The authorities of the Chinese province of Sichuan demanded to stop the activities of “key” miners and forbade local energy companies to supply them with electricity.
According to the portal, on June 18, the Sichuan Provincial Development and Reform Commission and the local Department of Energy issued a notice specifying 26 cryptocurrency mining enterprises, whose activities should be stopped until June 20.
According to the document, all energy companies in the province are obliged to stop supplying electricity to miners and report to the regulator by June 25. Local supervisors also conduct inspections to identify cryptocurrency mining businesses. All regions of Sichuan were banned from issuing work permits to new companies in this area.
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According to journalist Colin Wu, there are many small hydroelectric power plants in Sichuan and Yunnan provinces that may continue to cooperate with miners. However, large enterprises will be disconnected shortly.
Miners based in the province have allegedly received notifications that they must close their sites at 22:00 local time for self-inspection.
In Sichuan, miners mainly consume surplus hydropower. From May to October, the province has a “high water” season, during which time the capacity of local power plants increases, providing surplus energy and low tariffs.