Development and Reform Commission has published a document proposing various methods to achieve the necessary energy savings in China’s Fourteenth Five-Year Economic Plan. The regulator proposes to limit industries that consume a large amount of electricity, as well as “completely close all projects for the mining of virtual currencies by the end of April 2021.”
At the same time, in the future he also proposes to tightly control the sphere. To this end, the authorities of Inner Mongolia are planning to “properly control the scale of development of data centers and prohibit the construction of any new sites for the extraction of virtual currencies.”
Today, Inner Mongolia, along with the provinces of Sichuan and Xinjiang, is one of the largest regions in China in terms of cryptocurrency mining.
Public discussions of the document will take place before March 3, and it is likely that the wording of the Provincial Development Commission will be somewhat softened. However, this is not the first time that the authorities of Inner Mongolia put pressure on miners. In August last year, electricity tariffs for mining companies in the province were increased by 30%. And at the end of 2019, the regulator of Inner Mongolia strengthened supervision of industrial miners.
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